Pollphail at Portavadie was built during the UK oil boom in the 1970's to house workers needed to construct concrete oil rigs but never occupied.
A revamp of the derelict site, which is big enough to house 500 people, has been in the planning process for nine years.
The site's current owner Alan Bradley said that changes would start to be seen within a year. However he added that it could be five to ten years before the redevelopment of the village is complete.
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A dry dock built along with the village has been turned into a marina.
Speaking to BBC Scotland Argyll and Bute councillor Bruce Marshall: "The houses were built, but the whole thing fell through and concrete oil rigs were no longer the flavour of the month.
"For the past 35 years these houses have been inhabited by sheep and bats and just fallen into disrepair."
Previous owners of the site have included failed bank BCCI.
Efforts are being made to breathe new life into similar yards at Nigg in Easter Ross and Whiteness in the Highlands.
(GK/JM)
