Some 17 projects in London are to share nearly £19m of government funds to assist the homeless.
The investment will help some of the most vulnerable people gain the skills and confidence to achieve independence.
Much of the money will be spent on schemes designed to create more training and employment opportunities.
Among them are a fast-food business set up by homeless ex-servicemen to serve football fans and an employment scheme to help homeless people into education.
The Westway Business Centre, in Westminster, will use the funding at St Mungo's to create a workshop for training homeless people to make furniture for their hostels.
Pound Lane, in Brent, will transform its hostel with a design that will provide an open activity space, atriums for music and arts, and a community centre.
The "Young Olds" scheme in Lambeth, for individuals between 40 and 55 with needs more commonly associated with people of post-retirement age - such as dementia, and mobility problems - will provide support to help them move on positively.
Anchor House, Newham, will expand schemes to help homeless people into training and work, creating a construction skills training shop, traineeships in facilities and contracts management, and developing a social enterprise catering business.
A number of other hostels will be upgraded to provide a less institutionalised atmosphere.