Last year, the City of Melbourne spent $4.88 million buying the Kathleen Syme Centre on Faraday Street. The council will begin community consultation next month to decide how best to use the space.

Four suggested uses for the centre have been put forward by council staff – including as a health and aged services hub or a lifelong learning hub that incorporated a library.

CRA spokeswoman Greta Bird said buying the vacant Carlton police station on Drummond Street would mean the community would not have to choose between essential community services.

She said the CRA had campaigned vigorously for a comprehensive library and community space at the Kathleen Syme Centre, but that all the suggested uses outlined by council were important.

"We are asking the council to acquire the police station as well so all the options can be accommodated – so it is not just a case of either or," she said.

Melbourne lord mayor Robert Doyle said even though he was due to inspect the former Carlton police station, the building was not available for redevelopment.

"The State Government hasn't declared it surplus to their needs yet," he said.

Cr Doyle said the options suggested for the Kathleen Syme Centre were to promote community discussion and that council was not locked in to any one option.

He said the CRA had made a good argument for the centre to be used as a library, but all options had to be taken into account.

"The community has a range of needs and I wouldn't want to pre-judge any outcome," Cr Doyle said.