Pacific officials approved a contract to purchase the Red Cedar Inn, but are not disclosing what they are paying for the property.
By reading a bill twice, four aldermen, with Aldermen Greg Rahn and Mike Pigg absent, passed an ordinance approving the purchase Sept. 19.
In discussion, City Administrator Steve Roth noted that the seller has agreed to some changes aldermen wanted.
Purchase of property is set to close Sept. 29.
A request to transfer $165,000 from the contingency fund to the general fund to be applied to the purchase of the property was postponed due to the lack of a full board present.
Only four aldermen were present for the meeting. The use of contingency funds requires a vote of five aldermen.
In addition to the $165,000, the Pacific Tourism Commission approved spending $125,000 in its budget for the purchase of the Red Cedar building.
Officials said they would not disclose the total purchase price for the building until after the closing.
The city previously negotiated to buy the iconic structure in September 2008, but abandoned the project after failing to reach an agreement on price.
Then Mayor Herb Adams said the city wanted to sell the city’s history museum, located in the former Wolf residence at 206 W. Union to St. Bridget School.
That building was purchased in October 2005 for $155,000 and operated as a museum for eight years. It was sold to the Knights of Columbus in December 2013 for $135,000.
The city purchased the Queen Anne-style house at 115 E. Osage from David and Janet Hoven in 2011 for $195,000 with the intention of moving the city museum there. The move was never finalized and the city sold the building in December 2015 for $150,000.
The Red Cedar building is one of the most recognizable landmarks in Pacific, next after the sandstone bluffs.
The Smith family constructed the building in 1932 using logs from the family farm and operated it as a restaurant for approximately 80 years.
The building attracted a stream of famous visitors and was featured on a national TV show on Route 66, where programmers said it was their favorite stop on the historic road.
The building also is listed on the National Register of Historic Places. A ceremony to mark that distinction was held June 11, 2003.
When then Gov. Bob Holden visited Pacific in July 2004, the one thing he wanted to see was the Red Cedar.