The money will help supply more than 100 new social housing properties across Greater Hobart, the Liberal National government announced on Friday.

"All three levels of Government are working together to look after low-income families, people escaping domestic and family violence, older people and people living with disability," Cities Minister Alan Tudge said.

The move comes ahead of the signing of the Hobart City Deal this weekend.

Tasmania's housing minister Roger Jaenish welcomed the move and said the money would compliment work already underway.

"It complements the largest ever State Government investment of $200 million over eight years, to address demand across the entire housing spectrum," Mr Jaenish said.

Not only will the news provide homes for Tasmanians it will also provide jobs.

"In addition to helping to relieve housing affordability pressures, this important investment will also help to create more jobs during the construction of these homes," Liberal senator Eric Abetz said.

Officials will work with community housing providers and partners to the deal, to finalise projects.

Australian Associated Press