Stonington -- Residents at a town meeting Monday night voted 71-36 to approve a tax break agreement with a Boston firm seeking to develop the former Campbell Grain site in downtown Pawcatuck into 82 apartments.

The town has said the proposed fixed assessment would save Winn Development $690,748 in taxes over 10 years. During that time Winn would pay $695,000 in taxes to the town. If the parcel remains vacant and undeveloped, it would generate less than $30,000 in taxes over the same period.

The agreement states that it is in the best interest of the town and taxpayers that Winn acquire and improve the property, but the project is economically feasible only if a fixed amount of reduced taxes is agreed upon over the next 10 years.

Town officials see the site as crucial for the redevelopment of the downtown but there had been little interest in the site before Winn's proposal.

The project will consist of a mix of studio, one-, two- and three-bedroom units that will be rented at prices affordable to people who earn 30%, 50% and 80% of the area median income. The project also will contain market-rate units. Plans also call for extending the public Pawcatuck Riverwalk to the property.

Winn is seeking $20 million in funding from the Connecticut Housing Finance Authority and the Connecticut Department of Housing through a competitive grant process. A contribution from the town improves Winn's chances of obtaining the needed funding.