The City of Niles has made it official — the former Bank of America building at 333 N. Second St. has been purchased for the relocation of city hall.

The city council unanimously authorized the payment of $253,000 to Bank of America for purchase of the three-story building, which was appraised for $765,000. To replace it with new construction could cost $5 million.

The current home of city hall — the 14,000-square-foot Chapin Mansion — is inefficient and not large enough to accommodate the city’s services.

City Administrator Ric Huff told the Star the historic Chapin Mansion would be an ideal place for a museum. Converting the former home to a museum could qualify it for federal and historic grants, Huff said.