Right now, it's hard hats only. But Neighbors of Watertown is hoping by this time next year, the Franklin Building will be home to 16 apartments and several businesses.

"It'll be one more link in the chain to be able to get this downtown community redeveloped and hopefully thriving again," said Reg Schweitzer of Neighbors of Watertown.

Neighbors took the project on four years ago.

Contractors started renovating the former YWCA last fall.
"Different levels and layers within the building ended up making it an interesting project to put together," said Schweitzer.

Most of the work is funded by tax credits.

In order to qualify for certain tax benefits, historical parts of the building were required to remain in tact.

As workers transformed the gymnasium into apartments and the pool into soon-to-be storefronts, they've uncovered history.

The other day contractors found an old "Franklin Arcade" sign under layers of paint.

"It probably would have been lost to the wrecking ball," said Schweitzer.

Neighbors of Watertown hopes to have everything finished by December.

Two businesses have already claimed spots in the building - taking Public Square one step closer to the thriving downtown it once was.