Up to 30 supported tenancies will be developed by the end of next year at the Quarriers Drumchapel Supported Youth Housing Project.
It will target 16- to 25-year-olds who are homeless or at risk of becoming homeless.
It will also help with education and employment.
Fiona McNeilly, a 20-year-old Drumchapel resident, said: "It is difficult trying to find somewhere to live when you are young. This is a cracking project that offers emotional and financial support."
Phil Robinson, chief executive of Quarriers, said: "We are teaching people the skills they need to live independently, to try to break the cycle of homelessness once and for all."
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