CLAREMONT — The city is seeking a buyer to redevelop a former state office building on Water Street and to cover the city’s costs. 

The city's total debt on its recent purchase of the building and parking spaces in front of the building will be about $800,000, City Manager Yoshi Manale told the City Council this week.

The city bought the vacant building for $700,000 earlier this year and later purchased 20 privately owned parking spaces for $45,000. Carrying costs, $21,000 so far, and anticipated interest add to the total.

Carrying costs listed by the city manager include settlement charges, water and sewer, electricity, which will decrease because the building is vacant, and insurance. The building is kept at 40 degrees, but the city paid $19,000 for oil after the purchase.

Once the building is sold, the fund balance account to pay the carrying costs will be replenished from the proceeds, Claremont Finance Director Nancy Bates said.

The city bought the 32,000-square-foot, four-story brick building to control its possible redevelopment and in hopes a developer will convert it to housing, hospitality use or office space. 

There has been some interest from developers but no offers yet, city officials said this week. The state vacated the building, which had been used by the departments of Motor Vehicles and Health and Human Services, in 2023.