Councillors agreed to a former Witham St Hughs pub to be turned into a day nursery.
The Dovecote, on the A46 south of Lincoln, has been closed for the past two years.
Applicants said in the documents two previous tenants had surrendered their leases and left unpaid debts, indicating the business was not viable as a pub.
Now, councillors on North Kesteven District Council’s planning committee have given permission for the pub to be turned into a nursery.
The nursery will hold a maximum of 140 children and would be open between 7am and 7pm on weekdays and 10am to 4pm on weekends.
As part of the proposal, a breakfast and after school club will be held at the centre.
Developers also proposed nature trails and the possibility of animals to be kept on the land.
It has been estimated that the change of use to a nursery would also create around 30 jobs in the area.
But, some councillors raised concern over the amount of traffic at the site.
However, neither Highways England or Lincolnshire County Council’s highways department objected o the plans.
Councillor Peter Rothwell, who represents the area, said the amount of cars leaving the site onto the A46 would be an issue.
“It’s going to add to the problems of the A46,” he said.
“The volume of vehicles calls for a bit more from Highways England and Lincolnshire County Council.”
Chair of the committee, Councillor Pat Woodman, said it would be hard for the committee to disagree with the proposals.
“There are no objections to this, so it would be difficult for us to object with our partners,” he said.
“It is separated from the A46 and no business starts off fully fledged.
“It will be a gradual process and it does seem an ideal site.”