The $53.1 million rehabilitation of the Near West Side’s former Mid-City Trust and Savings Bank as a hotel will be assisted by a $1.3 million Adopt-A-Landmark grant and tax incentive approved by City Council today.

Planned by ECG Madison LLC at 801 W. Madison St., the 82,000-square-foot project will rename the six-story building as “The Neighborhood Hotel” and include space for retail tenants on the ground floor. The grant will largely be used for exterior masonry, window, and roofing repairs.

The Class L property tax incentive will reduce taxes on the property by $8.2 million over the 12- year term, making the project more financially feasible.

Completed in 1911 and remodeled in 1928, the bank building was designated an official Chicago Landmark in 2012.

The restoration project is expected to create up to 10 permanent jobs and more than 60 temporary construction jobs.