South Dublin County Council says it has an agreement with the Italian State to buy Lucan House.
The sale of the house, used as the Italian Ambassadors residence since the 1940s, is subject to approval of the Italian Court of Auditors.
More than 10 million euro has been set aside in the Council's capital budget for the house, and also to cover maintenance and repairs.
Local Independent Councillor Paul Gogarty says the sale came about because the Italian State was deciding whether to sell the house or its consulate and consolidate operations to one site.
Italy's consulate in Ireland is in Dublin 4, on Northumberland Road.
Cllr. Gogarty said, "the state did indicate they wanted to sell [the house] and the council asked for first option."
"This is what materialised, the council held discussions with the Italian state, made and offer and the offer was accepted.
