diff --git a/pype/ftrack/actions/action_create_project_folders.py b/pype/ftrack/actions/action_create_project_folders.py
new file mode 100644
index 0000000000..4bdce4a5c7
--- /dev/null
+++ b/pype/ftrack/actions/action_create_project_folders.py
@@ -0,0 +1,137 @@
+import os
+import sys
+import argparse
+import logging
+import json
+
+import ftrack_api
+from pype import lib as pypelib
+from pype.ftrack import BaseAction
+
+
+class CreateProjectFolders(BaseAction):
+    '''Edit meta data action.'''
+
+    #: Action identifier.
+    identifier = 'create.project.folders'
+    #: Action label.
+    label = 'Create Project Folders'
+    #: Action description.
+    description = 'Creates folder structure'
+    #: roles that are allowed to register this action
+    role_list = ['Pypeclub', 'Administrator']
+    icon = (
+        'https://cdn2.iconfinder.com/data/icons/'
+        'buttons-9/512/Button_Add-01.png'
+    )
+
+    def discover(self, session, entities, event):
+        ''' Validation '''
+
+        return True
+
+    def launch(self, session, entities, event):
+        preset_items = [
+            pypelib.get_presets_path(),
+            'tools',
+            'project_folder_structure.json'
+        ]
+        filepath = os.path.sep.join(preset_items)
+
+        # Load folder structure template from presets
+        presets = dict()
+        try:
+            with open(filepath) as data_file:
+                presets = json.load(data_file)
+        except Exception as e:
+            msg = 'Unable to load Folder structure preset'
+            self.log.warning(msg)
+            return {
+                'success': False,
+                'message': msg
+            }
+
+        # Set project root folder
+        entity = entities[0]
+        if entity.entity_type.lower() == 'project':
+            project_name = entity['full_name']
+        else:
+            project_name = entity['project']['full_name']
+        project_root_items = [os.environ['AVALON_PROJECTS'], project_name]
+        project_root = os.path.sep.join(project_root_items)
+
+        # Get paths based on presets
+        paths = self.get_paths(presets)
+        
+        #Create folders
+        for path in paths:
+            os.makedirs(path.format(project_root=project_root))
+
+        return True
+
+    def get_paths(self, data, items=[]):
+        paths = []
+        path_items = []
+        path_items.extend(items)
+        name = data['name']
+        if name == '__project_root__':
+            name = '{project_root}'
+        path_items.append(name)
+        subfolders = data.get('subfolders', [])
+        if len(subfolders) == 0:
+            return os.path.sep.join(path_items)
+        for sub in subfolders:
+            result = self.get_paths(sub, path_items)
+            if isinstance(result, str):
+                paths.append(result)
+            else:
+                paths.extend(result)
+        return paths
+
+
+def register(session, **kw):
+    '''Register plugin. Called when used as an plugin.'''
+
+    if not isinstance(session, ftrack_api.session.Session):
+        return
+
+    CreateProjectFolders(session).register()
+
+
+def main(arguments=None):
+    '''Set up logging and register action.'''
+    if arguments is None:
+        arguments = []
+
+    parser = argparse.ArgumentParser()
+    # Allow setting of logging level from arguments.
+    loggingLevels = {}
+    for level in (
+        logging.NOTSET, logging.DEBUG, logging.INFO, logging.WARNING,
+        logging.ERROR, logging.CRITICAL
+    ):
+        loggingLevels[logging.getLevelName(level).lower()] = level
+
+    parser.add_argument(
+        '-v', '--verbosity',
+        help='Set the logging output verbosity.',
+        choices=loggingLevels.keys(),
+        default='info'
+    )
+    namespace = parser.parse_args(arguments)
+
+    # Set up basic logging
+    logging.basicConfig(level=loggingLevels[namespace.verbosity])
+
+    session = ftrack_api.Session()
+    register(session)
+
+    # Wait for events
+    logging.info(
+        'Registered actions and listening for events. Use Ctrl-C to abort.'
+    )
+    session.event_hub.wait()
+
+
+if __name__ == '__main__':
+    raise SystemExit(main(sys.argv[1:]))