Rough sleepers are using a cardboard shelter in the shadow of Cardiff City Hall.
The makeshift structure, made up of cardboard boxes, wooden pallets and tarpaulin, has appeared on the grass alongside Boulevard De Nantes.
The shelter, which is within a clear view from City Hall and Cardiff Crown Court, is understood to have been there for a number of days.
Cardiff council's outreach team has visited the shelter to give fire safety advice after a number of tents for rough sleepers in Cardiff have been burned in recent months.
Two rough sleepers lost everything when the tent they had been sleeping in off Penarth Road caught fire two months ago.
In another incident last December a rough sleeper's tent was set on fire in Queen Street. He was rushed to hospital and treated for burn injuries.
The council has removed at least 19 tents which were used by rough sleepers from the city centre - which the authority says were abandoned.
Its officers were caught on camera clearing an encampment of rough sleepers from parkland off Museum Avenue in April.
Last week the outreach team and South Wales Fire and Rescue Services provided fire safety messages to people sleeping in tents in Cardiff.
Watch: Homeless man's tent removed from Museum Avenue, Cardiff
The council says there are increasing concerns for the welfare of tent occupiers in Cardiff.
Cllr Lynda Thorne, cabinet member for housing and communities, said: "A few individuals have had some very lucky escapes from tents that have caught on fire in the city recently.
"While one person suffered only minor burns, it could have been a lot worse and we remain very concerned for the safety of people in tents. This is why we have been working so hard over recent months to help people into accommodation."
South Wales Fire Service has raised concerns over the dangers of cooking inside tents with naked flames.
Gareth Llewellyn, commander of the Cardiff Central fire station, said: "We are aware of some of the issues faced by vulnerable people living on the street and the use of naked flames.
"Cooking inside tents can produce Carbon Monoxide, which is colourless, odourless and lighter than air. The side effects of Carbon Monoxide poisoning can be fatal in poorly ventilated spaces.
"In a confined space, such as a tent there is a danger of a build-up of carbon monoxide given off by the flame, alongside the materials that some tents are made of which will readily ignite causing a fire to rapidly spread.
"We would encourage those who find themselves in difficult circumstances to work with support services available."
