More than 300 workers will live in temporary prefabricated units near Kaikōura while they fix SH1 and the railway between Christchurch and Picton.
The North Canterbury recovery group, which includes the Transport Agency and KiwiRail, was contracted to repair the road and rail corridor damaged in the Kaikōura earthquake.
The Transport Agency's Steve Mutton said, in order to open the corridor by the end of the year, it needed to house more than 300 people on site.
Mr Mutton said the agency planned to set up an accommodation facility near Kaikōura, using temporary prefabricated units.
It planned to bring in temporary housing units for workers' accommodation.
He said the agency was working with the Kaikōura District Council to get the facility established and find the best location.