New London ― A Maine-based developer involved in several downtown revitalization projects hopes to construct dozens of new apartments above a State Street office building with the help of state grant funding, city documents show.

The City Council on Monday will discuss Mayor Michael Passero’s request to apply for “no more than” $1 million in the next round of state Community Investment Fund (CIF) monies that are dispersed annually for eligible economic development projects.

The grant, which does not require any matching funds from High Tide, would support the developer’s plan to build 40 new apartments ― half of which would be set aside for lower income tenants ― at 208 State St. That location, the former home of a Frontier Communications call center, was bought by High Tide in August for $825,000, property records show.

The street-level floor of the 51-year-old structure and its underground parking spaces have been leased to The Day newspaper, with staff expected to move into the building soon. The proposed apartments would be built above the existing office space.

High Tide Capital principal Dash Davidson could not immediately be reached for comment on Friday.

Felix Reyes, the city’s director of planning and economic development, said Friday that High Tide, in addition to the CIF grant, will likely pursue other state revenue streams, including through the state Department of Housing (DOH).

“Even though that State Street building is historic – it's more than 50 years old – it's not eligible for the kind of historic tax credits High Tide has used in redeveloping other properties,” Reyes said. “And those DOH funds do require a certain number of apartments to be set aside as affordable.”

High Tide in January finalized its purchase of The Day Publishing Co. headquarters at 47 Eugene O’Neill Drive for $1.875 million.

The state Bond Commission in October allotted $1.2 million to The Day Devco LLC, a subsidiary of High Tide Capital, to help refurbish the 117-year-old newspaper building. The state money will help pay for façade and window repairs, energy system upgrades and roof work ahead of the building’s proposed transformation into a residential and commercial complex, state documents show.

The city’s application for the Frontier building will be discussed the same week as another State Street apartment-building proposal comes before city officials. The Planning and Zoning Commission on Thursday will hold a public hearing on The Eastern Connecticut Housing Opportunities (ECHO) group’s plan to build a $30 million, 46-unit apartment complex at 66 Union St., the former location of the First Congregational Church.

The church’s steeple collapsed in January, requiring an emergency demolition of the structure.

“All those new apartments would be a help, but won’t put a dent in our housing need,” Passero said. “What we need are more of those 500-unit developments. But every little bit helps.”

High Tide, which specializes in the renovation of historic buildings, in June announced the completion of The Riverbank, a multi-million-dollar project that includes 32 mixed-income apartments, a rooftop deck and three retail locations at 137, 133 and 123 Bank St. Tox Brewery, an existing city business, expanded and reopened at 123 Bank St. earlier this month.

The firm in 2022 opened the Manwaring Building at 225 State St. as supplementary Connecticut College housing after investing millions in its historic rehabilitation.

In September, High Tide paid $1.75 million for the Citizens Bank building at 63 Eugene O’Neill Drive.

The council will meet at 7 p.m. Monday at City Hall to discuss the state grant application.

j.penney@theday.com