Not another museum, that would be the worst idea.
I agree that I don't think the residence (with its many updates and renos) is really all that worth preserving. It's not THAT grand of a residence and doesn't hold that much heritage value in my opinion. Especially if the cost of repairing is $34M.
I would be tempted to say bulldoze and build new but $38M for new construction? That seems a bit steep, no? I would have thought they could have built something great for half that price! Or why not buy a $5M-$10M mansion in the area (Rockliffe) and then just spend another $5M-$10M to secure it?