Watford Museum has been given more than £2.4 million to support its move to the Town Hall and vast expansion.
The National Lottery Heritage Fund awarded the money as part of Watford Borough Council's Town Hall Quarter programme.
This funding will help create a new, "interactive heritage service" in the Grade II listed Watford Town Hall, which aims to transform the offering and better showcase the town's history.
Watford mayor Peter Taylor said: "This funding from The National Lottery Heritage Fund will bring Watford’s unique heritage to life in a way that’s fun and accessible to everyone.
"Moving the museum to the Town Hall gives us the chance to design an exciting, modern space for visitors of all ages.
"I look forward to seeing how our community will engage with this new space and share their own stories, making the museum a true reflection of Watford’s vibrant spirit."
The council hopes the Town Hall location will allow the museum to engage more with the community and visitors, creating a cultural hub alongside the Colosseum and Library.
It is one of 15 projects to receive a share of more than £30 million from The National Lottery Heritage Fund.
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The plans will see the museum move to the front of the Town Hall, including the listed committee rooms, which are considered "wonderful" examples of 1930s design.
The new location will also feature new galleries, including 'Introducing Watford', 'Sporting Watford', and 'We Are Watford'.
Eilish McGuinness, chief executive of The National Lottery Heritage Fund, said: "Thanks to money raised by National Lottery players over the last 30 years, we have worked with those who care for heritage and helped transform the UK’s heritage landscape, contributing to communities and the economy.
"Our funding benefits all parts of the heritage ecosystem, including visitors, volunteers and the communities which surround it, and I cannot wait to see what the future brings as we work to deliver our vision for heritage to be valued, cared for and sustained for everyone, now and in the future."
Work on the new museum will start in early 2025.
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