GUSTINE - City Council members last week signed off on the purchase of two properties, a downtown building which will become Gustine’s new City Hall and a former trucking company location on which the city plans to build a million gallon water storage tank.

City Manager Margaret Silveira said the approvals last week represent the final council action required to close the purchase of the former Cornet store building downtown and the Bettencourt Brothers Trucking Co. location at East and Carnation.

The council adopted resolutions accepting the property, although neither purchase is expected to close before the end of the month.

The downtown property is being purchased for $280,000, and will need extensive renovation before housing city offices and the council chambers. Silveira said the city hopes to finalize a low-interest funding package for that project through the USDA. If for some reason that does not materialize, she noted, the city will be able to purchase the building but renovation work will be delayed until additional funding is found.

The city is purchasing the East Avenue site for $550,000, with a $200,000, USDA-financed down payment and the remainder financed by the sellers over a 20-year period at a 6.25 percent interest rate, according to staff reports.

The east side site is slightly larger than two acres. In addition to the new water tank, city officials say, the location will eventually house a drop-off recycling center and a new public works yard.