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In a news release Tuesday, Kentucky Venues said the work begins Tuesday at Newmarket Hall, paving the way for Phase I of the project.
The project will add 50 beds, allowing residents to stay past the age of 21 and also increase capacity for more kids.
A $3 million donation will help propel Louisville's vision to house and care for the homeless.
The 2024 Kentucky State Fair wrapped up on Sunday, marking an end to the 11-day summer tradition in Louisville.
Work will begin next year on the first two phases of a massive expansion and renovation to the Kentucky Exposition Center, modernizing and enlarging Louisville's largest event space.
The project was made possible by funding from Kentucky's General Assembly.