The municipally owned property at 12 Market Square in Napanee, pictured here in 2023. Image via Google Maps.

Editor’s note: This article has been updated since it was first published on Monday, Feb. 9, 2026, at 2:54 pm. Please see the bottom of the article for the most recent information.

A long vacant downtown Napanee building could soon be transformed into a much-needed medical hub, as the Council of the Town of Greater Napanee prepares to decide whether to sell the municipally owned property at 12 Market Square.

Council will receive a staff report at its regular meeting on Tuesday, Feb. 10, 2026, recommending the sale of the property to pharmacist Dipak Dhanani. The proposed redevelopment would include a pharmacy and a walk-in medical clinic aimed at improving access to primary care in the community.

In the report, Michael Nobes, the Town’s General Manager of Growth and Infrastructure, recommends that Council authorize the sale for $380,000 plus HST and waive the Town’s standard conditions attached to the transaction.

Nobes notes that the proposal would return a long-empty municipal building to active use while addressing local gaps in access to non-emergency medical care.

According to the report, the property was declared surplus and listed for sale on the open market in August 2025, with an asking price of $495,000. No offers were received by the October deadline, and a subsequent offer submitted afterward was not accepted. Council later approved a price reduction to $395,000 in November.

Dhanani’s offer was received on Wednesday, Jan. 21, and reviewed by Council in closed session on Tuesday, Jan. 27, 2026. Nobes reports that Council then directed staff to proceed with accepting the offer, pending final approval by bylaw.

The report explains that the purchaser plans to redevelop the building into a multi-disciplinary health care hub, including physician practice space, a walk-in clinic, and an integrated on-site pharmacy. In a letter summarized in the report, Dhanani outlined his experience developing and operating similar integrated pharmacy/medical clinics in Ontario, including facilities in Belleville and Trenton. The proposal is described as a long-term community investment that could also generate local employment.

The report notes the facility is intended to serve “unattached and under-served patients” in Napanee and surrounding areas and could help reduce pressure on hospital emergency departments by providing centralized access to non-emergency care.

The proposed sale includes a $25,000 deposit and a closing date of March 30, 2026. Nobes reports that the offer does not include a conditional period because the purchaser had completed due diligence before submitting it.

If approved, proceeds from the sale would be directed to a reserve fund for revitalization of the Market Square precinct, consistent with previous Council direction.

Nobes estimates gross revenue from the sale at $380,000, with net proceeds of approximately $352,500 after commissions, legal fees, and other costs. The sale would also return the property to the tax roll, generating an estimated $3,000 in municipal tax revenue and eliminating roughly $5,000 in carrying costs for the vacant building.

Council will decide whether to authorize the sale and pass the required bylaw when the matter comes before them on Tuesday, Feb. 10, 2026.

Meetings of the Council of the Town of Greater Napanee can be viewed virtually (or watched afterward) on the Napanee Town Council YouTube channel or attended in person in Council Chambers at Napanee Town Hall, 124 John Street. Further information about Council meetings, including agendas and reports, is available on the Town’s CivicWeb portal.

Update (Thursday, Feb. 12, 2026)

A long-vacant downtown Napanee building is set to become a new medical hub after Council approved the sale of 12 Market Square for $380,000 plus HST — with proceeds earmarked for ongoing Market Square redevelopment and Town Hall remediation work.

At its Tuesday, February 10, 2026, regular session, Greater Napanee Council authorized the sale of the municipally owned property to pharmacist Dipak Dhanani, clearing the way for the building’s redevelopment into a multi-disciplinary health-care facility that’s set to include physician practice space, a walk-in clinic, and an integrated on-site pharmacy.

The sale price of $380,000 (plus HST) was the highest bid the Town received during the property’s six months on the market. The anticipated net proceeds are approximately $352,500 after commissions, legal fees, and other associated costs.

In a report to Council, Michael Nobes, the Town’s General Manager of Growth and Infrastructure, recommended approving the sale and waiving the Town’s standard conditions attached to the transaction. Nobes noted the proposal would return a long-empty municipal building to productive use while helping address local gaps in access to non-emergency medical care.

The property was declared surplus and listed for sale in August 2025 with an asking price of $495,000. No offers were received by the October deadline, and a subsequent late offer was not accepted. Council approved a price reduction to $395,000 in November. Dhanani’s offer was submitted on Jan. 21 and reviewed by Council in closed session on Jan. 27, after which staff were directed to proceed, pending formal bylaw approval.

According to Nobes’ report, the purchaser completed due diligence prior to submitting the offer, meaning the agreement does not include a conditional period. The sale includes a $25,000 deposit and a closing date of March 30, 2026.

In materials summarized in the report, Dhanani outlined his experience developing and operating integrated pharmacy and medical clinic models in Ontario, including facilities in Belleville and Trenton. The proposed Napanee location is intended to serve “unattached and underserved patients” in the community and surrounding areas, potentially easing pressure on hospital emergency departments by providing centralized access to non-emergency care.

Beyond its health-care impact, the sale also fits within a broader municipal financial strategy.

Per prior Council direction, proceeds from the sale of Market Square properties are to be placed in a dedicated reserve fund for Market Square revitalization. That reserve will also support ongoing remediation work at Town Hall.

As part of a broader strategy approved by Council, the Town has been selling surplus properties and reinvesting the proceeds into key municipal assets and infrastructure, while also beginning to address outstanding capital debt.

Nobes estimates the transaction will not only generate the $352,500 in net proceeds but will also return the property to the tax roll, producing an estimated $3,000 annually in municipal tax revenue and eliminating roughly $5,000 in carrying costs associated with maintaining the vacant building.

The funds from the sale will help advance the next steps in the Market Square redevelopment process. Those steps include:

A forthcoming staff report recommending the preferred procurement method for the project;Engaging a design/build contractor to begin design work;Phase 1 design and engineering for Town Hall’s main floor renovation;Phase 2 design and engineering for the Napanee Rotary Centennial Market project at Town Hall;Committee and stakeholder feedback and approvals; andPresentation of final design concepts and cost estimates to Council.

“As we continue remediation work at Town Hall, I’m pleased that the proceeds from the sale will help move forward revitalization work in Market Square,” said Mayor Terry Richardson. “I’m excited to see the progress we can make to enhance this historic space within our community.”

Updates on Market Square redevelopment will be posted on the Town’s website as the project progresses.

As always, you can read full Council meeting agendas on Napanee’s civic web portal online, and watch meetings live or recorded on the Town’s YouTube channel.