The historic waterfront property known as the old American Hotel is one step closer to being torn down to make way for a future condo development.

While the town hasn’t issued a demolition permit yet for the inn at 61 Melville St., town staff are recommending that the municipality remove a “holding symbol” from the site, which restricted development on the property.

During the town’s Oct. 7 committee of the whole planning meeting, the committee voted to forward staff’s recommendation to council for approval during its Oct. 28 meeting.

“The purpose of the removal of the holding is for the removal of the building,” Kirsten McCauley, director of community and development services, told the committee.

Alexa Mills, vice-president of Blythwood Homes, confirmed the company hasn’t submitted a demolition permit and said it doesn’t know when it will, as it’s “waiting for the market.”

“We just haven’t firmed it up yet,” she said.

Once the demolition permit is issued, it will be required to be posted at the site of the property.

Under Ontario law, a holding symbol prevents development on a property until certain conditions are met.

In this case, it was placed on 61 Melville St. by council in October 2023 to ensure a record of site condition and an archeological study were completed.

Town staff say both of those have been completed.

The building’s origins date back to 1833, according to a town report. It was owned by the Niagara Harbour and Dock Company until “sometime after 1870.”

By 1890, the site became home to the King George III Inn, previously known as the McMillan Inn and later the American Hotel.

The inn, which is currently unoccupied, was purchased by Blythwood Homes in 2021 for $1.9 million. Marah Minor, the town’s communications co-ordinator, said the town believes Blythwood Homes still owns the property.

The town approved a three-storey condo for 61 Melville St. in October 2023. On Blythwood Homes’ website, there’s an open application page for “12 luxury waterfront condos” at the address.

During the Oct. 7 meeting, Coun. Wendy Cheropita raised concerns about mitigating the amount of dust in the air during the demolition process.

“There’s a lot of homes there,” she said. “It could be pretty nasty if there’s a lot of dust flying.”

McCauley said dust mitigation measures are included in the site plan, and the town could also speak with the property owner.

Burroughs and Coun. Andrew Niven asked about communication with neighbouring residents.

Niven questioned whether neighbours would be informed about the demolition. McCauley said notification would come through a posted demolition notice on the property.

Coun. Gary Burroughs also asked whether neighbours had been involved in the site planning process. McCauley said records were made public through an information report passed last year.

“A site plan process is not a public process,” she said.

daniel@niagaranow.com