Liverpool Mutual Homes has started redevelopment work to transform a former 19th century convent in the city into a hostel for the homeless.
Bardsley Construction was appointed to redevelop Belvidere Road Family Centre for families needing temporary emergency respite.
The £3.5m project is expected to be completed early next year.
Improvements will include a new side wing and a rear extension of four apartments along with the upgrading of the existing centre to provide 16 self contained flats.
The building comprises of two former semi-detached houses built in the 1870s which were converted into a convent before being transformed into a respite centre some 20 years ago.
The original façade is being reinstated to its former glory to ensure the designs compliment the Princes Park conservation area.
Energy efficient products are at the heart of the scheme with photovoltaic solar cells fixed to the roof to supply electricity, and a large glazed panel will also be part of the extension, allowing natural light into the building.
Steve Coffey, chief executive at Liverpool Mutual Homes, said: "It is a very exciting project and will really transform the building aesthetically but more importantly, provide a vital service for those most in need in the city.
"The green agenda is a key priority for us. "This scheme, like the rest of our £380m regeneration programme across the city, is sustainable not only in terms of energy costs and its low carbon footprint, but in its flexible design and construction methods enabling it to cater for a wide range of people, providing them with outstanding support for many years to come."
The redevelopment will also feature family lounges, a library, offices, laundry, nursery and crèche facilities, meeting and training rooms, a staff sleeping room, and areas for storing large possessions which cannot be accommodated in the living units.
All apartments will have dining and living areas with open plan kitchens.
The plans are fully compliant with the Disability Discrimination Act and all rooms, floors and functions will be accessible by wheelchairs.