Unit Y was created about eight years ago, but has had limited use in recent times due in part to resourcing levels.

Federation Council has been approached by the Corowa community garden group, which is located directly opposite Unit Y in Queen Street, to establish the Men's Shed by seeking affiliation to the state association.

Administrator Mike Eden this week agreed in-principle to lease Unit Y to the community garden group free of charge.

But it will be required to pay for waste and utility charges under the arrangement to be placed on public display.

Also, the future Men's Shed group has agreed to partner with council to deliver a mentoring program for young people and conduct activities which would be attractive to youth and other community groups.

Former Corowa mayor Paul Miegel said it was important council didn't forget the town's youth.

"I know there has been a resource issue, but I don't think we can ignore the requirements of youth," he said.

"Somewhere down the track that needs to be considered.

"Whether it be a standalone facility or whether it be something of a more temporary nature."

In a submission to council, community garden group secretary Lynn Fredericks said the Men's Shed would be a great asset to Corowa and surrounds.

"Although this project is being promoted by the Corowa community garden and its members it should be noted that it will in time be fully self-governing and self-supporting by having its own management team," she said.

"We see this facility being a great asset to Corowa and its community both from a service to the community point of view and also a mental health aspect."

Plans are afoot to paint the outside of the building and re-configure the internal layout to create two work areas for woodworking, welding and construction.