While hundreds of volunteers are busy with a project for "Extreme Makeover: Home Edition," the City of Knoxville is participating in another build that will benefit two local families.

The East Tennessee Housing Development Corporation, a community housing development organization (CHDO), broke ground Thursday on two new homes in the Lonsdale Community. The City of Knoxville provided funds for the project, which totals $274,000.

Mayor Madeline Rogero attended the ground breaking ceremony, along with community leaders. "These homes will provide stability for families who will be part of the fabric of Lonsdale," Mayor Rogero said. "Home ownership gives one a sense of pride and fosters connections within the community, and these families will benefit greatly."

The federal funds are available through the city's Home Investment Partnership and the Blighted Properties Redevelopment programs. The BPRP allows short-term development and construction financing through subsidized loans to redevelop and renovate unoccupied residences and to build on vacant properties.

"This is a great use of federal funds administered by the City of Knoxville to help families in need of decent and affordable housing," said Community Development Director Becky Wade. "We can't wait to see the families move in and take ownership."

The single-family EarthCraft homes are designed to meet high standards of indoor air quality, energy efficiency and water conservation. Projects are certified through third-party inspections and design reviews.

The homes, at 3404 and 3407 Bishop Street, are part of an overall revitalization plan for the Lonsdale area and are expected to be completed by late spring or early summer 2012.

ETHDC works with the East Tennessee Design Center and other agencies to provide decent housing to low- and moderate-income families. The organization encourages a permanent solution for neighborhoods by providing well built, maintenance free, energy efficient homes that are accessible to people of all abilities.