Downtown projects in New London, Norwich to receive state grant funding
New London and Norwich each will receive multimillion-dollar grants to boost downtown development projects through a $45 million Connecticut Communities Challenge Grant program announced by Gov. Ned Lamont on Wednesday.
New London will receive $5.9 million to help renovate several buildings on State, Bank, Water and South Water streets, and Norwich will receive $2 million to assist a Baltic construction company to revitalize the derelict former YMCA property at a prominent Main Street gateway.
Under the Connecticut Communities Challenge Grant Program, 12 municipalities will receive funds to support projects designed to improve “livability and vibrancy” of cities and towns, a news release on the program stated. More than half the funding will go to financially distressed municipalities, Lamont’s office said in the news release issued following the governor's news conference in Middletown on Wednesday.
The state Department of Economic and Community Development will administer the funding, and additional grant announcements are expected, state officials said.
Leaders in New London and Norwich both said the funding will spark economic revitalization in key downtown areas and should help attract other improvements in those areas. They thanked city staff for their hard work in putting together the grant applications to secure the funding.
“Staff has worked tirelessly for months on a proposal, and they were successful beyond their expectations,” New London Mayor Michael Passero said. “We are thrilled. This is additional recognition that the city is strategically important to the economy of the region. The state is investing in New London as the economic (capital) of southeastern Connecticut just as it invests in the state’s other major cities.”
Felix Reyes, director of the city’s Office of Development and Planning, said the grant application was a team effort that included work from Economic Development Coordinator Elizabeth Nocera and Grants Coordinator Adriana Reyes.
Norwich City Manager John Salomone thanked several city staff members for their work on the grant for the former YMCA property, including Planning Director Deanna Rhodes, Norwich Community Development Corp. President Kevin Brown, Public Works Director Patrick McLaughlin and Mayor Peter Nystrom, who kept in communication with prospective developer Mattern Construction of Baltic.
Mattern submitted the lone bid to the city of Norwich for the YMCA property. The $2 million grant will contribute to the company’s plans to do a partial demolition and partial renovation to relocate the construction company’s headquarters on the property. Accompanying commercial space could be marketed for a brew pub, restaurant and/or coffee shop.
Company Vice President Eric Mattern said the company is awaiting word on a federal Environmental Protection Agency cleanup grant that also would assist the project.
“Today was a very good announcement that helps move that project forward,” Nystrom said.
The $5,985,460 coming to New London will fund a mix of public and private projects, including downtown lighting, sidewalk and traffic signal improvements and rehabilitation of murals on downtown buildings. It also will fund a new home for the city’s shuttle service.
The Garde Arts Center on State Street will have money toward an expansion project. David Preka, owner of Muddy Waters Café on Bank Street, will receive funds to develop a boutique hotel at 3-5 S. Water St. High Tide Capital's two ongoing historical renovation projects at 133 Bank St. and 223-229 State St. were included on the list of projects to be funded. There is also money for rehabilitation of a vacant storefront at 46 Bank St.
Private project partners, Reyes said, will provide at least a 25% match toward those projects.
“We’re extremely happy,” he said. “These are huge, huge projects in downtown. I am thankful for the state’s investment and continued partnership with the governor’s office and DECD. This announcement comes with great joy and a high level of emotion for me personally. It speaks to the promise of our beloved city and all the amazing people who call it home.”
Norwich City Manager Salomone said likewise, the YMCA project will add to a series of major proposed development projects “east to west” along Main Street. At the east gateway to downtown is the YMCA property. In the middle is the proposed development of the long-vacant Reid & Hughes Building into 17 apartments and retail space, and a major renovation is planned at a huge, two-building complex at 77-91 Main St. into apartments and retail space.
Lamont said the new Communities Challenge Grant program is meant to help the recipient cities partner with private developers to bring long-lasting improvements to downtowns.
“Investing in our communities is a key part of our plan to accelerate long-lasting and equitable economic development in Connecticut,” Lamont said in a news release. “This new grant program we launched will have wide-ranging impacts as we emerge stronger than ever from the (COVID-19) pandemic, creating new jobs, improving the vibrancy and quality of life in our neighborhoods, and making all corners of the state even more attractive for investment and opportunity.”
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