The scheme at 10-20 Longrow South is part of the new conservation area regeneration scheme (CARS) in Campbeltown.
The project will save three existing businesses, make premises available for a new one, safeguard six flats and create around 20 new jobs.
Works will be carried out by John Fulton Plumbers and involve extensive external repairs including total re-roofing, repairs to leadwork, stonework and rainwater goods. The failing rear deck that led to the closure of the G10 Bistro in 2014 will also be replaced.
In addition, the project will see vacant units at No.10 and 12 reopened under new ownership. Both units will be converted into a newly refurbished café.
The council will provide £280,000 towards the project, with the remaining balance being met by the owners.
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Pippa Milne, the council's Executive Director of Development and Infrastructure, said: "We have enabled over £7million of works in Campbeltown town centre over the past few years, with over 40 buildings being repaired through our heritage-led regeneration initiative. As a result of this investment a number of new businesses have opened and existing businesses have been secured.
"This is the first in another phase of building projects, which will see over £2million being invested in the town centre, protecting around 70 jobs. We are working with owners of priority buildings to develop their projects and a small grant scheme will be launched in the summer."
Sweeney McGeachy, chair of the owners association, added: "We are delighted to see this project getting underway. One of the major issues with our historic buildings in Campbeltown is the lack of any recognised factoring. With the help of the council we have created an owners association which meets on a regular basis to discuss and arrange maintenance and repairs. All owners contribute monthly payments to our joint bank account to help fund repair and maintenance.
"The council has helped us develop this project and provided some much needed financial support. It can be quite intimidating for private individuals to navigate through the process of setting up a big project like this, from procuring an architect to getting planning approval. Going forward we will be committing to a tenement management agreement which will make sure that, once the building is renovated, it is properly maintained."
The project is estimated to be completed at the end of autumn this year.
(LM)
