The Oak Ridge City Council has unanimously approved a 90 percent, 10-year tax break for a project to convert the rundown Alexander Inn into an assisted living center.

Officially known as a payment-in-lieu-of-taxes agreement, or PILOT, the tax break will be used to build a new road for cars that now drive through the three-acre site, move a storm sewer under the two-story building, and help remove asbestos, among other things.

The PILOT was endorsed in a 6-0 vote by the Oak Ridge Industrial Development board on Oct. 11. The proposal to reuse the historic hotel is also supported by members of the Oak Ridge Heritage and Preservation Association, which has lobbied to save the building for more than a decade.

Also known as The Guest House, the Alexander Inn has been unused for more than two decades. In recent years, it has fallen into disrepair, the victim of animals, vandals, and weather.

City code enforcement efforts against the property date back to 2005, Oak Ridge City Manager Mark Watson said during a Monday night City Council meeting.

Even with the temporary tax break, city officials said, Oak Ridge and Anderson County will continue to receive at least as much in property taxes as they do now, or about $3,900 per year each.

The project has been proposed by Family Pride Corp. of Loudon and InSite Development Corp. of Knoxville. Family Pride has said the project is not economically feasible without the tax break.

Construction of the $4.5 million, 60-unit assisted living center, which would include a wing for patients with Alzheimer’s and dementia, could take roughly a year.

The Alexander Inn developers have said they are ready to immediately start remediation and rehabilitation work once Council approves the PILOT.

The Alexander Inn once hosted such dignitaries as physicists J. Robert Oppenheimer and Enrico Fermi, and Secretary of War Henry Stimson.