Reports over the past decade, reveal the trend of poor cost performances of many Low-cost Housing (LcH) projects. This have apparently resulted in huge monetary losses to the government as the client, declining housing supply and undermined affordability of many Low and Low-medium incomes particularly in developing countries like Nigeria. In spite of the changes with contemporary trends in Nigeria, it would appear that the techniques employed in the management of the delivery costs of the LcH projects particularly in the South-east zone are yet similar to those used over a century ago. This necessitates urgent and appropriate sustainable intervention strategies adopting cost-effective techniques. Prior studies affirms the implications of modern cost management techniques such as Target Value Design (TVD) in improving delivery cost performances on construction projects. For this reason this paper which forms an integral part of an ongoing doctoral study, aim to identify the efficacy and applicability of TVD in the context of LcH project delivery cost management. A review of relevant and extant literature identifies peculiarities on the concept of TVD and LcH projects. Findings from literature and data collected via questionnaires further identify constraints on current LcH project delivery cost management system and clearly indicates the possible applicability and integration of TVD in the system. These findings provide a platform for the next phase of the research towards developing an improved delivery cost management model for LcH projects. This is expected to engender effective government-led LcH projects delivery particularly in in South-East zone Nigeria.