GREENVILLE – A Hudson firm awarded a contract to build a $1 million business incubator in Greenville also was awarded a contract on Wednesday to construct the town’s new municipal building.

C&N Custom Builders Inc. of Hudson submitted the lowest of four bids, but the company’s bid was still about $13,000 over the $376,481 budget. As a result, selectmen authorized Town Manager John Simko to negotiate with the firm to keep the project within budget.

The contractor plans to begin construction on the approximately 3,000-square-foot municipal building first because there is a 12-week wait for the steel needed for the incubator building, according to Simko.

Residents earlier this year approved the purchase of land across from the present municipal building for the new construction. The former house that was on the property was razed in preparation for the project.

The new building will house the town’s administrative offices, including the town office, offices for the town manager, police chief and code enforcement officer, and a meeting room.

The board on Wednesday completed the sale of the Oliver Road lot, the proceeds of which will help fund the municipal building construction. Resident Wayne Beckwith purchased the town-owned lot for $40,000.

Simko also updated the board this week on the town’s pre-application for Economic Development Administration funds to build a rail siding within the industrial park.

“It’s an integral part of our industrial development plan,” he said Thursday.

Potential businesses that have talked with town officials say rail access is a necessity, he said. Town officials hope to secure a $300,000 grant to construct a 2,000- to 2,500-foot-long rail siding.