The cabins arrived on Tuesday morning, the first of five that will be installed in the park.

State government funding of $465,000 has been received for the installation of the cabins, which will be used to house workers coming into the Moyne Shire.

The project is being overseen by Moyne Shire Council, who contributed $200,000. The caravan park is council owned.

Moyne Shire Council mayor Cr Ian Smith said it was exciting to see the project entering its final stages.

He said the cabins were on track to be ready for workers to stay in by late August.

"This is Council partnering with the state government to provide a real solution to the region's housing and labour shortage," Cr Smith said.

"We installed five cabins in Mortlake last year and they are now fully booked with key workers, which has meant local businesses have been able to attract workers to complete projects they otherwise wouldn't have been able to.

"There's been strong interest from business wanting to make use of the Koroit Cabins as well.

"It's a win-win situation. It means businesses can attract workers, it brings extra people to the towns that then spend in local shops.

"Then when the cabins aren't being used for worker housing, they will provide ongoing tourist accommodation options."

Local businesses can register their interest in utilising the cabins for workers via www.moyne.vic.gov.au/WorkerAccommodation