Two schemes in South Yorkshire have been awarded £37m from the government's Levelling Up Fund.
Sheffield City Council said it wanted to develop Parkwood Springs into a "regional leisure destination" with new and upgraded walking routes, mountain bike trails and a visitor centre.
The money will also be used to clear the site of the former ski village.
The council said the project, first announced in 2016, would "breathe new life into the landscape".
Ben Miskell, chair of the transport, regeneration and climate committee, said: "We recognised that Parkwood Springs needed a new lease of life and have continued to push for the funding to support our ambition and to deliver for the city.
"There is still work to be done before the first spade can be put into the ground, including road and infrastructure planning, but once all those vital elements are complete, the people of Sheffield will be able to see the area come to life once again."
Elsewhere in South Yorkshire, Doncaster was handed £18m to help fund regeneration projects in Mexborough and Moorends.
Mexborough town centre will be regenerated by improving transport links and saving at-risk buildings.
A second bid dealing with crime and anti-social behaviour in the Edlington area was unsuccessful, the Local Democracy Reporting Service said.
Doncaster Mayor Ros Jones said that although she welcomed the money, she was disappointed that both bids were not approved.
"We will need to carefully review the successful bid as it has been over a year since we submitted it to ensure it will still do what is best for local people and the place," she said.
"We will continue to work with local communities on progressing these projects and share more as this gets under way."