“In a Shanty in Old Shanty Town” was written by Ira Schuster and Jack Little with lyrics by Joe Young, published in 1932. Ted Lewis and His Band performed it in the film The Crooner also in 1932. That version was released as a single and went to #1 and stayed there for 10 weeks.
Then Johnny Long and His Orchestra had a hit with it in 1946. Other versions have been recorded in various tempos including by Doris Day, Somethin’ Smith & the Redheads and Jerry Lee Lewis. If you want to look through the massive number of versions, here’s the Discogs link. I’m partial to the Ink Spots cover. As for the meaning of the lyrics, I think we can boil it down to “man likes his shack.”
In a Shanty in Old Shantytown
It’s only a shanty
in old Shanty Town
the roof is so slanty it touches the ground.
But my tumbled down shack by an old railroad track,
like a millionaire’s mansion is calling me back.
I’d give up a palace if I were a king.
It’s more than a palace, it’s my everything.
There’s a queen waiting there with a silvery crown
in a shanty in old Shanty Town.*
*I notice that Somethin’ Smith and the Redheads had some fun with new lyrics sometime after WWII with mention of GI loans and such. You can find those additional lyrics here.