Two properties will be turned into homes for vulnerable children in Hartburn and Stillington.
Stockton Council's Cabinet made the decision despite opposition from some residents.
Those backing the plans say it will benefit the young people, none of whom have criminal records or are a danger to people.
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Ariana Grande fans from the North East have told how they were caught up in a terror attack which has killed at least 22 people.
Witnesses reported hearing a "huge bang" at the venue during the concert on Monday evening.
At least 22 people, including children, have died and dozens are injured after a suicide bomb attack at Manchester Arena