But government minister thinks it wouldn't be appropriate to accept
The owners of the former Newson's building on Douglas' North Quay have offered the site to government 'free of charge'.
Kelman recently announced it was 'giving up' on the re-development plans, citing a 'five year battle' with planners.
There have been disputes over whether the building, which dates back to the 1700s, should be retained, or demolished - as the developers wished.
Environment, Food and Agriculture Minister Clare Barber says a balance needs to be struck:
Chief minister candidates to go head-to-head
Island's young people told 'look after your bodies' as UK cancer rates rise
'No plans for Isle of Man store' says supermarket
Thieves make off with haul of power tools and equipment