Suffolk is to receive part of a £10 million government fund for seaside areas. Under the initiative, Southwold's enterprise hub will get £995,000. The town is also expected to gain 90 new jobs.
The hub will contain retail space, business units and co-working areas. A new Southwold Development Team will have responsibility for regenerating the local economy, including business support and marketing activity.
According to the government, the Coastal Communities Fund will be spent on five "transformational projects". They will be in Cumbria, Dorset, Gloustershire, Kent, and Suffolk .
Southwold has a reputation for affluence, but second homes have driven property prices up and local people out. 60 percent of properties in the town are now second homes. On average, properties are 21 times the local salary. Expensive land also means pricey business rates.
The investment intends to create jobs, boost tourism, improve transport and protect coastal heritage sites.
The fund is forecast to support nearly 1,000 jobs and attract up to £7.9 million in additional investment from public and private sector sources, the government said.