A model of the process of local buckling in tubular steel structural elements is presented. It is assumed that this degrading phenomenon can be lumped at plastic hinges. The model is therefore based on the concept of plastic hinge combined with the methods of continuum damage mechanics. The state of this new kind of inelastic hinge is characterized by two internal variables: the plastic rotation and the damage. The model is valid if only one local buckling appears in the plastic hinge region; for instance, in the case of framed structures subjected to monotonic loadings. Based on this damage model, a new finite element that can describe the development of local buckling is proposed. The element is the assemblage of an elastic beamcolumn and two inelastic hinges at its ends. The stiffness matrix, that depends on the level of damage, the yielding function and the damage evolution law of the two hinges define the new finite element. In order to verify model and finite element, several small-scale frames were tested in laboratory under monotonic loading. A lateral load at the top of the frame was applied in a stroke-controlled mode until local buckling appears and develops in several locations of the frame and its ultimate capacity was reached. These tests were simulated with the new finite element and comparison between model and test is presented and discussed.