A £1.2m redevelopment of Rhyl's seafront cinema complex, including a new open-air screen and coffee and ice cream shops, has been announced.
The development at Apollo Cinema, along with the area adjacent to the nearby skytower, will create 15 new jobs, as well as safeguarding 15 other posts.
The money has come from the assembly government's North Wales Coast Regeneration Area programme.
There had been concerns the cinema would otherwise be forced to close.
Improvements at the cinema include new seating and 3D screens.
The funding also covers work to the promenade which is being referred to as an "entertainment plaza" to host activities along with an open air cinema.
A "Winter Wonderland" Christmas festival is already being discussed.
Jocelyn Davies, deputy minister for housing and regeneration, said: "This project is very important to Rhyl as it will provide a catalyst for investment and attract other businesses to west Rhyl.
"The public areas around the cinema will also be improved, and will provide facilities for large-scale events which will help to attract visitors to the town."
'Regenerating the town'
The assembly government grant has been awarded via Denbighshire council which has been involved in the development plans.
Councillor David Thomas said: "Regeneration is one of Denbighshire's top priorities and the authority has contributed £237,000 to the scheme which will play an integral role in regenerating the town."
Cinema managing director Rob Arthur said: "This landmark partnership with the Welsh assembly and local council will allow us to bring the cinema into the 21st Century and offer the very best entertainment to the local community."
The cinema closes its doors on Sunday with work due to start on Monday. The cinema is expected to reopen in July.