Hartford Business Journal

www.HartfordBusiness.com • April 22, 2019 • Hartford Business Journal 21 Besides commercial brokerage, Valenti's experience includes hotel and mixed-use developments. He's a partner in Hampton Inn properties in Farmington and Enfield. Valenti and Lovley first paired up about a decade ago on a hotel project in Southington. Their joint-project count has grown steadily since, with a total construction cost somewhere between $50 million and $60 million, Valenti estimated. That includes a 25-unit development in West Hartford called The Townhomes at Ringgold Estates, which has 10 finished townhomes so far. The pair acquired a Dollar Tree plaza and restaurant proper- ty in Southington in 2017; they're build- ing medical office space in Glastonbury; and have developed sites for fast-food franchisees in several towns. Elsewhere along the line While Berlin could soon see its larg- est transit-oriented project yet, there's been plenty of activity along the rest of the Hartford Line in recent years. "Investors and developers are look- ing at these properties with a lot more interest than they were previously," said Robert Santy, CEO of the Con- necticut Economic Resource Center, a nonprofit that offers business and economic-development services. In Meriden, a series of mixed-use and residential projects centered around the city's rail station, located in its downtown core, will ultimately result in more than 900 new apartments, said City Manager Timothy Coon. Projects completed or approved around Meriden's station over the past few years amount to a total invest- ment of approximately $110 million, with the state pitching in about $7 million for remediation and other work. The apartments are already bringing new residents to Meriden, and when all is said and done, Coon expects the city to reap an additional $1 million in annual tax revenues. "There's a lot of activity, it's cause for optimism," Coon said. However, he said he hopes to see more interest for the 32,000 square feet of commercial space that's been built or is in the works. Meanwhile, 25 miles to the north, Martin Kenny, president of Lexington Partners, remains pleased with his $23 million, 130-unit Windsor Station Apartments. Located next to the Wind- sor train station, the apartments began leasing just over two years ago and are almost 100 percent full, he said. That includes tenants who work over the state border at MGM Spring- field and Baystate Medical Center, some of whom use CTrail service to get to their jobs. The fact that rail isn't crucial to ev- ery tenant who lives near a station is a key point about transit-oriented proj- ects, said Santy. Creating desirable, pedestrian-friendly neighborhoods is equally significant. "It's not always about transit, it's about creating great places," Santy said. "[Rail] is a component to a great downtown." Windsor Station has performed well, which led Kenny and his partners last year to add another complex to their portfolio — the 186-unit Saybrook Sta- tion Apartments in Old Saybrook. It's adjacent to a train station served by Amtrak along the Shore Line East rail line, and like Windsor Station, it too has filled up with tenants, Kenny said. His experience so far has left him a fan of transit-oriented projects, but he said there can be pitfalls. For example, property along rail lines is often contaminated from decades-old industrial activity, and remediation can be costly. Property taxes can also be unpredictable. "Towns are thirsty for grand-list growth," Kenny said, adding that local officials should understand that con- struction costs are high and brick-and- mortar retail continues to struggle in the face of online competition. That aside, he's bullish on the continued economic impact of the Hartford Line. Without it, many developers likely wouldn't consider footing the bill to clean up contaminated properties. The rail service puts those parcels in play, Kenny said. "Now it's in the game, it's in the ballpark," he said. He's evaluating a third transit-ori- ented project right now, but declined to share details. No rail needed for this town-center project T here's no commuter rail service through the high- income suburb of Avon, but that hasn't stopped private investors from backing a massive $200 million mixed-use project. Avon Village Center is on 95 acres, right near town hall, close to the intersection of Routes 44 and 10. The project, whose first phase was greenlighted last summer and is now in the excavation stage, will include about 300,000 square feet of retail and commercial space, as well as just over 400 apartment units. The developer is Rhode Island-based Carpionato Group. Hiram Peck, Avon's director of planning and community develop- ment, called the project "a more sub- urban version of Blue Back Square," a well-known, mixed-use development in neighboring West Hartford that was completed in 2008. Peck perceives increasing demand for walkable downtown cores, with or without trains (the Avon site has nearby bus service as well as a walk- ing and biking path). "A lot of people just don't want to rely on their automobiles any more than they have to," Peck said. "People in suburbs really don't have much choice, and this would give someone who really wants to live in this area some choice." While state officials appear par- ticularly focused on transit-oriented development, Peck said he hopes they don't forget other types of projects. "They can't lose focus that there are many areas of the state that need housing and commercial develop- ment as well," he said. – Matt Pilon Avon Village Center is another example of a town center-style development. RENDERING | CONTRIBUTED A select list of transit-oriented developments near the Hartford Rail Line Project Location Development details Price tag 360 State Street New Haven 500 residential units, 30,000 s.f. retail and office space $145M Parker Place Apartments Expansion Wallingford 193 additional residential units NA 24 Colony Street Meriden 63 residential units, 11,000 s.f. commercial space $31M Meriden Commons Meriden 151 residential units total, 15,000 s.f. commercial space $48M 11 Crown Street Meriden 81 residential units – 74,000 s.f. apartments, 178,000 s.f. commercial/office space $30M Depot Crossing Berlin 16 residential units, 8,700 s.f. commercial space $3.2M Windsor Station Apartments Windsor 130 residential units $22M Montgomery Mills Windsor Locks 160 residential units $62M Source: CT DOT A rendering of Farmington & Steele. The exact architectural look will change slightly, as the developers pursue a special permit this summer. RENDERING | CONTRIBUTED

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