Mystic — In order to secure town approval, the developers of the proposed Smiler’s Wharf project in downtown Mystic will have to overcome issues such as providing enough parking, changing the traffic pattern on Cottrell Street, ensuring there is enough sewer capacity and addressing concerns from Groton officials that the buildings are too high.

Those concerns as well as touted benefits such as increased tax revenue and jobs for the town, increased public access to the water and improved costal resiliency are expected to be part of the discussion Tuesday night when the Stonington Planning and Zoning Commission holds a public hearing on the controversial application at 7 p.m. at Mystic Middle School.

Details and an analysis of the application to rezone a 7.5-acre portion of Seaport Marine’s 11-acre site off Washington Street from marine commercial to Neighborhood Development District for the project are part of a detailed 35-page report prepared for the commission by Town Planner Keith Brynes.

According to Brynes’ summary of the master plan submitted by Noank Shipyard, the owners of Seaport Marine, the project calls for demolition of all current buildings on the site except for the popular Red 36 restaurant.

The plan calls for a five-story, 45-unit hotel, a 16,590-square-foot, three-story marine service and community event space, a three-story, a 200-seat restaurant, a six-story, 25-unit apartment building, 16 townhouses, six units of multi-family housing, a kayak rental building, an open-air plaza, a park, 120 boat slips, a 200-foot public boardwalk extension, 130 feet of new coastal access, a new boat basin that will require the removal of 13,000 square feet of current land and a new bulkhead to protect against storm surge.

While the marine commercial zone, which is the current zoning designation for the portion of the site that would be developed, limits the height of buildings to 20 feet to protect coastal views, the proposed plan calls for one building to be 72 feet high and another 63 feet. 

That's because the Neighborhood Development District designation, which the developers are seeking, is a floating zone tool established by the town in 2005 to "encourage redevelopment of underutilized commercial properties" and supersedes the existing zoning designation.

The application for a master plan, though, gives the PZC a great deal of flexibility in determining what will be allowed on the site. Under the NDD, a developer needs both master plan and site plan approval. The former is an overall plan for the site while the latter contains detailed engineering, architectural, lighting, landscaping and other plans. Both require a public hearing.  

The NDD's statement of purpose also is intended to "preserve and enhance the Town's historic character, sensitive environmental resources and those neighborhoods in the village cores."

Brynes' report points out that the Mystic sewage treatment plant is nearing capacity and cannot accommodate any additional flow for projects such as Smiler's Wharf until upgrades are made to divert sewage to the underutilized borough plant. While $1.7 million has been appropriated in the 2019-20 budget for part of the work, the remaining $865,000 is projected for inclusion in the 2020-21 budget but has not yet been approved.

Brynes wrote that the PZC could approve the master plan with the stipulation that construction cannot begin until the capacity is increased or reject the master plan because the project is not supported by the needed infrastructure.   

Brynes also wrote that the narrow roads in the area and residential character of much of adjacent Washington and Willow streets make traffic an important issue as the area can experience significant congestion during the tourist season.  

He pointed out that the developers' traffic study, which found that traffic on several nearby streets will not experience undue congestion due to the project except for during a few peak hours, is based on the town making Cottrell Street one way southbound, something the town has not yet approved. Brynes suggested that if the PZC approves the master plan, it may want to link the approval to the town changing the street to one way.

Brynes wrote that the development would typically require 387 on-site parking spots but just 318 are planned with 54 more off site within 500 feet for a total of 372. The NDD, however, gives the PZC discretion over details such as the amount of required parking.   

An additional 56 spots would be available at the nearby Mystic Packer Building with shuttle service for special events, bringing the total to 428. Last year, the PZC told the Coogan Farm Nature & Heritage Center that it could not use off-site parking with shuttle service for larger special events.   

Brynes' report also points out the property is located just outside the Mystic Bridge National Register Historic District. A 1920s-era home and boat sheds are slated for demolition.

The report states the project would generate $493,977 of annual tax revenue for the town of Stonington, with a net revenue of $120,719, or $40,146 more than now, after projected town and school expenses are deducted. 

The net revenue could increase as the economic impact study assumes $210,000 in school expenses, based on the residential units containing 12 schoolchildren. The project, though, is not aimed at families with children. The project is also estimated to create 155 full-time jobs and 166 construction jobs.        

The apartment building, projected for 72 feet, would be the tallest in Mystic, and the Groton Planning Commission has expressed concerns about that building and the 63-foot-high hotel, saying they are "significantly out of scale and character" with other development in the downtown.  

Opponents, many of whom live in the Washington Street area, maintain the project does not conform to the town's Plan of Conservation and would damage the character of the village. They also charge that many of the residential units will be placed for rent on sites such as Airbnb and VRBO. Although such short-term rentals are not allowed under Stonington zoning regulations, the town decided a few years ago to not enforce any violations.

j.wojtas@theday.com