diff --git a/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.html b/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.html
index a7bfd1d8be..0c1e8e2bd4 100644
--- a/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.html
+++ b/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.html
@@ -27,12 +27,21 @@
 
       <bit-form-field class="tw-mt-3 tw-mb-0">
         <bit-label>{{ "project" | i18n }}</bit-label>
-        <select bitInput name="project" formControlName="project">
-          <option value="">{{ "selectPlaceholder" | i18n }}</option>
-          <option *ngFor="let f of projects" [value]="f.id">
-            {{ f.name }}
-          </option>
-        </select>
+        <bit-select bitInput name="project" formControlName="project">
+          <bit-option value="" [label]="'selectPlaceholder' | i18n"></bit-option>
+          <bit-option
+            *ngFor="let p of projects"
+            [icon]="p.id === this.newProjectGuid ? 'bwi-plus-circle' : ''"
+            [value]="p.id"
+            [label]="p.name"
+          >
+          </bit-option>
+        </bit-select>
+      </bit-form-field>
+
+      <bit-form-field *ngIf="addNewProject == true">
+        <bit-label>{{ "projectName" | i18n }}</bit-label>
+        <input formControlName="newProjectName" maxlength="1000" bitInput />
       </bit-form-field>
     </div>
     <div bitDialogFooter class="tw-flex tw-gap-2">
diff --git a/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.ts b/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.ts
index 6d300d057a..bcc1e521e7 100644
--- a/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.ts
+++ b/bitwarden_license/bit-web/src/app/secrets-manager/secrets/dialog/secret-dialog.component.ts
@@ -1,14 +1,16 @@
 import { DialogRef, DIALOG_DATA } from "@angular/cdk/dialog";
 import { Component, Inject, OnInit } from "@angular/core";
 import { FormControl, FormGroup, Validators } from "@angular/forms";
-import { lastValueFrom, Subject } from "rxjs";
+import { lastValueFrom, Subject, takeUntil } from "rxjs";
 
 import { I18nService } from "@bitwarden/common/abstractions/i18n.service";
 import { PlatformUtilsService } from "@bitwarden/common/abstractions/platformUtils.service";
 import { OrganizationService } from "@bitwarden/common/admin-console/abstractions/organization/organization.service.abstraction";
+import { Utils } from "@bitwarden/common/misc/utils";
 import { DialogService } from "@bitwarden/components";
 
 import { ProjectListView } from "../../models/view/project-list.view";
+import { ProjectView } from "../../models/view/project.view";
 import { SecretListView } from "../../models/view/secret-list.view";
 import { SecretProjectView } from "../../models/view/secret-project.view";
 import { SecretView } from "../../models/view/secret.view";
@@ -39,11 +41,14 @@ export class SecretDialogComponent implements OnInit {
     value: new FormControl("", [Validators.required]),
     notes: new FormControl(""),
     project: new FormControl("", [Validators.required]),
+    newProjectName: new FormControl(""),
   });
 
   private destroy$ = new Subject<void>();
   private loading = true;
   projects: ProjectListView[];
+  addNewProject = false;
+  newProjectGuid = Utils.newGuid();
 
   constructor(
     public dialogRef: DialogRef,
@@ -74,6 +79,10 @@ export class SecretDialogComponent implements OnInit {
       this.formGroup.get("project").removeValidators(Validators.required);
       this.formGroup.get("project").updateValueAndValidity();
     }
+
+    if (this.data.projectId == null || this.data.projectId == "") {
+      this.addNewProjectOptionToProjectsDropDown();
+    }
   }
 
   async loadData() {
@@ -87,6 +96,7 @@ export class SecretDialogComponent implements OnInit {
       value: secret.value,
       notes: secret.note,
       project: secret.projects[0]?.id ?? "",
+      newProjectName: "",
     });
 
     this.loading = false;
@@ -111,6 +121,32 @@ export class SecretDialogComponent implements OnInit {
     this.destroy$.complete();
   }
 
+  private addNewProjectOptionToProjectsDropDown() {
+    this.formGroup
+      .get("project")
+      .valueChanges.pipe(takeUntil(this.destroy$))
+      .subscribe((val: string) => {
+        this.dropDownSelected(val);
+      });
+
+    const addNewProject = new ProjectListView();
+    addNewProject.name = this.i18nService.t("newProject");
+    addNewProject.id = this.newProjectGuid;
+    this.projects.unshift(addNewProject);
+  }
+
+  private dropDownSelected(val: string) {
+    this.addNewProject = val == this.newProjectGuid;
+
+    if (this.addNewProject) {
+      this.formGroup.get("newProjectName").addValidators([Validators.required]);
+    } else {
+      this.formGroup.get("newProjectName").clearValidators();
+    }
+
+    this.formGroup.updateValueAndValidity();
+  }
+
   get title() {
     return this.data.operation === OperationType.Add ? "newSecret" : "editSecret";
   }
@@ -127,6 +163,12 @@ export class SecretDialogComponent implements OnInit {
     }
 
     const secretView = this.getSecretView();
+
+    if (this.addNewProject) {
+      const newProject = await this.createProject(this.getNewProjectView());
+      secretView.projects = [newProject];
+    }
+
     if (this.data.operation === OperationType.Add) {
       await this.createSecret(secretView);
     } else {
@@ -140,6 +182,10 @@ export class SecretDialogComponent implements OnInit {
     return this.data.operation === OperationType.Edit;
   }
 
+  private async createProject(projectView: ProjectView) {
+    return await this.projectService.create(this.data.organizationId, projectView);
+  }
+
   protected openDeleteSecretDialog() {
     const secretListView: SecretListView[] = this.getSecretListView();
 
@@ -163,6 +209,13 @@ export class SecretDialogComponent implements OnInit {
     this.platformUtilsService.showToast("success", null, this.i18nService.t("secretCreated"));
   }
 
+  private getNewProjectView() {
+    const projectView = new ProjectView();
+    projectView.organizationId = this.data.organizationId;
+    projectView.name = this.formGroup.value.newProjectName;
+    return projectView;
+  }
+
   private async updateSecret(secretView: SecretView) {
     await this.secretService.update(this.data.organizationId, secretView);
     this.platformUtilsService.showToast("success", null, this.i18nService.t("secretEdited"));
diff --git a/bitwarden_license/bit-web/src/app/secrets-manager/shared/sm-shared.module.ts b/bitwarden_license/bit-web/src/app/secrets-manager/shared/sm-shared.module.ts
index e1cba09183..6d59503b50 100644
--- a/bitwarden_license/bit-web/src/app/secrets-manager/shared/sm-shared.module.ts
+++ b/bitwarden_license/bit-web/src/app/secrets-manager/shared/sm-shared.module.ts
@@ -1,6 +1,11 @@
 import { NgModule } from "@angular/core";
 
-import { MultiSelectModule, SearchModule, NoItemsModule } from "@bitwarden/components";
+import {
+  MultiSelectModule,
+  SearchModule,
+  SelectModule,
+  NoItemsModule,
+} from "@bitwarden/components";
 import { CoreOrganizationModule } from "@bitwarden/web-vault/app/admin-console/organizations/core";
 import { DynamicAvatarComponent } from "@bitwarden/web-vault/app/components/dynamic-avatar.component";
 import { ProductSwitcherModule } from "@bitwarden/web-vault/app/layouts/product-switcher/product-switcher.module";
@@ -22,6 +27,7 @@ import { SecretsListComponent } from "./secrets-list.component";
     MultiSelectModule,
     CoreOrganizationModule,
     NoItemsModule,
+    SelectModule,
     DynamicAvatarComponent,
     SearchModule,
   ],
@@ -37,6 +43,7 @@ import { SecretsListComponent } from "./secrets-list.component";
     ProjectsListComponent,
     SearchModule,
     SecretsListComponent,
+    SelectModule,
     SharedModule,
   ],
   declarations: [