A novel two-step strategy was developed for the efficient synthesis of decalin and octahydroindene from lignocellulose-derived platform compounds. In the first step, bicyclic intermediates were directly generated via a cascade dehydration/Robinson annulation of 4-hydroxy-2-butanone with cyclohexanone (or cyclopentanone). Among the evaluated catalysts, CaO demonstrated the highest activity and selectivity. Based on CO2-TPD results, the excellent performance of CaO can be rationalized by its proper basicity. In the second step, these intermediates were selectively hydrodeoxygenated to decalin (or octahydroindene) over Ni/H-ZSM-5 catalyst. Under the investigated reaction conditions, ~90% overall yields of decalin and octahydroindene were achieved. This work provides a viable strategy for the selective conversion of lignocellulose-derived platform compounds to the additives for improving the thermal stability of aviation fuel.