Black Country Properties Ltd has bought Falcon House and now hopes to convert the 88,000 sq ft, eight floor building into 65 one bedroom and 76 two bedroom apartments.
Falcon House had been earmarked for demolition to make way for a supermarket complex but the plans were scrapped.
Arran Bailey, 29-year-old managing director of ALB Black Country, said: “The local area has been in need of new housing developments, and we are excited to play a big part in the area’s regeneration.
“The project will be a great opportunity to bring more footfall to the town by attracting young professionals.
“This will help to boost the local economy and will improve the area’s image by updating outdated buildings.”
Leeds based Headoffice3 has designed the development and will be managing the works to complete in 2017 with a start on site scheduled this year.
Glen Harding, CEO of headoffice3, said: “We believe this project will genuinely improve the local demographics and breathe new life into a tired block in urgent need of renovation.
“The external façade alterations will create a new, vibrant and exciting feel to the building”.
Income through property specialist Prosperity has acquired the site as part of its £100m buy-to-let investment portfolio.