The man accused of deliberately setting a historic Edmonton building on fire, was granted bail Wednesday.

54-year-old Michael Kevin O'Reilly was charged with arson in early April, after the Ramsey building, which had stood on Rice Howard Way for more than 90 years, was severely damaged by a fire in late March.

O'Reilly was granted bail with the provision that he put up $10,000 in cash, and that he reside in Alberta.

Originally damages to the Ramsey building were pegged at $3.5 million, but fire investigators said the damage is now estimated at $5.5 million.

The building, although loaded with history had no official historic designation.

"If it's not under any sort of designation it's pretty tough for the city to dictate what someone can and can't do with the property," said Mayor Stephen Mandel.

The city's principal heritage planner, Robert Geldert, said even without the title, the building is very important.

O'Reilly will be back in court at the end of May.