Hartford Business Journal

8 HARTFORDBUSINESS.COM | FEBRUARY 5, 2024 DEAL WATCH A proposed $425 million redevelopment of the Westbrook Outlets retail center would essentially create a new town center in Westbrook, anchored by hundreds of new residential units. RENDERINGS | CONTRIBUTED Lexington Partners plans 'eye-opening' $425M redevelopment of Westbrook Outlets into apartments, townhomes, commercial space at present, being vastly underused, so this is a nice opportunity for that property to be redeveloped and see a brighter future for us. We are very excited about the possibility." The development may require some zoning changes, Gillespie said. Plans call for 60-foot-high build- ings — 10 feet higher than what's currently permitted. The development might also require some relief from parking requirements, he said. Locally, Lexington's plan will also require a wetlands review. At the state level, the project must pass reviews from the departments of Transportation and Energy and Environmental Protection to address traffic and other issues. Westbrook has public water supply but no public sewer, which has been an impedi- ment to large-scale development. 'Scale rarely seen' Gillespie said Lexington Partners first approached the town about 18 months ago, presenting a concept far grander than any development he can recall. "There was a big 'wow' factor when they first presented the plan to us," Gillespie said. "The scale of it was eye-opening. It's a scale rarely seen." Gillespie said Lexington Partners has a reputation as a quality devel- oper of large-scale projects else- where in Connecticut. That includes the recently completed 292-unit redevelopment of the former Sisters of St. Joseph of Chambery campus in West Hartford. "We are very familiar with Lexington Partners and their projects throughout the state and their ability to do this," Gillespie said. "That gives us great confidence." By Michael Puffer mpuffer@hartfordbusiness.com T he Westbrook Outlets retail center could soon be demol- ished to make way for a roughly $425 million development mixing 595 apartments, 100 town- homes, a new hotel, restaurants and entertainment space less than a half-mile from the shoreline. Prolific Hartford-based developer Lexington Partners is proposing rede- velopment of the 49.7-acre property at 314 Flat Rock Place in Westbrook. It would require demolition of four 1995-vintage retail buildings totaling 257,115 square feet, and a cinema built in 1999. "It will feel like a town center," said Lexington Partners President Chris Reilly. "It will have a main boulevard with apartments over retail and a lot of open space." Lexington recently presented its basic concept for redeveloping the struggling retail center to West- brook's Zoning Commission. Reilly said the shops are currently about 25% occupied. Lexington will partner with the existing property owner on the project. The property is managed by North Plainfield, New Jersey-based Levin Management. In 2017, the Westbrook Outlets property was sold for $37.4 million by Tanger to an undisclosed buyer. The property lists T Westbrook Center LLC as its current owner. That LLC has a Delaware mailing address. "We are going to take the lead on it," Reilly said. "They will retain majority ownership," while Lexington will have a minority stake. Brighter future Lexington Partners has devel- oped plans for 965,565 square feet of new apartment space in five buildings, some with ground-floor commercial space. The buildings would include 30 studio apartments, 209 one-bedroom units, 306 two-bedroom dwellings and 50 three-bedroom units. Plans also call for a pool, 14,400-square-foot amenity space, and 1,000-seat amphitheater. There would also be 73,656 square feet of commercial space, most of which would be occupied by restaurants, Reilly said. The goal is for construction to begin sometime in the first half of 2025, but that will depend on obtaining local and state permits. The project, early on, is getting a warm welcome in Westbrook. The town's plan of conservation and development specifically identifies the flagging outlets as a priority redevelopment opportunity. "What they are proposing to do falls almost exactly in line with what the property needs," said Westbrook Town Planner Peter Gillespie. "(The Westbrook Outlets) really is, Lexington Partners President Chris Reilly. HBJ PHOTO | MICHAEL PUFFER

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