Detailed plans for a first phase of work to turn the annex building at the old Moor Hospital site into new homes have been lodged with Lancaster City Council.
The application by site owner the Homes and Communities Agency and developer PJ Livesey, would see 34 homes created with 105 parking spaces.
They would include 11 one-bed homes, 18 two-bed homes and five one-bed homes.
The Quernmore Road site has outline permission for 440 new homes and has been unoccupied since 2000.
A number of detailed planning applications have been submitted, including for the conversion of Campbell House and for a new-build element of the scheme which was approved in May.
The latest plan will see the Westmorland slate roof removed to ensure the building is insulated to modern standards. It will then be re-instated.