Cobnor Activities Centre is set to get a £50,000 boost to upgrade its facilities and buy a new safety boat.
The centre is one of 71 sports groups in the south east to receive the cash from Sport England’s Inspired Facilities Olympic legacy fund.
Manager of the centre Mark Murray-Brown said: “The funding was much needed.
“We have a wide range of young people at the centre and we are upgrading the facilities for them. This includes showers and toilets.
“Hopefully the work will be completed by Easter. We haven’t got quite enough safety cover to do all the range of boat activities so we are getting a five-and-a-half metre RIB.”
Bosham councillor Myles Cullen said Cobnor Activities Centre was something to foster and cherish.
He added: “The work they do with young people is absolutely outstanding and it has been this way for so long.
“It is an example to other activities centres around the country.
“I am so proud that the people put all the effort in to make it such a success because it deserves to be a success.”
The fund is part of the £135m Places People Play National Lottery-funded legacy programme that is bringing the magic of a home Olympic and Paralympic Games into communities across England.
All the facilities will carry the London 2012 Inspire mark, celebrating the link to the Games.
Mr Murray-Brown said: “We are looking forward to the Olympics.
“There are some positive schemes which include a day in July where everyone is encouraged to go afloat.
“We have a programme to involve adults with sailing and we will be starting up a range of programmes from Easter for mountain biking, climbing, canoeing and sailing.”
Sport England’s chairman Richard Lewis said: “For hundreds of clubs and tens of thousands of people, 2012 will be the year their local sports facilities got better.
“We’ve had unprecedented demand for this fund, which has really hit the mark with sports clubs in the southeast. It shows we’re offering the sporting legacy that people want.”
The investments announced will breathe new life into tired facilities that can be unattractive to sports participants, difficult to maintain and run.
Grants have also been offered to convert existing buildings into venues that are suitable for grassroots sport and to allow local clubs to buy the facilities they use.