Crews have boarded up the former Colchester Regional Hospital due to concerns over water damage and mold.

The facility in Truro, N.S. closed in the fall of 2012 and, since then, close to $1 million has been spent on security, heat, power and insurance.

Over the winter, water seeped into the electrical system which prompted officials to cut the power bill, shutting off the fire alarm.

Truro Mayor Bill Mills say he’s disappointed the building had to be boarded up.

“If it hadn’t been the winter we had, it might be a little more salvageable, so I guess the winter has claimed another victim,” says Mills.

The former hospital sits on a prime piece of real estate, but with water and mold damage in the building, some residents say demolition is inevitable.

“Well, if it’s going to sit there, yeah, if nobody’s going to take it over, you might as well,” says resident Judy Ferguson.

“I think it’s in so much disrepair,” says resident Delores Smith. “I don’t think they want to spend the money to repair it.”

Officials say boarding up the windows and doors will also be an extra deterrent to trespassers.

Meanwhile, Mills admits this may be the beginning of the end for the building.

“Right now we can hope for the best, but I guess expect the worst.”

The senior director of buildings and infrastructure with the Nova Scotia Health Authority says there has been interest in the building in the form of suggestions, but no real plans or proposals.

Rakesh Minocha says security will remain on site around the clock, but if security

With files from CTV Atlantic's Dan MacIntosh