A five-storey building with 82 small suites has been approved by Kelowna city council.
The project, by Worman Commercial, will be built on Benvoulin Court, south of Orchard Park mall.
City councillors on Tuesday issued a permit for the building's form and character, after reviewing images of what the project will look like.
The building by city planners is described as "modern and minimalistic" with windows designed to promote energy efficiency.
Eighteen ground-floor suites will be less than 320 sq. feet in size. They are to offered to youth through a social service provider that has yet to be chosen by Worman Commercial.
The other 64 suites on the upper floors would be bachelor units, rented to the public at going rates.