The former community hall which was attached to the historic St John's Presbyterian Church was relocated by crane and flat-bed truck to a site behind the historic miner's cottages last June.
Bagley Builders owner Roy Bagley, of Arrowtown, and staff have been working on it since.
Arrowtown Trust chairman David Clarke said work was coming along nicely.
A new tongue-and-groove ceiling was to be installed to replace the old Pinex placed in the 1950s.
A new kitchenette and toilet had been built and rotten weatherboards replaced.
Cream paint for the weatherboards and maroon paint for details and frames were lined up for use, based on the original colour scheme as seen in archive photographs from 1959, when the timber church was previously moved to St John's.
"We're getting near the end, outside building wise, and now getting internal lining sorted ready for painters," Mr Bagley said.
Landscaping of the site would begin soon.
Mr Clarke said there had been a lot of interest from artists keen to lease the hall as a studio.
However, he said the trust would wait until renovations were completed before deciding on tenants.
