A $50,000 state government grant is intended to transform a graffiti-covered Caringbah laneway into "a safe and attractive space".
Attorney-General Gabrielle Upton announced the grant to Sutherland Shire Council for the project in Park Lane, next to the council car park and Coles supermarket.
Miranda MP Eleni Petinos said the graffiti "hot spot" would be beautified, with public art and plants and shrubs, designed to block access to walls targeted by vandals.
A council spokeswoman said Park Lane was subject to graffiti, largely on commercial premises that were accessible only from the laneway.
"The plan is to work with the business owners bordering the laneway to implement the project," she said.
"Council has begun consultation workshops with businesses and property owners.
"A draft design will be developed and the project is scheduled to be completed by mid- 2016."
Cronulla MP Mark Speakman said cleaning up graffiti in NSW cost more than $100 million a year.
"That's money that could be better spent on things that matter like schools, hospitals or roads," he said.
Bureau of Crime Statistics and Research figures showed the rate of malicious damage in Sutherland Shire had been stable for the last two years, with about 1600 incidents recorded in the area in 2014.
VANDALS HIT
At least two major graffiti attacks have occurred in other parts of Caringbah over the past few weeks.
Burraneer Rugby Club buildings at John Dwyer Oval were hit heavily.
The top of an apartment block in a high-profile position on the Kingsway, near the intersection of Mackay Street, was also vandalised.
Incidents can be reported to the NSW Graffiti Removal hotline on 1800707125, and the council has a Report It app, which can be downloaded via ITunes or Google Play.
■ Will this project be value for money?