The move is expected to generate sigificant savings by reducing the cost of using external agencies and contractors. Savings will be used to build more new homes.
The first homes to be built by the Accord constructon division will be 22 units in the Bushbury area Wolverhampton.
"The Bushbury development will be the first of many sites in which homes will be designed, constructed and erected by ourselves and, once complete, it will provide high-quality, low-carbon homes for local people," said Acord Group contruction manager Mike Stockle.
Accord’s LoCaL Homes factory in Walsall, opened last November, manufactures one timber frame home each day.