BETHEL — The 1896 Gehring mansion in the south end of the Broad Street Historic District will be  redeveloped into 10 one- and two-bedroom middle-market apartments by the new owner, Northern Forest Center.

The center and building owner Paul Boghossian closed on the sale of the two-story building and 10 acres Dec. 15.

Northern Forest Center, a nonprofit organization with a successful record of property redevelopment in Millinocket and in Lancaster, New Hampshire, is redeveloping underused properties to create high-quality housing that enables young professionals and families to find homes and contribute to rural communities.

Its goal is to restore the historic integrity of the building, create apartments and eventually build homes on part of the adjacent acreage to further expand local housing opportunities.

Paul Boghossian acquired the property with the intent of redeveloping the mansion, which was previously home to the National Training Laboratories Institute.

“I’m pleased that the Northern Forest Center is in the position to create quality housing on this unique property,” he said. “Their goal is similar to mine in restoring the grand property and filling a community need.” Besides adding substantially to the acreage of the site during his ownership, Boghossian was also able to secure vital historic tax credit approvals for the project.

“We are thrilled to acquire this important building in downtown Bethel and add housing development to the many community revitalization programs we have going on with partners in Bethel and the Maine West area,” Rob Riley, president of the Northern Forest Center, said. “The historic tax credits Paul secured will be an invaluable tool to restore the historic house to its former glory and reposition it as vital housing for the community.”

The redevelopment complements the center’s ongoing work in the region, including projects that improve recreation access and resources, assist wood products and tourism-related businesses, advance sustainable tourism, develop community forests, expand broadband service, and build area nonprofit capacity. The center’s goal is to create vibrant communities and a regional economy that can attract and retain young people and families in rural communities across the Northern Forest region of Maine, New Hampshire, Vermont and New York.

“The Gehring mansion, constructed in 1896, is one of the most architecturally and historically significant buildings in Bethel,” William F. Chapman, executive director of museums for the Bethel Historical Society, said. “The house served as both the home of Dr. John George and Mrs. Marion True Gehring and the clinic where Dr. Gehring would treat patients from all over the United States. After years of watching and wondering what would happen to the property, we could not be more excited to know that it will be preserved and continue to serve in a community function.”

The center will use a mix of funding sources for the project, including impact investment funds, tax credits and private gifts and grants. It is using capital from its Northern Forest Fund, which integrates private investment dollars, philanthropic donations, and grants from public sources for the purchase and initial expenses.

“Our aim is to create middle-market housing that will be attractive and financially within reach for young people and families who contribute to the community through their work as teachers, health care providers, entrepreneurs, hospitality professionals and other roles, Amy Scott, program manager, said. She will oversee the redevelopment alongside her work managing the Maine West collaborative.

The center has completed two major property initiatives:

• In Millinocket, more than $1 million to renovate six homes to create 12 quality rental units.

• In Lancaster, New Hampshire, $3.5 million to redevelop the Parker J. Noyes building into six middle-market apartments and commercial space for a local nonprofit and food marketplace.