Councillors have voted to stop the sale of the former Magdalene Laundry site on Sean McDermott Street.
Plans were put forward last year to sell the site to a Japanese hotel chain.
However, a decision to stop the proposed sale was made at tonight's Dublin City Council meeting.
Social Democrats Councillor Gary Gannon is welcoming the development, saying there was a lot of support for his motion.
Tonight the elected members of DCC voted overwhelmingly to halt the sale of the former Magdalene Laundry on Seán McDermott St.
I’m proud of my city & looking forward to ensuring an appropriate memorial is placed there to honour the victims & survivors of institutional abuse. ðŸ’œ
— Gary Gannon (@1GaryGannon) September 13, 2018
He said: "It means that we maintain ownership over that particular site, and we can build a memorial and commemoration centre of real substance to honour women who were incarcerated and abused at that location.
"We get to own the site and not outsource it to a private company - I think that's vital for our city."
More than 10,000 people had signed a petition calling for the sale to be halted.
A report on the proposed sale found that any development must include a permanent memorial at the site.
However, it also claimed the redevelopment was a "powerful opportunity and really the chance of a lifetime for the Sean McDermott area".