FREDERICTON - The New Brunswick government has announced a $329 million plan to add 354 nursing home beds in the province.

The five-year plan will also see construction and renovations to nursing homes affecting another 859 beds.

Social Development Minister Sue Stultz says the Conservative government is adding 57 more beds while saving $110 million compared with a plan announced by the province's previous Liberal government in 2009.

As well, the government has announced that 704 specialized care beds will be created by the private sector for the care of people with Alzheimer's disease and dementia.

Stultz says the specialized facilities will provide more appropriate care while being a less costly alternative to nursing homes.