Council Executive has approved plans to sell the vacant depot in Nairn Road in Deans to Lothian Country for £700,000, subject to final agreement and approval.
The 3.6 acre site was formerly home to a fleet depot, waste transfer station and associated offices before services were re-located to the new Whitehill Service Centre in Bathgate.
The move is part of West Lothian Council's strategy of modernising depots and stores to improve service delivery, improve working standards and reduce building maintenance and heating costs.
Leader of West Lothian Council Lawrence Fitzpatrick said: "I'm delighted to approve the sale of the former Deans depot sale to Lothian Country.
"It's fantastic to see Lothian Country demonstrate their commitment to West Lothian and their expanding bus network here by establishing a permanent base locally, bringing over 120 jobs and an estimated £6 million investment with them.
"The move is part of our ongoing strategy to modernise our depots to help improve delivery of services and working conditions for our staff. As well as saving money on maintenance, the income received from the sale of the depots like Deans will contribute to the cost of Whitehill Service Centre.
"We recently agreed to sell the Waverly Street depot in Bathgate for social housing, so it's great to see sites we no longer require being brought back into productive use so quickly."