Gov. Charlie Baker and Lynn Mayor Thomas M. McGee signed a bill authorizing the sale of the Lynn Armory to a city nonprofit. The nonprofit Neighborhood Development Assoc. Inc. plans to renovate the historic building into a military veteran apartment complex.

The bill allows the state Division of Capital Asset Management and Maintenance to sell the armory to the nonprofit. Neighborhood Development Assoc. is overseen by a board of directors and managed by the Lynn Housing Authority and Neighborhood Development.

The armory, built in 1893 on South Common Street, will be converted into 35 veteran housing units, with veterans’ services offered as well.

“This project is a great example of how our administration’s Open for Business initiative works to return underutilized state assets to beneficial public use,” Baker said in a statement. “Through collaboration with Lynn officials, we have found a fitting legacy for the Armory building, which served members of the military for more than a century and will now continue to provide service to our veterans.”