Residents of the area planned for development were mostly American and Italian born semi-skilled workers, easily swayed to sell off their properties to the city. The director of the slum clearance committee was R.H. Shreve, of Shreve, Lamb & Harmon, the architects famous for designing the Empire State Building.

A Landmarks Preservation Committee report wrote of the area prior to 1935, "Most of buildings were mixed-use, incorporating retail spaces at ground level and apartments above \[...] 90% of the structures were at least forty years old, 70% were built of wood, 78% had no central heating, and 67% had no private toilets." The site was also occupied by the Williamsburg Continuation School and the Finco Dye and Print Works, Inc. Over 600 wooden frame houses were demolished on the 23.3-acre area, and around 5,400 people were relocated to make way for this project.

Led by Richmond Shreve, the design team for the planned complex consisted of nine architects. The main designer was William Lescaze, a Swiss-American architect famous for introducing the International, or modernist style, to the East Coast. Shreve, who coordinated the effort, had founded his practice designing office towers before the Depression. The 30's, however, transitioned his focus onto housing projects. Starrett Brothers & Eken, who Shreve hired to oversee the construction of the project, had worked with him on the Empire State Building. Shreves firm and the construction team would go on to build other housing developments such as Stuyvesant Town, Peter Cooper Village, and Parkchester.

The Williamsburg Houses are composed of twenty four-story structures that make up four "super-blocks." Three of the four super-blocks close the streets to traffic, with courtyards covering a three by one block area. The fourth block is segmented to allow traffic in front of the school and community center at the center of the development. The houses on the perimeter of the development form an "H," while those in the center are shaped like a "T," to account for small and large courtyards, parks, and play areas to take shape between the buildings. The buildings are angled diagonally for optimal sun exposure and protection against the north-east wind, a move deemed controversial because it broke with the uniformity of Brooklyn's street grid. However, many reviews heralded this design choice, proclaiming it modern and innovative. Lescaze's design went against the typical "tower-in-the-park" model for a housing project, instead opting for a more intimate scale to "allow the feeling of space to weave in and out of the street fronts," as described in its LPC designation report. No fences divided the grounds and winding concrete pathways lead from building to building. The buildings were constructed of tan brick with exposed concrete to express the floorplates of each level. Entrances, located in corners or on flat sides of buildings, were adorned with blue tiles and stainless steel canopies bearing each address in blocky letters. Signs throughout the complex and changing colors helped residents navigate the complex.

This project was both the largest and the most costly of all of the PWA's works, therefore, public perception was highly important. The use of federal funding for low-income housing was a relatively new concept, criticized as socialist, by some and regarded as essential to American democracy by others. To encourage public attention, various model apartments opened in the Houses while construction was still underway. These units, furnished by department stores, received around 1,200 visitors each day. Even President FDR and first lady Elenor Roosevelt visited the project before its completion. The Brooklyn Daily Eagle called, it "one of the most perfect home sites in the world...an eagerly sought out spot to live." It was eagerly sought indeed, and over 25,000 New Yorkers applied for the 1,622 apartments in the Williamsburg Houses. Before moving in, residents were required to submit their belongings to a fumigation plant for sanitation; sterilization was one of the tenants of modernism, after all.

Cleanliness, ample outdoor space, and sunlight were critical components of the European modern movement which Lecasze channeled in his design. The final component of the complex which made it truly of the International Style was modern art. Murals in the development were selected by the Federal Art Projects Mural Division, with painter Burgoyne Diller serving as chair. Five pieces by Ilya Bolotowsky, Balcomb Greene, Paul Kelpe, and Albert Swinden were selected to decorate basement meeting and recreation rooms. The murals were painted over after some time but rediscovered in 1980. They are now on long term loan to the Brooklyn Museum. In the 1990s, the Williamsburg Houses underwent a comprehensive renovation, which included a replacement of all exterior materials. The Landmarks Preservation Committee concluded, "The high standards set by the design of the Williamsburg Houses have rarely been matched...it remains one of the most pleasant and architecturally distinguished housing developments in New York City."