Compton Youth Centre in Henwood Road, Tettenhall, has been empty since September 2019 and the building has since fallen into disrepair.
The council’s cabinet resources committee agreed to allow Windmill Community Church, currently based in Finchfield, to take the premises on for a 99-year term on a minimal rent.
Councillor Jacqueline Sweetman, cabinet member for city assets and housing, said: “This is another good news story. Compton Youth Centre is an asset located within the Tettenhall Wightwick ward that is currently vacant and has been for some time.
“The council was approached by Windmill Community Church to take the property on and provide the required investment needed to develop the building into a vibrant hub serving the local community.
“A community engagement consultation has been carried out which was very positive, and the project also has the support of ward councillors who have all been consulted."
Wolverhampton Council leader, Councillor Ian Brookfield, told members: “This is a fantastic use for a facility that is unfortunately no longer being used. We have several other places like this around the city that we can bring back into use for local communities.
“I know we’ll get many more of these in the coming months and years ahead. We need to get some of our estate’s buildings that are no longer being used for original purpose and reopen them for use in the community.”
Councillor Wendy Thompson said: “I am pleased that this building will be brought back into use. The Windmill Community Church have a positive track record of both restoring property and delivering community services.”
Councillor Jonathan Crofts added: “This deal is a win-win situation for local residents. Not only is the community regaining a lost building, the taxpayer is not having to pick up the cost of refurbishment or the previous ongoing cost of securing an empty building.”
Refurbishment costs are estimated to be in excess of £200,000.