Leeds Rainbow Project's home for the learning disabled was officially opened by Jeremy Burton, grandson of the late clothing magnate, Sir Montague Burton.
Local Jewish Welfare Board president Edward Ziff said the fit-out of Montague House had been made possible by a generous donation from the Burton Trust.
"We see yet again the wonderful generosity of the Burton family, who have a long association with the welfare board."
The six-bedroom detached house is on a site previously occupied by a block of flats which were demolished in 2008. It provides round the clock support for six adults with learning disabilities.
Mr Burton said his grandfather had been committed to helping the community to which he felt so close and the trust was keen to perpetuate his vision. "We are delighted to see such a lovely homely home here in Moortown."
Rainbow Project services manager Pam Wisnia said: "Residential care no longer means that people have to live in an institutionalised environment, giving up their rights to make fundamental choices about their own lives."