An old drug store could be the key to helping upscale retailer Saks Fifth Avenue find more space Downtown.

Washington County developer Millcraft Industries has talked to the department store about using part of the former Revco Building on Oliver Avenue for more docking and receiving space and possible expansion.

"We need them Downtown. I think they want to be Downtown. Whatever we can do to help them, we're happy to do that," Millcraft Chairman Jack Piatt said.

The possible use of old Revco space comes as city officials try to find ways to accommodate Saks' need for more receiving space and parking. They and others fear that without more space, Saks could be tempted to bolt to the suburbs, a black eye the city wants to avoid after the closings of the Lazarus-Macy's and Lord & Taylor departments stores Downtown in 1994.

Millcraft holds an option on the Revco building, owned by the city's Urban Redevelopment Authority, as part of its purchase of the former Lazarus-Macy's department store at Oliver, Fifth Avenue and Wood Street last year.

The Revco building, which once had entrances on Fifth and Oliver, sits next to the Lazarus-Macy's building on Fifth. The Oliver Avenue side of the building is adjacent to the back end of the Saks store.

Millcraft would like to use the building as an extension of its project to convert the Lazarus-Macy's store into a retail, office and condo complex called Piatt Place.

At the Revco building, Millcraft is planning retail on the ground floor, office space on the second and third floors, and a possible recreation center above that for Piatt Place residents.

But Mr. Piatt said Millcraft is willing to offer part of the building on the Oliver Avenue side to Saks to help meet its need for more shipping and receiving space. The existing loading dock in the building housing Saks abuts the old Revco building.

Herky Pollock, the executive vice president of CB Richard Ellis who is working with Millcraft, said he has had general discussions with Saks about trying to meet the store's needs.

"Saks has needs that the city and our development team are working to accommodate," he said. "We are eager to work with them to solidify their long-term position in Downtown."

Saks spokeswoman Julia Bentley had no comment.

Another possible solution would be to give Saks some access to three relatively new loading docks built as part of the Lazarus-Macy's construction. Those loading docks are only a short walk from the rear of the Saks building.