The Glenorchy Criminal Investigation Branch said it had been conducting an investigation involving the procurement of a young person into prostitution.

The man will appear in the Hobart Magistrates Court where he will face charges of:

* Two counts of sexual intercourse with a young person under the age of 17 years.

* Being a commercial operator of sexual services business;

* Permitting sexual intercourse with a young person on premises;

* Procuring unlawful sexual intercourse with person under 17 years;

* Receive a fee derived directly from sexual services provided by a child in a sexual services business.

A police spokesman said the young person has been in the care of authorities since the commencement of the investigation.

"It is the first time charges have been laid under the Sex Industry Offences Act."