Ballarat's GovHub building will remain in public hands after the state government sensationally dropped the proposed sale, just two months after expressions of interest closed.
The massive $100 million construction project in Mair Street is one of the government's key planks at reviving the Ballarat CBD and boosting decentralisation of its workforce.
There will be 1000 workers in the multi-storey building adjoining the Civic Hall, with up to 400 new jobs created.
It was put on the market on September 4, with expressions of interest closing on September 11.
However, two months to the day, the sale has been scuppered.
The Courier understands a lack of a suitable offer contributed to the decision to withdraw the sale.
In July when the sale was announced, a spokesperson for Development Victoria, the body responsible for the project, said the purpose of the sale was cost recovery.
When questioned on Monday as to why the sale had been withdrawn, the state government would not directly confirm what had caused the sudden turnaround.
Wendouree MP Juliana Addison described the decision to retain the site as a public asset as a win for all involved, which she said would deliver better value for money for the public.
"Having completed a detailed analysis, we've found that retention of the GovHub in government ownership provides better value for money for the public," Ms Addison said.
"The decision has no impact on the project, which is on track and due to be completed in 2020."
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