Bank May Become City Hall

Wednesday November 27, 2024

AMESBURY – The city hall building, built in 1890, is in need of renovation and upgrades to make it more accessible, including rebuilding hallways, steep stairways and even adding an elevator, probably on the exterior.

It needs a new fire suppression system, secure storage and more space to conduct city business. There are holes in the floors that are patched with plywood that trip staff and visitors. The utilities need an upgrade. And parking is always in short supply.

But with tight budgets, building a new City Hall or spending millions on repairs and upgrades was not high on Mayor Kassandra Gove’s priorities.

Until BankProv, one of New England’s oldest banks, announced it wanted to sell its headquarters in the center of the city.

City officials did not expect to win the competition to buy the bank building. Nick Cracknell, director of the city’s Community and Economic Development, told the City Council’s Planning and Development subcommittee last week that the city was surprised last summer when the bank invited it to open negotiations.

“The bank chose the city,” he said.

Negotiations are still underway between the city and the bank, but tentatively the bank has agreed to sell its headquarters to the city for $3,150,000 and lease 4,000 to 5,000 square feet of the lobby and office space for the next 10 years at $1.6 million. The city will occupy about 60 percent of the building and the bank 40 percent.

The bank’s lease payments over the life of the agreement will help offset the city’s investment in the building, the city said.

“We are not moving into a palace. This is not Versailles,” Cracknell said. But it is a major step up from the current City Hall.

The planning and development subcommittee voted unanimously to send the proposed purchase with a favorable recommendation to the full council. The council will have to approve the purchase of the building and finance it with a municipal bond that is backed by the bank’s lease payments.

“This (acquisition) provided a great option for us to not only explore the possibility of relocating to a building that meets the needs of a growing city, but also build civic pride in Amesbury through stewardship of a landmark building that is anchored in Amesbury’s history”, Mayor Gove said in the announcement.

“BankProv’s commitment to maintaining a presence here shows our shared dedication to Amesbury’s growth and redevelopment as a vibrant and walkable community. They have been a great community partner for many years, and we are happy to see them continue that through their support of local businesses and residents in our city.”

The proposed move has run into some opposition, particularly from the teachers’ union that felt the funds could be better allocated to school budgets.

The bank, founded in 1828 as the Provident Institution for Savings in Salisbury and Amesbury, will continue to operate a substantial branch in downtown Amesbury at 5 Market Square. But it no longer needs the whole building, having moved much of its commercial lending operations to Portsmouth, NH, city officials said.

A major landmark on Market Square, the oldest section of the building was constructed in 1856 and has deep roots in the city’s history and architecture.

“We are proud to have served our clients and community from this building for generations,” said Joe Reilly, president & CEO of BankProv. “By retaining our operations at the location, we continue to honor our legacy while supporting the city’s vision for this historic space. We’re excited to see how the city of Amesbury will reimagine and utilize the building in ways that benefit our shared community.”

The city plans to relocate the clerk’s office, assessor’s office, treasurer/collector’s office, information technology, human resources, administration and finance, the office of retirement and the mayor’s office. The office of community & economic development will also relocate from 39 South Hunt Rd. to the new location.

“Relocating to Market Street will allow municipal operations to grow with the city, stay centrally located in the downtown area and offer services to constituents in an accessible building with ramps, lifts and elevators,” the city said in its announcement.

Cracknell told the council committee that the city is preparing to engage in a partnership with the bank for at least 10 years.

The future of the existing city hall is uncertain. Cracknell said it could be a theater, a recreation center, the Amesbury Innovation High School or a private school. It could be part of a package of renovated police and fire stations.

“As the city grows, the police and fire station will need more space,” he said.   ♦

 

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