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26 Hartford Business Journal • November 26, 2012 www.HartfordBusiness.com Celebrating 20 Years of Business News REAL ESTATE 20 Years of Section Sponsored By By Greg Bordonaro gbordonaro@HartfordBusiness.com H artford's skyline has been reshaped over the last 20 years with the addi- tion of major development projects that were part of an ambitious redevelop- ment plan aimed at reviving the vibrancy of the Capital City. The state's "Six Pillars" plan, which was led by former Gov. John Rowland, ushered in a new era of state-subsidized commercial real estate development in Hartford, in which hundreds of millions of dollars were invested in new convention and entertainment cen- ters, downtown housing projects, hotels and additional parking. The project most certainly changed the face of the Capital City, adding a much need- ed vitality to downtown, and creating more opportunity for people to live in or near the central business district. But the plan hasn't been a cure-all to the city's economic devel- opment ills and still remains a work in prog- ress years after being completed. Meanwhile, slow economic and business growth in downtown Hartford has put pres- sure on the commercial real estate market for the past two decades, leading to two separate waves of office building foreclosures as land- lords either made big bets on Hartford that didn't pan out or had trouble finding tenants to occupy their properties. Overall, the commercial real estate scene has been a mixed bag in the city over the past 20 years, with government backed projects coming to fruition, while private investors and landlords faced challenging times. "If you were an owner of real estate, it's been a tough 20 years," said Joel Grieco, executive director of realty brokerage firm Cushman & Wakefield in Hartford. "If you were an occupier of real estate, it's been fine. It's created opportunities." "Six Pillars" The goal of the Six Pillars plan has been to try to make Hartford a 24/7 city where people come to work, live and play. The results have been mixed, with completion of the projects having largely been a success, but their over- all economic impact—in some cases— being somewhat less than desired. The Six Pillars plan represented a joint effort by many individuals, including a close partnership between Rowland, former Hart- ford Mayor Mike Peters and former House Speaker Tom Ritter. Private developers including Northland Investment Corp., Martin Kenny, and HB Nit- kin Group, to name a few, also played signifi- cant roles on the project. The state legislature established the Capi- tal City Economic Development Authority in 1998 to plan, manage, and oversee the Six Pillars plan, which included a half-dozen redevelopment projects. After more than a decade of mixed results, CCEDA was recent- ly replaced by the Capital Region Develop- ment Authority, which was established by Gov. Dannel P. Malloy to better coordinate economic activity in the region. The Six Pillar projects included develop- ment and/or construction of the: • Largest convention center between Bos- ton and New York. Sitting on a 28-acre parcel, the Connecticut Convention Center has played host to many midsize events, from the Aircraft Owners and Pilots Association's convention and the Connecticut Business Expo. Over the past seven years the Convention Center has hosted over 1,400 events, 1.9 mil- lion guests, and generated $38 million in revenue. Some critics, however, have said the convention center has been an underutilized asset, sitting empty during too much of the year. • Hartford Marriott Downtown, a 22-story, $91 million, 419-room hotel that plays hosts to tourists and business travelers. • Hundreds of newly constructed or reha- bilitated housing units including the iconic $165 million Hartford 21 mixed- use apartment complex attached to the State-subsidized projects remake Hartford But commercial vacancy issues have rental rates stuck at 1992 levels The goal of the Six Pillars plan has been to try to make Hartford a 24/7 city where people come to work, live and play. Open air retail centers find CT niche Continued on page 28 See page 29 The Connecticut Convention Center's last panes of glass were installed on Dec. 30. West Hartford's Blue Back Square was among several open air retail cen- ters that gained in popularity in Con- necticut over the last 20 years. The 660,000-square-foot development nearly doubled the retail and restaurant footprint in West Hartford Center. Its offices, shops, restaurants and movie screens are magnets night and day.