A car park will permanently close to make way for new housing.
Adur District Council will close South Street car park in Lancing from March 11 so it can start work to build temporary accommodation.
Four one-bedroom and three two-bedroom houses will be built on the site, each with a garden.
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They will be used as temporary accommodation for families with nowhere to stay who the council would otherwise have to find rooms for in B&Bs or outside the district.
It is hoped people will be able to move in from March next year.
A council spokesman said: “The work is part of our plans to replace our old garage compounds and under-used sites with extra homes that families in the district need in Sompting, Lancing, Shoreham, Southwick and Fishersgate.”
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