Hartford Business Journal

4 Hartford Business Journal • October 9, 2017 • www.HartfordBusiness.com Briefs Charter Communications plans $100M Stamford expansion Charter Communications Inc. said it will take advantage again of Connecticut's First Five Plus incentive program as it expands here, building a new headquarters in Stamford and creating 1,100 new jobs. This will be Charter's second incentive package from the state. In October of 2012, Charter invested $10 million — much of it in the form of a state loan — and promised then to create 200 jobs to move its corporate headquarters from St. Louis to Stamford. Now, it also has agreed to build a 500,000-square-foot, 15-story headquarters and invest $100 million in Connecticut over the next several years, the company said. In exchange, the state will provide Charter a new 10-year, $10 million low-interest loan to support the project. The company may also be eligible for loan forgiveness based on job creation and if employment obligations are met. Charter also will receive up to $10 million in tax credits through the state's Urban and Industrial Sites Reinvestment Tax Credit program. The Fortune 100 company is the second- largest cable operator in the United States — growth that happened since the move to Stamford, said Tom Rutledge, Charter's chairman and CEO. The Hartford taking a wallop from hurricane claims Property and casualty insurer The Hartford said it estimates catastrophe losses will cost the company up to $375 million in the third quarter, inflated by damage from Hurricanes Harvey and Irma. The Hartford will release third quarter earnings after the close of the market on Oct. 26. Losses from Hurricane Harvey are expected to reach $175 million, before tax, with a comparable amount sustained by losses from Hurricane Irma. In each case, the storms had a larger impact on commercial lines than on personal lines, the insurer said. New Britain to sue opioid makers The city of New Britain announced that it plans to sue opioid manufacturers and distributors to recoup the addiction costs the city says it has borne in its social services and public safety budgets. Officials didn't say when the city would file the lawsuit, nor did it identify the targets. But the promised filing would follow a similar Aug. 30 complaint by Waterbury officials against Stamford-based Oxycontin maker Purdue Pharma and multiple other companies, according to the Fairfield County Business Journal. As many as two dozen Connecticut communities have indicated they may sue opioid manufacturers, according to published reports. New Britain said it has retained Scott+Scott Attorneys at Law to represent the city. The firm will only receive attorney fees if the litigation is won or settled, officials said. Simsbury Bank parent deregistering stock to curb costs The Farmington Valley parent of Simsbury Bank & Trust Co. plans to deregister its common stock after the first of next year to curb costs, officials said. SBT Bancorp Inc. President and CEO Martin J. Geitz said that SBT's board of directors voted to end registration of its common stock under the Securities and Exchange Act of 1934. The delisting of its stock will be effective New Year's Day, 2018. The action, Geitz said, will curb the banking company's legal, accounting and administrative costs tied to mandated financial-reporting, auditing and other regulatory requirements. Tax breaks OK'd for Rentschler Field shopping outlets The Outlet Shoppes at Rentschler Field project is moving a step closer now that the East Hartford town council has approved up to $16.9 million in tax breaks for the developer. The incentives unanimously approved Oct. 3 allow the developer, Horizon Group Properties, to have a full property tax exemption during first its two years of operation and a decreasing percentage over the next eight years, said the town's Finance Director Michael Walsh. Capped at $16.9 million, the incentive comes with the caveat that Horizon must occupy the space for 10 years or the tax breaks would end, he said. Farmington's United Technologies Corp. and Horizon inked a lease agreement allowing for the development of a new outlet center at the end of August. Expected to cost up to $107 million, the new 280,000-square-foot center near Rentschler Field could take about 18 months to complete if work begins this fall, officials have said. Quest acquires two Hartford HealthCare lab systems New Jersey-based Quest Diagnostics has acquired the outreach lab operations of two Hartford HealthCare (HHC) hospitals — William W. Backus Hospital and Hospital of Central Connecticut. Testing performed by the two hospitals will transition to Quest's full-service clinical laboratory in Marlborough, Mass., as well as rapid response labs in Wallingford, Torrington, Stratford, Hartford and Norwich. Backus is in Norwich, and the Week in Review TOP STORY City of Hartford fires Centerplan from downtown north development T he city of Hartford fired Centerplan, the original developer of Dunkin' Donuts Park, from the planned development around the minor league baseball stadium. Mayor Luke Bronin said Middletown-based Centerplan, DoNo Hartford LLC, and the associated entities created to develop the land in and around Dunkin' Donuts Park have been dismissed from the project. The city now intends to find new developers with the interest and capital to invest in the downtown north neighborhood. "In failing to deliver the ballpark on time, failing to do the work well, and failing to pay numerous subcontractors, Centerplan violated the development agreement that covers the surrounding parcels," Bronin said. "By terminating the master development agreement with Centerplan, we hope that we can begin to move forward with finding a strong and capable partner for the next phase of development that is so essential to the city of Hartford." The city also filed counterclaims to a Centerplan lawsuit that accused the city of wrongful termination from the stadium project. The city alleges that Centerplan engaged in fraud, both in its inducement of the city to begin the stadium project and its conduct after the project got underway, and civil theft during the course of the stadium construction. In its countersuit, the city alleges that Centerplan falsely certified that it had paid approximately $8 million to subcontractors in order to collect reimbursement from the Hartford Stadium Authority. The city alleges that Centerplan never paid the contractors and vendors — instead paying for its own debt on other projects unrelated to the city. BY THE NUMBERS $100M The capital expenditures Charter Com- munications plans to make in Connect- icut over the next several years as part of a recently announced First Five deal. 3.5% The percentage decline in Greater Hart- ford median home sale prices during the month of August. The median home sale price totaled $231,700 in August vs. $240,000 in the year-ago period. $375M The estimated catastrophe losses The Hartford expects to book during the third quarter as a result of the damage from Hurricanes Harvey and Irma. $135M The decline in education cost sharing grants the state is providing to school districts this month, as the state con- tinues to operate without a budget and under executive order. TOP 5 MOST READ On HartfordBusiness.com • Opinion: Risk of XL Center closure real and threat to Hartford • Hartford radiology group acquired by Florida firm • City of Hartford's CFO resigns amid budget crisis • Hartford fires Centerplan from downtown north development • Hartford HealthCare, Anthem contract talks resume STAY CONNECTED For breaking and daily Greater Hartford business news go to www.HartfordBusiness.com HBJ on Twitter: @HartfordBiz HBJ on Facebook: www.facebook.com/HartfordBiz HBJ on Linkedln: www.linkedin.com/company/ the-Hartford-Business-Journal Daily e-newsletters: HBJ Today, CT Morning Blend www.HartfordBusiness.com/subscribe Weekly e-newsletters: CT Green Guide Weekly, CT Health Care Weekly www.HartfordBusiness.com/subscribe Martin J. Geitz, President and CEO, SBT Bancorp Inc. An original rendering of the retail and office development Centerplan planned for Hartford. RENDERING | CONTRIBUTED

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