The 23-year-old 'A Team' singer has spent 1.6 million pounds on a former police station in Suffolk in the hope of helping local youngsters, reported Daily Mirror.
"I'm really excited about the project. I had a youth club from when I was 12 when I grew up and they did a battle of the bands every week and that's where I and other bands started playing," he said.
"Then the land the club was on was sold and I just went off to London and did shows instead. Now there's no youth club and nothing to do so it's a bad situation."
"The plan when I get older is to end up running that (the youth club) - so I have pretty much planned my retirement," he said.
Sheeran recently released his new music video for upcoming single 'Sing' featuring Pharrell Williams.