Work is under way on Quinns Arcade, also known as the Arcadia Theatre.
The building was bought by businessman Gary Rooney in 2018.
Waimate Property Holdings, which is owned by Rooney Group, is overseeing the work being done.
Project manager Les Buckingham said the work being done was a "presentation-type project" to attract lessees.
"We need to do this work so we can get people in there and they can see how it looks and they can see the true potential.
"You can’t sell a mess. The building before was derelict and full of flats and not presented properly."
They had to restructure the roof and re-engineer the arches to strengthen it.
While they did not have anyone lined up to lease the space yet, he hoped once this work had been completed there would be, Mr Buckingham said.
He would love to see "unique shops or businesses" move into the building.
"It needs to be nice so it becomes a bit of a destination that people come from out of the district to visit."
It was very important to the Waimate community to see the building restored to its former glory.
"The arcade’s quite iconic to Waimate.
"So many people in Waimate have links to the past or links to the functions that were held in there before it became derelict."
Waimate Property Holdings was working alongside Heritage New Zealand and the Waimate District Council on the project.
"It’s coming along quite nicely," Mr Buckingham said.
