The facility is being built on the outskirts of Bodmin next to the East Cornwall Recycling Centre and it is hoped that it will be used to divert thousands of tonnes of waste from landfills in the area each year.
The initiative is being managed by Cornish not for profit company ReZolve Kernow which manages environmental projects and it is closely supported by North Cornwall and Caradon district councils.
Under the title RE:SOURCE, the project will use around 20 tonnes of steel in the construction of the building which will house reuse workshops and a retail outlet.
Furniture and household appliances collected from North Cornwall and Caradon will also be repaired, refurbished, recycled and sold with it hoped the building will be finished and open to the public by early June.
North Cornwall District Council community services committee chair councillor Linda Spear said: We have been working with ReZolve Kernow and our neighbouring district, Caradon, for a long time on RE:SOURCE and are very excited to see that work coming to fruition.
RE:SOURCE is very important to East Cornwall, helping to improve our environment, providing jobs and training opportunities as well as affordable furniture, so everyone wins.