Properties compulsorily acquired to make way for the East West Link will be used to house homeless people.

The government will hand over 20 houses to the Collingwood Football Club's Magpie Nest program, which provides accommodation and support to people sleeping rough or living in unsafe rooming houses.

Housing Minister Martin Foley and homelessness program resident Trevor Wulf at a Collingwood house that was acquired for the abandoned East West Link. Credit:Eddie Jim

It follows Premier Daniel Andrews earlier this year saying the properties compulsorily acquired could be used to support some of Victoria's most needy.

The handover comes amid enormous pressure on the Victorian public housing system, with the waiting list recently reaching 34,000.