Vinci has started work on the £15.7 million redevelopment of Wigan Bus Station.
The new stadium is being delivered for Transport for Greater Manchester (TfGM) and completion is expected by the end of 2018.
The first stage of the project includes the demolition of the old bus station on Hallgate to make way for initial ground works.
Once finished, the new facility will have improved waiting areas for passengers, a ticket and information outlet and retail facilities.
Funding for the scheme is bring provided by central Government through the Greater Manchester Local Growth Deal Programme.
Vice Chair of the TfGM Committee, Cllr Guy Harkin, said: "I'm delighted demolition work has begun, opening up the site for construction to start. I'm sure passers-by will be interested in seeing the new, modern facility begin to take shape.
"This is an exciting time for Wigan – a new bus station is a key part in delivering an improved transport system for the borough that is fit for the decades ahead."
John Roberts, Regional Director for Vinci, added: "VINCI look forward to strengthening their ties with the local Wigan community and its residents, whilst delivering a state-of-the-art bus station for the future commuters in and out of the town to enjoy."
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