Soldier Dick in Furness Vale will now become six apartments and two houses after the development and control committee rubber-stamped the proposal.
The historic pub in the centre of Furness Vale on the A6 shut last year after being unable to return to pre pandemic levels of trading.
The main three-storey building has been a public house since 1804. However, it is thought parts of the building itself are older and it may have originally been a farm.
Last year landlord of the pub, Mark Ramsden, said he could not do any more to keep the pub afloat, and feels he has no option now but to turn the premises into housing.
“For seven years we have given our everything,” he said.
“We have spent money revamping the bedrooms and expanding our outside area but we just aren’t getting the customers through the doors anymore.
"We have spent more than £100,000 of our own money investing in the business. This was never our plan but needs sadly must.”
A statement submitted to the council with the planning application stated: “The proposal is to convert and extend the building into six flats and two houses with associated car parking.
“There is access to the flats at the rear from the car park.”
The windows in the conversion and extension are sash, going back to the building’s original appearance.
The existing building will be re-rendered says Mark and will and have external insulation, significantly improving its thermal performance.
The new homes will be a mix of two, and three bed properties.
Mark added: “Furness Vale currently has one other pub, The Crossings, next to the rail station, as well as a community owned social club with bar, café, function room, small shop and post office. Both of these are within walking distance of the Soldier Dick.
“There is sufficient alternative provision, particularly taking into account the population of Furness Vale.
“Looking at alternative uses, the building makes it suitable for residential development.”