A City of Winnipeg committee has quashed a bid by Great-West Life to demolish a vacant historic house on the corner of the company's property.

The 2 ½-storey Milner house, built in 1909, at the corner of Balmoral Street and Mostyn Place is the last structure remaining behind the giant life insurance company's headquarters.

Named for William Edwin Milner, who was once the president of the Winnipeg Grain Exchange, the house has been vacant since the eldest of the Milner's children died at age 97 in 1990.

Great-West Life bought it in 1991 but it has sat empty without any development plans for the area — until now. Great-West wants to covert part of the property into green space and expand its surface parking.

But on Monday, the request by Great-West to have the house removed from the city's conservation list to clear the way for demolition was denied by the development and heritage committee.

The committee was unanimous in recommending against the request.

However, its decision is not final.

The matter will still go before the executive policy committee and then the full council. But it will come with the heritage committee's strong recommendation to turn down the request.

Cindy Tugwell, executive director at Heritage Winnipeg, cheered the committee's vote. She says there are players interested in redeveloping the home for housing and hopes Great-West Life will now be open to the possibilities.

"It makes no sense to keep procrastinating. Let's lease this property out and let someone else come in and take care of it and make it a part of the community," she said.

No one from the company has returned CBC's calls for an interview.

According to a 1992 report by the city's historical buildings committee, the house is characteristic of Winnipeg at the turn of the century and of Milner's prominent status in the community.

And because the house stands alone on that side of the street, surrounded by open space, it is more conspicuous than if it was tucked among other homes. That makes it an important feature on the street, the report states.