There are now legal aspects to go though, repairs to make and funds to raise, but residents are hoping they could have the library open again by the end of this year or early in 2023.
Councillor Mike Barnes, one of the members for Skircoat, is part of the group working to bring the facility - which has not been open since the start of the pandemic - back into use.
He said they have had a very positive response from people in the area to their plan.
"A lot of people have said they miss the library," he said. "They used it and want to continue to use it."
The library will take £14,000 a year to run, and the group would ideally like to have a year's worth of income secured before they reopen the library.
They started collecting money already and are holding a gin night fundraiser tomorrow night which has seen a huge demand for tickets.
More events are planned and residents are also hoping to apply for grants and offer corporate sponsorship to raise money.
The project is also on the shortlist to receive a Lloyds Banking Group's funding boost, and could win if employees vote for it.
"We're looking at late this year or early next year for reopening, most likely," said Councillor Barnes.
Long-term, the group are hoping the library will be able to offer space for community groups, offer a cafe and possibly make use of the building's cellar.
The aim is to create a library which can also be used to bring the local community together.
Anyone interested in joining the residents' group or in donating or sponsoring the reopening project can email [email protected]