Claims the engine shed at Wivenhoe station is dangerous have been denied by Colchester Council.
But Wivenhoe Town Council, which has described the building as an "embarrassing eyesore", said such an assertion was laughable.
Town council chairman Cyril Liddy wrote to Colchester Council demanding action to force the owners to make the property safe.
But Graham White, the borough's director of administration, said there was no possibility of taking action at this time.
Mr White said: "Whilst the building is in a poor state and has been identified as a building at risk, it is not in a dangerous condition and is structurally sound. It is not in such a bad state that statutory powers can be employed."
Mr White added approaches had been made to the owners Spacia and it was expected the company would carry out a feasibility study with a view to putting the building to more productive use.
But Mr Liddy said claims about the structural safety of the shed were not borne out by an inspection of the site.
"The residents of Wivenhoe would consider such an assertion quite risible. It is very clear the building is suffering the ravages of time, weather and neglect."
He added the system of listing building control appeared "rather feeble" and suggested a site inspection by borough engineers and town councillors.
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