An engineering assessment of the old Cecil Hotel in downtown Calgary has determined that it is beyond repair and officials say they will apply for a permit to have it demolished later this year.

The city sold the building to the Calgary Municipal Land Corporation earlier this year and it was hoped that the landmark building could be incorporated into future plans for the East Village.

On Wednesday, the CMLC announced that the due diligence investigations found that the 1912 building, at the corner of 4th Avenue and 3rd Street SE, was beyond repair and would have to come down.

CMLC officials say they will try to salvage what they can, including the iconic Cecil Hotel sign.

“The most important of these, is the Cecil Hotel’s large neon scaffold sign. Later this week CMLC, and contractor Neon Sales and Service of Calgary, will remove the old sign; it will be restored to its original colours and condition and then placed into storage until such time as a community use can be identified,” said Michael Brown, CMLC’s President & CEO.

The old hotel is one of only six pre-First World War hotels still standing in the city and Calgarians were hoping that it could be preserved.

A fire in 1982 destroyed much of the building’s historical value and the floods in 2013 heavily damaged its structural integrity. The building is also infested with mould and water continues to come in from the damaged roof.

“Following decades of neglect plus the ravages of fire and flood, rehabilitation and restoration simply aren’t feasible options. We will apply for a demolition permit this fall after an abatement program has been completed on the building and all hazardous materials have been properly removed,” said Brown.

An assessment in 2009 found that the foundation and support beams were penetrated by moisture and that those beams, floors and exterior brickwork had deteriorated.

Williams Engineering Canada conducted another structural condition assessment on the building in May and found it to be in poor condition because of foundation settlement, deteriorated shoring beams, missing shoring posts, corroded steel structural elements, unsupported timber beams and numerous other issues.

A heritage assessment was also completed earlier this month and found that “very little of the building is intact and in good enough condition to save in its entirety.”

According to the report from Donald Luxton Associates, the building’s neon sign, tin roof cornice, north and west masonry façade, and a number of cast-iron radiators, bathtubs and sinks are the only items that are worth saving.

The CMLC says it will look for a developer to purchase the site next year and that the 43,000 square foot land parcel is considered a prime development opportunity.

Crews will take down the sign on Friday and then begin the process of getting the building ready for demolition.