LORENA (August 30, 2012)-The City of Lorena and Extraco Bank have entered into a contract for the city to purchase the building.

Under the terms of the contract, the city will purchase the building, then lease back a portion of the building to Extraco for them to continue to conduct their normal business operations in the building.

The closing process is targeted to take place on October 1.

The City of Lorena intends to convert the former bank building into their city hall.

A city spokesperson said they have been saving funds for several years in order to build a police station and a city hall.

In 2011, the new police station in downtown Lorena was completed.

Rather than spending the funds it would take to buy land and build a new building to serve as city hall, the city council decided to take advantage of the opportunity to procure the Extraco building.

According to Mayor Chuck Roper, the building provides the needed space not only for now, but for many years to come, and at a price that saves the city significant money.

The council will sell the building which now serves as city hall on North Frontage Road.

It is currently being advertised for bids.

The buyer will have to move the building from the city, city officials said.

The City of Lorena hopes to be situated in the new building in October.