Pembrokeshire Housing Association is planning a £6 million development of 40 flats for people who need extra care but still want to remain independent.

It will be located next to Merlin House Residential Home, Merlins Bridge, Haverfordwest. There are also plans for an eight-bed care facility for elderly, mentally infirm residents, which will be run by Pembrokeshire County Council.

Council cabinet members were told on Monday that the scheme was considered essential to secure improved residential care facilities in the county and will enable the redevelopment of the existing Merlin House site.

Cllr David Wildman said it was a scheme which would be very beneficial to the county. "I hope work will start early in the new year, possibly early in March," he said.

The 40 new units will each be self-contained one and two-bedroom flats suitable for an individual, a couple or a resident with his or her carer. The whole building will be accessible by people with physical disabilities and the flats will also be adapted for disabled use.

The scheme is designed for older people who do not need as much care as those in residential care, but who need more care than those living in traditional sheltered housing.

It will enable older people to retain the independence of living in their own home but in an environment where health and social care and other support can be provided.

There will be communal facilities including a restaurant, activity rooms, shop and rooms suitable for visiting services such as hairdressing and chiropody.

To enable the scheme to go ahead, the freehold interest of the site will be transferred to the housing association.

A new access will also have to be developed in conjunction with the new owner of Avallenau.

This access will serve Merlin House, the new development, and Avallenau.

A new access will open up use of Avallenau, once a private home and later a children's home.

There had been plans by previous owner, Haverfordwest businessman Hylton John, to convert the building into a hotel, but these were turned down for access reasons.

The present owner Peter Reynolds, whose company also owns business units in west Wales, including seven at Neyland's Honeyborough Industrial Estate, said that Avallenau would probably be used as some sort of headquarters or commercial offices in due course. The former stables would also be upgraded into offices.

"But it will all depend on getting a new access to the site," he said.