VENTNOR Town Council has been awarded £95,000 by the Coastal Communities Fund, towards the new Ventnor Enterprise Centre at Salisbury Gardens.
The town council plans to provide a centre for business start-ups and other enterprise in the creative industries and office-based services.
A substantial building programme to refurbish and reconfigure the rooms involved is already planned and will start soon, following the Isle of Wight Council's decision to lease the building to the town council.
It is expected the rooms will be ready by July and the town council said there was already significant interest.
A town council spokesman said: "The Coastal Communities Fund grant is an important contribution to the project that will stimulate the town's economy and extend the life of one of the town's iconic buildings."
At a meeting of the IW Council's overview and scrutiny committee last night (Thursday), councillors recommended the building was leased to Ventnor Town Council but not the land until it was valued.