Homeless residents in Darwin will have access to a new $10 million accommodation facility.
A new hostel which will be constructed, providing 70 temporary beds.
The federal coalition has partnered with Aboriginal Hostels Limited on the project.
Regional development minister Michael McCormack said the investment would improve support and address community safety issues.
"It is great to announce yet another significant piece of infrastructure that will help make Darwin and the Territory a better place to live," Mr McCormack said.
Country Liberals' Solomon candidate Kathy Ganley said the facility would help stop the endless cycle of crime that affects businesses.
"More needs to be done to help get homeless residents off the streets and into safe accommodation," Ms Ganley said.
She said a "fit for purpose and culturally appropriate" location is yet to be determined.
Funding for the facility has been allocated out of existing resources within the $5.2 billion Indigenous Advancement Strategy.
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