When George Sparnon lost everything in a house fire in 2015, it was a war veteran who helped him get back on his feet.

By donating a caravan, the veteran put a roof over his head, and gave him a warm place to sleep at night.

It was an act of kindness the President of the Lismore Men's Shed, on the north coast of New South Wales, has not forgotten.

And when fellow volunteer Ian Bottrell pitched the idea of refurbishing an old caravan to provide accommodation for homeless veterans — Mr Sparnon was on board immediately.

"I lost everything in a fire in South Australia in 2015, except for the clothes I stood up in, and my car and my dog," he said.

"I was given a good quality caravan by a Vietnam vet, so as soon as I started hearing about homeless vets, well, I wanted to get in and get something done."

Mr Sparnon said it had been a six-month labour of love for the volunteers at the Lismore Men's Shed.

While it is not five-star, he believes the caravan will make a big difference to the lives of homeless veterans in the region, who are often forced to sleep under bridges, or in doorways.

"It's not a silk purse as it is, but it's a long way from a sow's ear, that's for sure," he said.

"It may only ever be a temporary home for them, but at least it will be somewhere safe, lockable, dry and have some of the comforts of home."

Lismore Men's Shed co-ordinator and veteran Ian Bottrell knows better than most the impact war can have on mental health. ( ABC North Coast: Leah White )

No shortage of homeless veterans on the north coast

Jennifer Noble, from the Veterans' Advocacy Centre in Alstonville, said the number of homeless veterans on the north coast was "surprisingly prevalent".

"I'd say we've got four or five people today, that are looking for emergency accommodation," she said.

"No funding is coming in, no Centrelink payments, they're desperate for a roof over their head.

"It just goes to show how vital these caravans are going to be."

Ms Noble said the advocacy service was seeing an influx of former soldiers from the more recent conflicts including East Timor, Iraq and Afghanistan.

"It's the younger generation of ex-service people that are coming to our door," she said.

"Between the ages of about 25 and 35 is age group, that's the main age group at the moment.

"What we're finding is that these soldiers are coming back with post-traumatic stress disorder, it could be depression, it could be suicidal tendencies, they might have financial difficulties.

Jennifer Noble form the Veterans Advocacy Centre in Alstonville says the number of homeless veterans on the north coast is "surprisingly prevalent". ( ABC North Coast: Leah White )

A cause that hits close to home for men's shed volunteer

It is a project that hits particularly close to home for Lismore Men's Shed co-ordinator Ian Bottrell.

The veteran knows better than most the impact war can have on mental health, and the slippery slope to homelessness many former soldiers face.

"They go to war, and then they come home, and everything's alright for a while, and then the night terrors start of what they've seen, and it frightens the bloody daylights out of the wife and the kids," he said.

"The wife gets to the stage where she says 'we can't put up with this any longer, get out' so from that moment on they're homeless."

Lismore Mens Shed team of volunteers are putting the final touches on a refurbished caravan that will be donated to a local advocacy group. ( ABC North Coast: Leah White )

Mr Bottrell said the caravans would serve as a vital foundation for homeless veterans to start getting their lives back on track.

"It will give them a sense of more dignity," he said.

"Rather than sleeping rough, they can get their own meals, go to bed nice and warm, and dry, they can start their regimented life again.

"By doing their own cooking, their own washing, ironing and all of that sort of that of stuff, they gradually assimilate back into normal life."

The battle to find volunteers to build homes

The Lismore Men's Shed hopes to build more temporary accommodation for homeless veterans in the future.

But before it can do that — it needs to find a home for itself.

George Sparnon said the volunteer group currently used a pavilion at the North Lismore showground, but they were forced to pack up and re-locate every few months to make way for large-scale events.

George Sparnon is the President of the Lismore Mens Shed, who have been busy putting the final touches on a caravan that will be donated to a local Veterans Advocacy Group, to help house homeless veterans in the region. ( ABC North Coast: Leah White )

"We get ourselves all set up working on the caravan, we have to move because something's taking place in the showgrounds," he said.

"We have to load everything up, clean everything out and then we bring it back and we start again.

"That's not the ideal situation."

Lismore Mayor Isaac Smith said he had been working with the organisation for almost a year to try to find a permanent space.

"It's very difficult for council to help everyone, but we know the Men's Shed does a great job, and I will do anything I can to connect them with the people who can make that happen," he said.

Cr Smith said there were a number of sites being considered, and he hoped to have one confirmed next year.