Aston Manor Road Transport Museum is confident of keeping an important collection of vintage public transport together after holding talks with city leaders.
The venue was threatened with closure after the council said it would no longer fund its rent.
Trust members feared that the region’s most important and nostalgic collection of buses, trams and lorries could be split up and fall in to disrepair.
But after a meeting with council bureaucrats, vice chairman Rob Handford said he was hopeful that the museum would get the backing it needed to remain open.
“The talks were very positive and we’re hopeful they go some way towards securing our future,” he said.
“We have left the talks in a position for the council to go away and come back with some figures and hopefully they fall within what we can afford.
“We don’t want handouts but we hope that there will be some help for a museum which is home to a lot of very important examples of the vehicles that generations of Brummies have used to get around.”
The Grade II-listed former Witton Tram Depot building, on Witton Lane in Aston, is owned by the council which charges the museum £43,000 a year for its rent.
Birmingham council’s museums department had previously been willing to foot the bill but told museum trust members last year that they would no longer pay the full amount.
Coun Neville Summerfield, cabinet member for regeneration, said: “We don’t want to lose the museum.
“This is a strange situation where one arm of the council is paying another for the museum’s rent, but property services have got budgetary pressures.
“I’ve recommended that the property department comes back with some figures which will allow the museum to slowly increase what they contribute towards the rent in line with their business model.”