The university is understood to have submitted a formal proposal to the local authority, outlining a plan of sustainable future for the venue.
The theatre was forced to cease trading last year after it ran into financial trouble, but it is thought these plans could mean it reopens permanently.
Under the plans, the council-owned venue would undergo refurbishment work. When operational, during the day the main auditorium would be used as a university teaching space for lectures in English, Film Studies, Music and Social Anthropology, while the studio theatre would be used for the teaching of drama and script-writing, as well as for orchestra rehearsals and informal performances.
During the evenings and weekends, the main auditorium would become an arts centre providing a focus for student and community-led music and drama.
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In addition, the venue would also continue to support and major festivals such as St Anza, St Andrews Voices, the Fife Jazz Festival and On the Rocks, while art films, mini film festivals, and live broadcasts from the likes of the National Theatre, Royal Opera and Metropolitan Opera would also form part of the Byre's programme. The venue would also be used as the administrative base of the university's music centre, which is currently located in the Younger Hall.
Professor Malcolm MacLeod, St Andrews Vice-Principal for Enterprise and Engagement, said: "As one of the world's top 50 Arts and Humanities Universities, we have a vested interest in how the Arts are valued in Scotland.
"It is part of our core mission to nurture and promote a wider appreciation and understanding of the Arts. That is why we want to ensure the future of the Byre Theatre, and to re-open it up for educational and creative use.
"The Byre's demise and subsequent long-term closure have been sorely felt in St Andrews and further afield, not just because the town lost a very important and much loved theatre, but because people lost their jobs and their livelihoods.
"With the support of Fife Council officials, we have given this proposal considerable thought and believe that our plans offer the Byre a fresh start, new life and a sustainable future founded on mixed use, at no cost to the local authority in Fife."
The full bid is expected to be considered by Fife Councillors on Tuesday (15 April), along with other bids to run the theatre.
(JP/MH)
