diff --git a/tests/conftest.py b/tests/conftest.py
index c274307a6..cd47977a6 100644
--- a/tests/conftest.py
+++ b/tests/conftest.py
@@ -56,7 +56,7 @@ def model_namespace(request: FixtureRequest, admin_client: DynamicClient) -> Gen
 
     if request.param.get("modelmesh-enabled"):
         request.getfixturevalue(argname="enabled_modelmesh_in_dsc")
-        ns_kwargs["labels"] = {"modelmesh-enabled": "true"}
+        ns_kwargs["model_mesh_enabled"] = True
 
     with create_ns(**ns_kwargs) as ns:
         yield ns
@@ -286,3 +286,23 @@ def cluster_monitoring_config(admin_client: DynamicClient) -> Generator[ConfigMa
         data=data,
     ) as cm:
         yield cm
+
+
+@pytest.fixture(scope="class")
+def unprivileged_model_namespace(
+    request: FixtureRequest, unprivileged_client: DynamicClient
+) -> Generator[Namespace, Any, Any]:
+    ns_kwargs = {
+        "name": request.param["name"],
+        "unprivileged_client": unprivileged_client,
+    }
+
+    if _annotations := request.param.get("annotations"):
+        ns_kwargs["ns_annotations"] = _annotations
+
+    if request.param.get("modelmesh-enabled"):
+        request.getfixturevalue(argname="enabled_modelmesh_in_dsc")
+        ns_kwargs["model_mesh_enabled"] = True
+
+    with create_ns(**ns_kwargs) as ns:
+        yield ns
diff --git a/tests/model_serving/model_server/authentication/conftest.py b/tests/model_serving/model_server/authentication/conftest.py
index da885839e..a72bc3401 100644
--- a/tests/model_serving/model_server/authentication/conftest.py
+++ b/tests/model_serving/model_server/authentication/conftest.py
@@ -15,7 +15,6 @@
 
 from utilities.inference_utils import create_isvc
 from utilities.infra import (
-    create_ns,
     create_isvc_view_role,
     get_pods_by_isvc_label,
     s3_endpoint_secret,
@@ -329,12 +328,6 @@ def http_s3_caikit_raw_inference_service_2(
 
 
 # Unprivileged user tests
-@pytest.fixture(scope="class")
-def unprivileged_model_namespace(
-    request: FixtureRequest, unprivileged_client: DynamicClient
-) -> Generator[Namespace, Any, Any]:
-    with create_ns(unprivileged_client=unprivileged_client, name=request.param["name"]) as ns:
-        yield ns
 
 
 @pytest.fixture(scope="class")
diff --git a/tests/model_serving/model_server/upgrade/conftest.py b/tests/model_serving/model_server/upgrade/conftest.py
index d051f3eb2..f111c352c 100644
--- a/tests/model_serving/model_server/upgrade/conftest.py
+++ b/tests/model_serving/model_server/upgrade/conftest.py
@@ -56,9 +56,7 @@ def model_namespace_scope_session(
     admin_client: DynamicClient,
 ) -> Generator[Namespace, Any, Any]:
     with create_ns(
-        admin_client=admin_client,
-        name=UPGRADE_NAMESPACE,
-        labels={"modelmesh-enabled": "true"},
+        admin_client=admin_client, name=UPGRADE_NAMESPACE, model_mesh_enabled=True, add_dashboard_label=True
     ) as ns:
         yield ns
 
diff --git a/utilities/infra.py b/utilities/infra.py
index d47ec9ce0..e5a5e794d 100644
--- a/utilities/infra.py
+++ b/utilities/infra.py
@@ -33,7 +33,7 @@
 from semver import Version
 from simple_logger.logger import get_logger
 
-from utilities.constants import Timeout
+from utilities.constants import Labels, Timeout
 from utilities.exceptions import FailedPodsError
 from timeout_sampler import TimeoutExpiredError, TimeoutSampler
 from utilities.general import create_isvc_label_selector_str, get_s3_secret_dict
@@ -44,11 +44,14 @@
 @contextmanager
 def create_ns(
     name: str,
-    admin_client: Optional[DynamicClient] = None,
-    unprivileged_client: Optional[DynamicClient] = None,
+    admin_client: DynamicClient | None = None,
+    unprivileged_client: DynamicClient | None = None,
     teardown: bool = True,
     delete_timeout: int = Timeout.TIMEOUT_4MIN,
-    labels: Optional[dict[str, str]] = None,
+    labels: dict[str, str] | None = None,
+    ns_annotations: dict[str, str] | None = None,
+    model_mesh_enabled: bool = False,
+    add_dashboard_label: bool = False,
 ) -> Generator[Namespace | Project, Any, Any]:
     """
     Create namespace with admin or unprivileged client.
@@ -60,30 +63,39 @@ def create_ns(
         teardown (bool): should run resource teardown
         delete_timeout (int): delete timeout.
         labels (dict[str, str]): labels dict to set for namespace
+        ns_annotations (dict[str, str]): annotations dict to set for namespace
+        model_mesh_enabled (bool): if True, model mesh will be enabled in namespace
+        add_dashboard_label (bool): if True, dashboard label will be added to namespace
 
     Yields:
         Namespace | Project: namespace or project
 
     """
+    namespace_kwargs = {
+        "name": name,
+        "client": admin_client,
+        "teardown": teardown,
+        "delete_timeout": delete_timeout,
+        "label": labels or {},
+    }
+
+    if ns_annotations:
+        namespace_kwargs["annotations"] = ns_annotations
+
+    if model_mesh_enabled:
+        namespace_kwargs["label"]["modelmesh-enabled"] = "true"  # type: ignore
+
+    if add_dashboard_label:
+        namespace_kwargs["label"][Labels.OpenDataHub.DASHBOARD] = "true"  # type: ignore
+
     if unprivileged_client:
         with ProjectRequest(name=name, client=unprivileged_client, teardown=teardown):
-            project = Project(
-                name=name,
-                client=unprivileged_client,
-                teardown=teardown,
-                delete_timeout=delete_timeout,
-            )
+            project = Project(**namespace_kwargs)
             project.wait_for_status(status=project.Status.ACTIVE, timeout=Timeout.TIMEOUT_2MIN)
             yield project
 
     else:
-        with Namespace(
-            client=admin_client,
-            name=name,
-            label=labels,
-            teardown=teardown,
-            delete_timeout=delete_timeout,
-        ) as ns:
+        with Namespace(**namespace_kwargs) as ns:
             ns.wait_for_status(status=Namespace.Status.ACTIVE, timeout=Timeout.TIMEOUT_2MIN)
             yield ns