GREENFIELD – With a principal agreement in place, the historic Leavitt-Hovey House, previously home to the former public library, is soon to be under new ownership.

Pending successful negotiations, Greenfield Savings Bank plans to expand its local presence with the $10,000 acquisition of the building at 402 Main St., city officials announced Monday. As the only applicant to submit a proposal, the bank expects to spend approximately $2.5 million on interior, exterior, mechanical and fire protection upgrades.

“The purchase of the historic Leavitt-Hovey House will give our bank the space we need to expand our Greenfield campus, add more jobs and increase the city’s property tax base,” Greenfield Savings Bank President and CEO Thomas J. Meshako said in a statement. “Greenfield Savings Bank is proud to play a role in the preservation of this landmark building for future generations.”

The organization will be a steward of the National Historic Register property with its plan to retain the building’s character and historical significance while implementing amenity improvements, according to the city’s announcement. Energy-efficient materials will be used in insulating and lighting, and solar options will be considered. Renovations also will improve handicap accessibility.

A bank representative was not immediately available to field questions Monday afternoon.

“I can’t think of a better organization to purchase and restore one of our city’s most historically significant buildings than Greenfield Savings Bank,” Mayor Roxann Wedegartner said in a statement. “We will all reap the benefits of their investment in downtown Greenfield for many years.”

Money from the sale will go to the general fund, according to Communications Director Matthew Conway.

Tim Blagg, a member of the Historical Commission, previously said the Federal-period building was designed as a house for the Leavitt family in 1797 by designer/builder Asher Benjamin. Over the years, the building has had multiple uses, including housing a doctor’s office, according to Blagg. The structure has been added to, gutted and further modified since it was first constructed.

Last year, with construction on the new library underway, Wedegartner said her plan for 2023 was to find a new use for the building. At the time, there was talk of the city retaining the property for municipal offices.

Construction of the new library, located next door, came to an end earlier this summer, at which point the city vacated the Leavitt-Hovey House and library services transitioned into the new building.

Reporter Mary Byrne can be reached at mbyrne@recorder.com or 413-930-4429. Twitter: @MaryEByrne.