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A public hearing on the grant application was held at the council meeting Thursday. The city is seeking the award through the state's Restore NY Communities Initiative, a program administered by Empire State Development that provides funding to revitalize commercial and residential properties. 

Auburn applied for a $2 million Restore NY grant last year, but it was not awarded. 

The funding would assist with the redevelopment of the six-story, 36,000-square-foot building, which is the former home of Chemung Canal Trust Co. The downtown structure has been vacant since the bank moved to 110 Genesee St. in 2017. 

Jennifer Haines, the city's director of planning and economic development, told the council that Restore NY funding would be used to cover inflation costs since the project was first scoped in 2019. 

The project will include the interior rehabilitation of all floors, mechanical system upgrades and exterior facade improvements, according to Haines. 

Michael Palumbo, an associate real estate broker with Flaum Management Company, represented the building's owners, Felipe and Katherine Martin, at the hearing. He provided more details about the project, which would include commercial space on the first two floors, 14 market-rate apartments on the upper floors and a rooftop garden.

There are "early-stage discussions," Palumbo said, to place a coffee shop, museum or restaurant in the commercial portion of the mixed-use building. 

The project would follow deconstruction practices. Palumbo said they would work with local groups to find reuses for doors and windows that will be removed from the building. This aligns with a resolution the City Council passed on May 2 to support deconstruction and reuse. 

Before the City Council meeting Thursday, Auburn Mayor Jimmy Giannettino toured 120 Genesee St. As he walked around, he said he could picture what's being proposed for the building. 

"I just think it would be such a great addition to downtown," he said. "I'm super excited."

Palumbo, speaking on behalf of the Martins, said the owners are committed to the project. 

"They are going to spend a considerable amount of their own money to make this a reality," he said. "But they do need some help." 

The City Council will vote on applying for the Restore NY grant at its regular meeting Thursday. If the council approves the resolution, city staff will submit the application before the May 22 deadline. 

The city has been successful in past rounds of the Restore NY initiative. In 2023, it was awarded $8.5 million to rehabilitate the former Bombardier plant. Housing Visions, a Syracuse-based nonprofit organization, won a $1.5 million grant for an affordable housing project at 197 State St. the year prior.