The Paterson Armory is set to undergo a multimillion-dollar transformation.

The building, long considered an eyesore, will now become a 138-unit luxury housing complex.

A developer bought the property for $3 million and plans to spend another $20 million to turn the rundown structure into high-end residences.

The plans call for apartments with balconies and high ceilings.

The complex may include an outdoor swimming pool and courts for tennis and basketball.

Street-level amenities would feature a restaurant and police substation.

The project would also preserve the historic facade of the armory.