The Georgian three-storey property, located at 24 Lichfield Street, will be turned into nine flats following the successful application by Wolverhampton-based businessman Mario Wojcik.
In a report granting approval, planning officer Ragbir Sahota said: “The principle of residential development in this location would contribute to the housing allocations and to the improvements of Bilston town centre.
“The building is in the Bilston Town Centre Conservation Area, has a basement and is Grade II listed. The architectural and historic significance of it is largely derived from the principal façade.
“This proposal will not affect the architectural or historic significance of the building and will deliver the public benefit of securing its future as a designated heritage asset.
“The apartment sizes are varied due to the existing limitations of the listed building, but all provide good quality living accommodation,” added the report.
“The development overall will bring a vacant listed building back into use with housing that will contribute to the town centre.”
A heritage statement prepared by Daljit Bharya, of Birmingham-based Bharya Design & Build Consultancy, said: “The Bilston Town Centre Conservation Area was designated by Wolverhampton City Council in September 1975.
“Its boundary was most recently reviewed in October 2002 and this appraisal was published in September 2013.
“Numerous historic buildings document the development of this part of the town centre as the civic, religious and social heart of Bilston – including 18 statutory listed buildings and 12 locally listed buildings, as well as a large number of ‘buildings of townscape merit’.
“A particular focus of civic and public buildings serving the town includes the town tall, police station, Drill Hall, technical school, library, art gallery and post office, which represent the development of Bilston’s civic identity as a prosperous town in the mid-19th to early 20th century,” said the statement.
The property is also located near to Bilston’s popular Robin 2 live music venue.