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LOUISVILLE, Ky. (WDRB) -- Louisville Metro Government's plan to buy a former AT&T building in downtown could be challenged in court.

The Milestone Society, a Chicago-based nonprofit with ties to Louisville, claims it already had a deal to buy the 200,000-square-foot building built in 1978 property for $8 million. That amount is $1.2 million more than the city is paying, which agreed to pay $6.8 million at closing for the property. 

The site remains owned by AT&T. 

The nonprofit wanted to use the land at 6th and Chestnut streets as the Mattie Jones Civil Engagement Center, named for a longtime community activist in Louisville. The space was planned to be used for after-school education programs, a children's urgent care and a foster care transition home.

Leaders announced plans to sue while holding a letter of intent on the property on Tuesday.

"It's just like I said, another slap in the face for people trying to do business, trying to do the right thing," Neal Robertson, president of West Louisville Urban Coalition, said.

An AT&T spokesperson says the company tried to assist the Milestone Society through the transaction process, but the nonprofit was unable to submit a completed purchase agreement.

Metro Government says it didn't know about another bidder.

The tentative plan is to move the Louisville Metro Police headquarters and other city agencies into the building, but Metro Council must still approve the plans. The city hopes to close the deal early in 2022. 

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