The two buildings combined, situated on a large parcel of land, have a market value of about $1 million.

The properties, located at 15 Camp Street, are currently being offered for sale by the Department of Treasury and Finance after being declared surplus. Hepburn Shire Council was given an option to buy the properites under the First Right of Refusal process.

However, general manager of infrastructure Bruce Lucas advised council’s existing property portfolio needed work and investment without taking on an extra, unnecessary purchase.

The move to decline the purchase comes despite requests from the neighbouring party, Daylesford Neighbourhood Centre, that council buy the site to prevent vehicle access challenges should it be bought by a private owner.

Mr Lucas said officers suggested councillors did not take up the offer, as the council would not be able to use the two buildings for any future service delivery.

Councillor Sebastian Klein said the circumstances were unfortunate.

“This is the right opportunity at the wrong time to the wrong party,” he said.

“It’s right next to the Daylesford community centre.

“It’s being offered at a discounted rate to the council rather than the community, who could use it.

“It’s unfortunate the only opportunity the community will have to purchase it will be at the market value, which is about $1 million.”

Earlier this month, it was reported that police residence at 16-hour police stations were being phased out across the state by Victoria Police.

The phasing out process includes the demolition of the Creswick police residence, with a police minister spokeswoman stating the house was “uninhabitable” and had been unoccupied for many years. 

Councillor Don Henderson said he was initially shocked it would be demolished, but had been assured the demolition would have no impact on policing.