Hartford Business Journal

HARTFORDBUSINESS.COM | OCTOBER 2, 2023 21 properties," said Bruce Simons, co-president of the West Hart- ford-based real estate develop- ment and investment firm. "There's an opportunity with a lot of office tenants looking for a post-pandemic return. They are looking for a nicer experience and a better environ- ment." Bruce and his brother, Harris Simons, own and manage two of the town's largest office proper- ties: the roughly 180,000-square- foot "Town Center" office and retail building in the heart of West Hart- ford Center, at 29 S. Main St.; and the 150,000-square-foot "Corporate Center West" building, at 433 S. Main St. Bruce Simons said both office buildings have occupancy rates in the mid-90% range. Corporate Center West is set away from the town center, located just off Interstate 84. But the Simons brothers are taking steps to improve the retail amenities within walking distance. They recently secured local permits to add a 5,000-square-foot Star- bucks to the 17-acre property. Bruce Simons said he plans to add more medical office and retail space. Figure Eight is also developing plans for an apartment building with more than 150 units next to Corpo- rate Center West. The town is helping by continuously improving sidewalks and working with landowners to develop in ways that complement West Hartford's existing character, said Simons, a lifelong town resident. The care the town puts into landscaping, signage and other elements is hard to quan- tify, but is felt, he said. "It really spurs the nearby property owners to reinvest," Simons said. "It's a great energy. The town put a lot of effort into its roadways and lighting. It's hard to show on a pro forma how a beautifully landscaped island helps." West Hartford Economic Devel- opment Coordinator Kristen Gorski said her town offers about 2.2 million square feet of office and medical space. She estimates 94% of it is occupied. Gorski said some landlords are contem- plating the conver- sion of retail to office space to satisfy demand, something largely unheard of in most other Connecticut office markets. Even first-floor spaces can be a good fit for office users who have reasons for the public to drop in, such as Realtors. "It's interesting because you don't see that a lot," Gorski said. "But because we have such high occupancy in office, (landlords) are saying we will take a chance to see if this is a good move." Gorski said the town's success in attracting apartment developers is making it increasingly attractive to Andrew Sufian Kristen Gorski Chris Ostop PHOTO | COSTAR Charter Realty & Development Corp. in 2021 paid $40 million for the 500,000-square-foot mix of retail, residential and office space in West Hartford's Blue Back Square. It's converting the former 40,000-square-foot New York Sports Club (shown left) into office space. Kainen, Escalera & McHale is a full-service employer defense law firm committed to providing outstanding representation and personalized legal services to each of our clients. We welcome the opportunity to serve your business. 21 Oak Street, Suite 601, Hartford, CT 860-493-0870 | www.kemlaw.com | Attorney Patrick J. McHale is responsible for the content of this advertisement. Your workplace is our business. SM other users, including office tenants. Chris Ostop, managing director of brokerage firm JLL Connecticut, said the safe, walkable and vibrant feel in West Hartford is in high demand by employers trying to entice new hires and convince existing staff to spend more time in the office. "As a leader of a company … you are trying to entice your people to come back in without mandating it," Ostop said. "You can have 'free lunch Tuesdays,' but one of the best things people are doing right now is making their office worthy of their employees' commute. It has to be a place people want to go. That's what West Hartford Center is for this area." Ostop said traditionally isolated suburban office buildings hold less appeal. Employers can build "all the amenities in the world," but they end up with a "cruise ship." "How long can you live on a cruise ship?" Ostop said. High demand for space, moderate appetite to build Ostop predicts more conversions of existing West Hartford buildings to office space. However, it would be difficult to convince lenders to invest in entirely new office build- ings, he said. "As more spaces free up, I'm sure (landlords) will look hard at offices," Ostop said. "From a ground-up stand- point, it is still difficult. I'm not sure the lending market is there yet. But I think (West Hartford) could accommodate a lot more square footage." Charter Realty & Development Corp. in 2021 paid $40 million for the 500,000-square-foot mix of retail, residential and office space in West Hartford's Blue Back Square. The real estate invest- ment and management company is partway through converting the 40,000-square-foot former New York Sports Club into office space. About half of Blue Back Square is office space, said Charter Vice President Andrew Sufian. Over the past year, Blue Back has leased approxi- mately 65,000 square feet of office space to new tenants that employ more than 400 workers, Sufian said. The new arrivals, which Sufian declined to disclose, include a couple of smaller users, and three tenants each with about 20,000 square feet, he said. Overall, Blue Back is currently 95% leased, a 10-percentage point improvement from 2021, when Charter purchased the property, Sufian said. "There's a high demand right now," Sufian said. "Here at Blue Back Square, we really do have that live, work, play. You have proximity to both the Delamar (hotel) and Whole Foods, and walking distance to West Hartford Center. It really is an unparalleled office environment because everything you need is right outside your door."

• Cover