The Oman government is set to start work on the country's first integrated residential complex by the end of this year, said a report.

The estimated billion-dollar venture, which will feature a mix of retail, leisure, commercial and shopping elements, will offer housing units across three main categories: apartments, townhouses and villas, reported the Oman Observer, citing a senior government official.

The township will come up on a 355,000-sq-m plot on the outskirts of the capital region a short drive from downtown Muscat, it added.

This is one of many model residential districts being planned across the Sultanate as an affordable answer to the nation’s long-standing housing woes, remarked Siham Al Harthy, the director general of Real Estate Development at the Ministry of Housing.

The overall plan for the complex is almost finalised, with design work given to a reputed consultancy firm to undertake, revealed Al Harthy.

"As an integrated residential scheme, there will spaces for gardens and leisure activities, as well as mosques, schools and other amenities. The goal is to come up with living spaces that people will really love," she added.