Argyll and Bute Council and the Prince’s Regeneration Trust are leading efforts to restore the Grade-A listed Rothesay Pavilion on the Isle of Bute.

A Heritage Lottery Fund (HLF) grant of £3.33m means the Elder and Cannon designed project can now go ahead.

As part of the transformation the main auditorium will be upgraded and a second performance venue created as a dedicated space for young people, while permanent and temporary display galleries will accommodate a changing programme of exhibitions.

A bistro, bars, a shop and box office are also part of the design, along with a new multi-purpose rooftop space.

Colin McLean, head of the HLF in Scotland, said: “This wonderful pavilion is evocative of Rothesay’s heyday as a thriving tourist resort.

“Its resurgence as a cultural venue for the local community and visitors will not only save an important piece of the Bute’s heritage but will have a positive impact on the regeneration of this town.

“HLF is delighted to help put Rothesay Pavilion back at the heart of island life and community pride.”

The A-listed pavilion is due to close in autumn 2015 with construction work expected to start in January 2016.

It is expected to reopen in the summer of 2017.

The pavilion was designed by JA Carrick and was opened in 1938 to serve the visitor economy and local population.

Its restoration is expected to be a catalyst for the wider regeneration of the town and of the island, which lies in the Firth of Clyde.

Council leader Dick Walsh said the renovation of the pavilion could bring lasting benefits to Rothesay.

“With all the major funding in place we can now get on with delivering the project and creating a fabulous, modern facility for culture, tourism and sport,” he said.

“The council’s top priority is creating the right conditions for jobs in Argyll and Bute and this project will do just that.”

Rothesay Pavilion sits at the end of the town’s Victorian Esplanade, with views of Rothesay Bay, and across to the Cowal Peninsula and the Renfrewshire and Ayrshire coasts.

It was built in the era of the “Big Band Sound”, and was designed to host dancing and conference events as well as flower shows, weddings and sports activities.

The new pavilion will be operated by the Rothesay Pavilion Charity, which will lease it from the council.

Chair of the pavilion charity, Dr Nick Merriman, said: “It’s very exciting now to be at the point where we can really begin to put into action the plans that have been developed over a long period, and to look forward to the re-opened Pavilion making such a difference to people’s lives locally.”