UTOPIA, THE
MOVIE STUDIO not a reality yet, nor does it look as if it will ever
happen; this does not stop on-going
development or developers elsewhere in the Southeastern part of
CT...and Foxwoods expands (but not the gambling part, we
assume). Norwich downtown redevelopment appears to place a high
value on historic features...and a transportation center. G&B; What
about decaying old mill? Ledyard zone change on Tribe land (but not the
reservation).
rejects two bids for their part of
Norwich Hospital site; hires new Town Manager (story
here about old Town Manager);
has an old factory oozing into
River, entertains discussion of a new
community within its border;
renewed with antique
details ("Rose City");
n
ewly
renovated mixed-use Wauregan
Hotel in renewed downtown
Norwich;
New boss takes helm at Groton Utilities; Director to
start work Monday at $165,000 position
DAY
By Katie Warchut
Published on 7/31/2008
Groton - The new director of Groton Utilities, Paul Yatcko, will begin
his new job on Monday, more than nine months after the resignation of
former director Glenn Wilson. Yatcko, who was appointed by the
City Council earlier this month, is from Vineland, N.J., where he was
the director of municipal electric utility for nearly seven
years. He has a bachelor of science degree in electrical
engineering from Newark College of Engineering and a master's in
business administration from Rutgers University. His new salary is
$165,000.
Vineland, a community of 40,000 near Atlantic City, has the only
municipally-owned electric-generating utility in New Jersey. It has
about twice as many customers as Groton Utilities.
City Mayor Dennis L. Popp said he was looking for a director with
public power experience who would understand the relationship the
utility company has with the city. The Vineland Municipal Electric
Utility gives a cash payment to the city, as does Groton Utilities,
Popp said.
”He understands working in that environment,” Popp said. Popp
said he also wanted someone familiar with purchasing electricity, as
the city will have to continue to be cautious in its purchasing as
prices go up.
Yatcko comes to Groton shortly after being let go by a new
administration in Vineland that promised to bring change. Mayor Robert
Romano let Yatcko and other top officials go, according to the Daily
Journal of Vineland. Yatcko was that city's highest-paid
employee, with an annual salary of $172,845. Romano eliminated Yatcko's
position entirely and transferred his responsibilities to the director
of the power plant, saving the city money.
The Daily Journal also reported Yatcko owed the city more than $5,000
in overused sick time, and his paychecks were docked to cover the
shortfall, leaving some councilmen to criticize his work attendance.
Popp, however, said Yatcko explained the situation to Groton officials.
Popp said Yatcko's sick, personal and vacation time that began accruing
on Jan. 1 was cut in half when he left, and he had already used much of
it, for the appropriate reasons. Popp said he talked to Vineland's
former mayor, Perry Barse, about it.
”There were no suprises, nothing people weren't open about,” Popp said.
Yatcko's phone number in New Jersey is no longer in service, and he did
not return an e-mail seeking comment. Groton city councilors
confirmed that the council was made aware of the Vineland situation
before they appointed Yatcko.
Councilor Hubert “Fritz” Poppe was the only councilor to oppose the
appointment, but Poppe did not publicly state why. He did not return
phone calls seeking comment.
”Politics can get ugly sometimes,” said Councilor David Hale. “What's
important is the experience he brings to the table in running a
municipal utility.”
Councilor Marian Galbraith, who was part of the selection committee,
said any concerns she had were “completely allayed” in her discussions
with Yatcko.
”He will be a fine fit for the city,” she said. “We need somebody at
the helm and I think he'll be fine.”
The city used Colorado-based Mycoff, Fry & Prouse LLC, who are
recruiters for the utility industries, in its nationwide search.
The firm interviewed six to seven candidates, and the selection
committee of Popp, city councilors and utility commissioners narrowed
that down to three before choosing Yatcko. By charter, Popp chooses the
utilities director with City Council approval.
Popp oversaw Groton Utilities during the vacancy, he said, though he
said he was not paid for the duties even though they fell outside his
mayoral job.
”Everybody helped out and we kept it all together,” he said. “Now we'll
have a captain of the ship and a leader to take us forward.”
Joint Venture Hints Of New Development In
The Region
Northland, Tarragon join
forces to
focus on multifamily housing
DAY
By Karin Crompton
Published on 4/1/2008
Northland Investment Corp., one of the finalists to develop the former
Norwich Hospital property, announced late Monday afternoon that it has
formed a $2 billion multifamily joint venture with Tarragon Corp., the
troubled developer that at one time juggled a number of major proposals
in the region.
The venture creates a partnership with the potential to spark
developments that would change the look of southeastern Connecticut.
Between them, the companies have proposed luxury resorts, golf courses,
and thousands of units of housing across the region.
For now, though, the joint venture focuses only on multifamily housing
— although Northland chairman Lawrence Gottesdiener hinted that the
companies “continue to work on other strategic investments together.”
The joint venture is not a merger or a buyout, and the companies remain
independent in other areas.
Their holdings locally include 1,000 apartment units in New London and
Groton: the Gull Harbor, Nutmeg Woods and Ocean Beach Apartments in New
London and Groton Towers in Groton.
In the joint venture, the privately held Northland would provide
capital and stability to Tarragon, a publicly-traded company that last
year experienced a cash crunch and saw its stock price plummet.
At one point, Tarragon's stock, which a few years ago traded in the
mid-$20 range, fell to 50 cents a share and the NASDAQ threatened to
delist the company for failing to file a quarterly report. Because
Monday's announcement came after the closing bell, it hasn't yet
affected Tarragon stock, which closed the day at $2.15 a share, up 15
cents.
Northland, in turn, increases its multifamily portfolio by 50 percent
and becomes one of the top 50 multifamily owners in the country,
according to the company. Northland's portfolio jumps to more than
21,000 units in a dozen states, including 5,000 in Connecticut.
The joint venture, called Northland Properties LLC, will also buy four
Tarragon properties for $166 million, including one in Manchester and
another in Westerly.
In December, the companies worked together on a $156 million deal that
saw Northland buy six multifamily properties in Florida and South
Carolina from Tarragon.
Monday's announcement seemed a natural outcome. It brought together
Tarragon, which spent much of 2007 selling off assets to pay debts, and
Northland, which swept in last year to buy properties from struggling
investors at a fraction of their original price.
“We are a contrarian investor,” Gottesdiener said in a phone interview
Monday. “We waited throughout the heady days of the last few years and
were very disciplined in those overheated markets, and we generally
attack and grow in recessions.
“Through this joint venture we've now bought a billion dollars in real
estate in the last 12 months. It's been a lot work, but it's a lot of
fun today.”
Gottesdiener said Tarragon has a “great apartment portfolio” that, when
merged with Northland's, creates cost savings and strategic
investments. The two companies' portfolios overlapped in a number of
states, particularly Connecticut, Tennessee, Florida and Texas, he
said, and the venture helps Northland increase its access to capital
and leapfrog into the top 50.
Gottesdiener said there is a lot less competition now that many
companies are pulling back.
“This provides us with a scale and platform that will really poise us
for continued growth,” he said. “We're not done here. This is just a
jumping-off.”
Northland also agreed to potentially loan Tarragon $50 million, which
would give Tarragon a chance to buy back some of its debt at a
discount, Gottesdiener said. The loan is backed by Tarragon's interest
in the joint venture, he said.
Northland will hold a 77.5 percent controlling interest in the venture,
Tarragon the remainder.
Company officials from Tarragon could not be reached to comment Monday.
In a press release issued by Tarragon on Monday, Chairman and CEO
William Friedman said the formation of the joint venture, along with
the property sales, is expected to reduce Tarragon's consolidated debt
by about $600 million.
A year ago, Tarragon officials were involved with a half-dozen towns in
the region in addition to the Mohegan Tribe.
The company proposed a $125 million development on Route 1 in
Stonington that was to include condominiums, a marina and retail;
planned a spa, golf course and more than 3,700 residential units on
three sites in Montville; showed interest in 40-plus acres of
undeveloped land near St. Bernard School; and was one of four finalists
to develop Preston's 419-acre portion of the former Norwich Hospital
property.
A development unit of Tarragon also partnered with Voloshin Capital to
win prime-developer status from the New London Redevelopment Agency for
a three-plus-acre parcel on the corner of Bank and Howard streets near
downtown.
But the partnership's failure to meet deadlines required by the
redevelopment agency and pending lawsuits involving Tarragon and
Voloshin led the agency to revoke the “prime developer” status in May.
The Stonington project is also dead, according to the town planner.
And one of the Montville projects, a 515-acre residential development
on the “Chesterfield site,” has also fallen by the wayside, according
to Marcia Vlaun, the Montville town planner. Vlaun said she couldn't
comment on any other potential plans and pointed out that Tarragon had
never filed applications for any of the proposals.
Vlaun did confirm that Tarragon still owns or holds options on land in
Montville, including the 700-acre area where the firm proposed a resort
tentatively named “Thames Landing East.”
Burst Pipe Causes Further Damage to
Wauregan
DAY
Published on 11/23/2007
Norwich - Just four days after a grease fire and a burst sprinkler pipe
displaced nine people from their apartments at the Wauregan Hotel,
another sprinkler malfunctioned early this morning causing further
damage.
Lisa Catan, who lives in a basement apartment at the newly renovated
building, said that at about 1:30 a.m. today, a sprinkler pipe broke,
forcing many of the people who had been previously displaced out of
their homes again.
Catan said the Red Cross was on the scene, calling their help
“wonderful.”
“I think I’m
going to build an ark,” she said with a laugh.
Grease Fire Leads To Water Damage At
Wauregan
DAY
By Claire Bessette
Published on 11/19/2007
A grease fire on the fourth floor of the newly renovated former
Wauregan Hotel in Norwich led to at least 12 apartments sustaining
water damage.
The fire started on an occupant’s stove. The resident tried to put it
out with water, which caused the flames to flare up, setting off the
building’s sprinkler system.
The fire was easily contained, but during the dousing, a pipe burst,
flooding the other apartments and parts of the main lobby on the ground
floor.
At 4 p.m., fire trucks were blocking parts of Main St. and Broadway,
causing rush-hour traffic to back up. Traffic on the streets is
restricted, but is still moving.
For more details, see Tuesday’s edition of The Day.
Market
Study Dissects Norwich's
Downtown; Rose City Renaissance officials to reach out to potential
businesses
DAY
By Claire Bessette
Published on 11/14/2007
Norwich — A newly released marketing study for downtown suggested the
city already has a growing market to attract customers to restaurants,
retail stores and service businesses in the urban and waterfront
districts.
Rose City Renaissance officials outlined the findings of a marketing
study done last spring by Greenberg Development Services of Charlotte,
N.C., to about 15 downtown residents, business representatives and city
officials Tuesday.
Among the surprises, Rose City Renaissance President Les King said, was
the finding that downtown Norwich has more young professional residents
than the state average, potentially giving the city a strong customer
base to attract new businesses.
The study broke down the existing population into descriptive
categories. Low-income blue-collar workers, called “micro-city blues,”
make up 35 percent of the population within three miles of downtown.
Middle-class traditional families, as “city centers” who tend to go to
movies, bowling alleys and similar entertainment venues, make up 30
percent of the population in that same area. These residents use
technology services, restaurants, upscale retail and travel services.
The marketing group, which toured downtown and conducted numerous
interviews in the spring, said the most difficult factor in the Norwich
market is the impact of the region's two gigantic casinos. Restaurants
and retail stores at the casinos are counted in regional marketing
studies used by businesses to determine whether to locate in an area.
But they cater to casino visitors rather than the local population.
King said those studies show southeastern Connecticut is oversaturated
with restaurants and retail stores because of the casinos. Rose City
Renaissance needs to persuade potential restaurant or retail developers
that there is an existing market need outside the casinos.
Greenberg gave Rose City Renaissance a lot of homework over the next
three years, the most difficult perhaps being to try to figure out the
impacts of the casinos on local markets. The study said very few casino
customers visit downtown Norwich. While thousands of casino workers
live in this area, population statistics don't count resident aliens
living here on temporary work visas.
Norwich also has attracted dozens of foreign college students coming
here for several months at a time to work at the casinos. This group
provides the city a glint of the college experience, as the students
don't have cars and prefer to socialize in the downtown urban setting,
the report said.
Greenberg asked Rose City Renaissance to contact 10 new potential
businesses “this year” in an effort to attract them to downtown Norwich
using the demographic statistics available. Another graphic in the
report showed that millions of dollars in purchases for everything from
furniture and computers to clothing and sporting goods are being made
outside the three-mile radius of downtown.
King said Rose City Renaissance needs to figure out what types of
businesses to try to recruit based on the statistics — chain stores or
restaurants, privately owned businesses, or first-time small business
owners. The agency also might target the growing ethnically diverse
population to attract businesses that would meet their needs.
King said the new downtown experience must be taken into account as
well. Better lighting is needed for the growing nighttime pedestrian
traffic. Trash pickup on Friday mornings could detract from the
Thursday night ambiance on Main Street sidewalks.
“It's all incremental,” Rose City Renaissance Executive Director
Richard Kramer said. “If you start solving the small problems, the rest
will start to work itself out.”
Chairman
Of Norwich's Hospital Advisory
Committee Resigns
DAY
By Claire Bessette
Published on 10/30/2007
Norwich — In a strange sequence of events Monday, the chairman of the
advisory committee formed to help the city review proposals for the
former Norwich Hospital property issued a brief recommendation that the
council hire an expert consultant, possibly start the process all over
again and then promptly handed in his resignation.
Anthony Alessi told the council that he has been involved in reviewing
and recommending future uses for the former Norwich Hospital property
for the past six years dating back to when the state tried marketing
the properties. He, former Alderman Todd Postler and departing Alderman
John Paul Mereen were named to the advisory panel last summer as the
city was about to advertise for proposals.
Alessi told the council Monday that his group's original recommendation
back in summer stands — that the city hire an expert consultant to
study the property, meet with neighbors and propose specific uses
before the city seek development offers. Then, he said, the city could
market the property for specifically those uses. He speculated that the
city would get more submissions in that scenario.
“We want out of the process,” Alessi said.
But Postler and Mereen did not resign, the two said after the meeting.
Northland Investment Corp. — one of two finalists for the 419-acre
Preston portion of the hospital property — submitted a proposal called
“Norwich Green,” a $250 million development that includes four
neighborhoods, a central green, and 50,000 square feet of “destination
retail.”
Bourbon Street Norwich LLC is proposing a $267.9 million development
that seeks to recreate many elements of New Orleans' famous
entertainment district. The proposal includes 125,000 square feet of
mixed-use retail and entertainment space as well as a residential
component that is not yet defined.
The proposal includes an indoor water park with surfing pools that
would provide year-round surfing and the capability to host national or
regional surfing competitions; hotels; a movie studio; and an
exotic-car club with helipad.
Mayor Benjamin Lathrop, noting that representatives from one of the
prospective developers were in the audience, said the council would
take Alessi's recommendation “under advisement,” but would review the
two proposals in the near future. Lathrop did not rule out hiring a
consultant either to review these proposals or to start the process
over again.
“It's not as if we won't be talking to you in the near future,” Lathrop
said, directing his comments to members of the Bourbon Street Norwich
LLC group.
After the council discussion, Lane Brunner, president of development
for Bourbon Street Norwich LLC, said he was not concerned that the two
proposals would be discarded. He said he and two other representatives
from the development group came to the meeting to show the council that
they are “very much interested” in the property.
Lathrop said Norwich has time to make those decisions, and it would
fall to the new City Council to take on the topic after the election.
Two
Developers Interested in Former
Hospital Property in Norwich
DAY
By Claire Bessette
Published on 10/15/2007
Norwich -- Two developers submitted proposals by today's 4 o'clock
deadline for the 61 acres of the Norwich State Hospital property that
lies within the city.
Bourbon Street Norwich, a $267.9 million proposal, would be a mixed-use
project that would include retail, industrial, commercial and
entertainment components, possibly involving a film studio. The
developer is John Hollis.
Norwich Green is the name of a proposal from Northland Development
Corp., which is one of two developers proposing a major project on the
Preston portion of the hospital property.
The Norwich proposal has a "conceptual budget" of $250 million and is
mostly residential. It would include 700 year-round and seasonal
housing units in four clusters around a green, and 50,000 square feet
of "destination retail and recreational resources."
18-Story Hotel Proposed For Norwich
Waterfront; Marina Development Is 'Right Project At The Right
Time'
DAY
By Claire Bessette
Published on 9/7/2007
Norwich — After two decades of trying to lure a full-service hotel and
banquet facility to the Marina At American Wharf, Ronald Aliano
believes his dream finally could come true.
Aliano and attorney Theodore Phillips and members of a recently formed
development team announced plans for a $40 million to $45 million
full-service, 18-story, 240-room hotel on property encompassing part of
the marina and the adjacent Marina Towers building.
The announcement was the highlight of a nearly two-hour press
conference hosted by Mayor Benjamin Lathrop Thursday to give updates on
major economic development projects under way and new projects in the
city.
Aliano has formed a partnership with Joseph Pacitti, president of PRA
Development & Management Corp. on the project. PRA is the developer
of the Hampton Inn under construction on Route 82 at the Interstate 395
Exit 80 interchange.
The group has reached a tentative agreement with the Hilton hotel
chain, Aliano said, but no contracts have been signed.
“In all probability, it will be a Hilton,” Aliano said. “The Hilton
people have demonstrated their interest. They've been up. They like the
site.”
Phillips said the developers plan to apply for permits immediately and
hope to start construction by the end of next year.
Lathrop told the crowded City Council Chambers Thursday that Aliano has
had a vision for the city's waterfront that dates back 20 years when
the marina was built. The new proposal would “help make our harbor
truly a world-class venue,” the mayor said.
“In the past 20 years, I have been approached by many, many
individuals,” Aliano said. “I have been very, very impressed by Joe and
his team.”
Aliano smiled briefly, admitting he has been “a sucker like everyone
else” at times when it came to mega marina development proposals. About
12 years ago, Aliano had hoped to reach a partnership with the
Mashantucket Pequot Tribal Nation on a major waterfront development
that would have virtually encircled the harbor. Last year Aliano was
working on plans with Utopia Studios' developer Joseph Gentile on a
project that called for two 37-story towers for hotel and banquet
facilities.
Aliano also admitted to several “false starts” as developers proposed
projects he felt were not appropriate for the city's prime waterfront.
This time, he said, “it's the right project at the right time.”
•••Aliano and Vijnan Chandra, vice president of PRA's hotel division,
said marketing studies show the need for a full-service hotel with
banquet and convention-hall facilities. Although the region's two
casinos remain the major attraction for any hotel including this one,
Aliano said there are groups that will not hold conventions at casinos
— although their participants may visit the casinos after hours.
Chandra said southeastern Connecticut now has hotel services for the
“extreme ends” of the demand market, with the casinos meeting the
demand for events attracting large numbers of participants with
high-end services. Smaller hotels serve local events and smaller
crowds. But the region doesn't have a top-quality facility for 500
participants at reasonable rates.
The developers also plan to offer packages, shuttles and local tours of
the region and possibly boat tours down the Thames River.
•••
Plans are very preliminary for the hotel itself, members of the
development team said after the press conference. As did others who
were called to the podium Thursday, the hotel developers had rushed to
meet Lathrop's scheduled press conference.
The hotel would be built at the West Main Street entrance to the
marina. Aliano said the marina operation would continue, with a
possible expansion of 60 to 65 boat slips.
Details of the design remain sketchy. Renderings unveiled Thursday
showed a modern-style tower, with a curved façade overlooking
Norwich Harbor. That design likely would change, Aliano said, as would
sketched outlines of a parking facility.
Phillips said the project team could not reveal details about parking
arrangements yet. City Council candidate Christopher Coutu made parking
the first question posed to the developers when Lathrop called for
questions from the audience.
Aliano has been a crusader in recent years against unsightly parking
garages at the city's waterfront. He strongly objected to the new Water
Street garage built to accompany the $19 million Mercantile Exchange
office complex.
As a member of the Norwich Community Development Corp., Aliano led the
opposition to several designs of the proposed $20 million regional
transportation center across West Main Street from the marina. Last
summer, NCDC finally reached an agreement on a modified design.
“I do not want another parking structure on the waterfront,” Aliano
responded to Coutu. “Whatever is done would be tastefully done.”
Norwich Ready To Develop Hospital
Site; Council approves language of city's requests for proposals
DAY
By Claire Bessette
Published on 8/21/2007
Norwich — The city will begin advertising for developers for its
61-acre portion of the former Norwich Hospital property as early as
Wednesday after the City Council voted unanimously Monday to approve a
15-page request for proposals on the property.
Mayor Benjamin Lathrop said he will meet Wednesday with Acting City
Manager Joseph Ruffo to iron out final details before the document is
mailed to potential developers and advertised in various publications.
According to a schedule listed in the document, proposals would be due
by Oct. 15, with presentations to the public by respondents scheduled
for December. The city would select preferred candidates in January and
negotiate a development agreement in February. Formal approval by the
city is expected next March.
“It's been a long time coming,” Alderman John Newson said.
Lathrop agreed, but praised city attorneys and the City Council for
their careful review of the proposed document. After the meeting,
Lathrop said the document protects the city of Norwich throughout the
process, requiring firms to commit to an environmental cleanup of the
site and to submit qualifications for developing the property,
conceptual designs and financial documents to prove the they have the
ability to perform the work.
“The site has the potential to serve as the gateway to the city of
Norwich for vehicular traffic entering the city from the south along
Route 12,” the proposal request stated. “While the city is mindful that
the larger parcel of former Norwich State Hospital property lying
within the town of Preston is subject to development, the city will
require that the site be developed in a thoughtful and attractive
manner to benefit the city.”
Preston officials earlier this summer selected four finalists for their
419-acre portion of the Norwich Hospital property.
The developers — Northland Investment Corp., Tarragon Corp.,
Starwood/JHM Preston Venture and Preston Gateway Partners — have until
Sept. 28 to submit their responses to Phase II of Preston's proposal
process.
Lathrop said he plans to send the Norwich request for proposals to the
four finalists in Preston, as well as other developers who have
expressed interest in the Norwich piece.
During a brief discussion on the council floor, aldermen gave
assurances that there will be plenty of public input on the proposals
and the selection process.
“It's very important that the community has input,” Alderwoman
Jacqueline Caron said. “... It really doesn't work unless the community
is happy with what's coming to Norwich.”
Why include these stories about
Utopia here? Is there a reason why both parts of the hospital
site should be developed by the same developer?
Gentile's
Pledge To Library Is A No-show; Otis Deadline Passes With No
$500,000 From Utopia Studios
DAY
By Claire Bessette
Published on 8/18/2007
Norwich — Otis Library received no check from Utopia Studios developer
Joseph Gentile Friday, the final deadline imposed by the library board
of trustees on Gentile's pledge of
$500,000 to name the children's library after his daughter.
The library waited more than a year for the pledge — a promise made
with much fanfare at the podium of the City Council Chambers — to come
to fruition. Last month, the board agreed to impose a final deadline in
the hopes of either speeding things along or preparing for a
contingency plan to replace the $100,000 per year for five years
anticipated from Joseph and Cathy Moriarty Gentile.
“We didn't expect to have any word, really,” said Barbara Poirier,
president of the Otis board of trustees Friday afternoon. “It's been a
difficult year.”
Poirier said the library board will meet Monday to receive an update on
the situation.
Gentile did not return phone calls Friday. Late Friday, Utopia
officials released a three-page letter they said was faxed Friday to
Otis Executive Director Robert Farwell. The letter from Utopia Studios
Development Corp. attorney Christopher Thompson said the library board
has failed to meet conditions that Utopia Studios Development
stipulated in its original agreement — that the project use all-union
labor and that Utopia officials be allowed to audit the library's
budget of expenditures for the project and the allocation of all funds
raised to ensure that union labor was used and that all donations were
“appropriately allocated.”
The letter further stated that the board of trustees was to keep all
terms of the agreement confidential and accused some board members of
“being determined to derail this generous offer with their own agenda.”
Farwell said late Friday that he had not seen the letter. He said
Gentile had not raised the issue of union labor during discussions
until well after the project was built, and he did not recall any
agreement to turn over all financial documents to Utopia.
Farwell said he did not know what Thompson meant by references to
members of the trustees. He said he would bring the letter to the board
meeting on Monday.
Farwell found Thompson's allegation against the board of trustees
“incomprehensible” and rejected any claims of a hidden agenda.
Poirier declined to comment on the allegations in the letter but echoed
Farwell's statement that no mention of union labor was made until after
construction was completed, and that came in a “convoluted” draft
agreement the board received. The board sent back a simplified proposed
agreement similar to other donation agreements and never heard back
from Gentile.
In July, the board decided to impose a formal deadline for the pledge.
Farwell said library officials had received no communication from
Gentile since the deadline was imposed.
The library executive board will meet Aug. 28 to decide on a new fund
drive plan to replace the money, used to help fund the $10.5 million
library expansion, Poirier said.
Otis officials could approach current donors to ask for help with the
shortfall, seek new donors — perhaps from among new developers who have
come to the city and region — or launch a new public campaign to seek
smaller donations.
“At this point, that's the only thing we can do,” Farwell said of the
options.
The city itself cannot be a source, Mayor Benjamin Lathrop said Friday.
The city already has contributed $800,000 to the project, the maximum
allowed in bond money without a referendum. The city also offered
$525,000 in collateral to back the library's $2 million loan from Dime
Bank for the project. But Lathrop said the city could not turn that
money into a grant for the library.
The loan allowed construction on the $10.5 million library expansion to
move forward immediately and was based on the pledges from major donors
— including Gentile's $500,000 — expected to come in over time.
Lathrop said he talked to library officials Thursday in anticipation
that Friday's deadline would go unanswered. Lathrop has been critical
in the past that the pledge was never put in writing. On Friday, he
turned that criticism toward Gentile for leaving the library short of
key funding at the end of the capital campaign.
“It's unfortunate,” Lathrop said. “The library relied on that money,
and how many times did he reassure them through press releases and
phone calls? It was all rhetoric.”
The Gentiles made their pledge in front of a packed house June 29,
2006, in the City Council Chambers. The pledge of $100,000 per year for
five years would secure naming rights to the new children's library.
Catherine Patricia Gentile, then 5, sat on the step at the base of the
podium playing and giggling. At one point, someone handed her flowers.
The festive atmosphere came at a time when Gentile was head of the
proposed $1.6 billion Utopia Studios development at the former Norwich
Hospital grounds in Preston. Months later, as the pledge became due,
his relationship with Preston soured as financial securities and solid
plans for that project failed to materialize.
Otis officials started to doubt his pledge would come as well. Verbal
deadlines came and went in December, January, February and March. In
April, Gentile issued a press release saying his Utopia Development
Corp. “remains committed to its previous offer to support the Otis
Library.” The press release said his firm's attorneys looked forward to
meeting with Otis officials to “finalize the terms” of the verbal
agreement.
Gentile's pledge is the only large contribution that remains
outstanding in Otis' $2.4 million capital campaign, Farwell said. None
of the other pledges were made with such complicated, last-minute
demands.
“He made a very public commitment to the library, and said it was not
contingent on the success or the long-term commitment to the Utopia
Project,” Farwell said. “... We've been very patient ... and it's been
over a year now, so we need to see something beyond the promises of
good intentions.”
Utopia:
Pledge in Peril
By MICHAEL GANNON
Norwich Bulletin
August 18, 2007
NORWICH -- The Utopia Studios Development Corp. has released a letter
saying Otis Library has endangered a pledge of $500,000 for its
building fund.
A copy of a letter to Otis Library Director Robert Farwell was faxed to
the Bulletin Friday night. In the letter, dated Friday, Utopia General
Counsel Christopher Thompson wrote the library board did not employ
union contractors for repair work as stipulated in a May 14 agreement
and did not abide by a confidentiality agreement connected with the
donation.
"It has become apparent to the USDC that there are individuals within
your board of trustees who are determined to derail this generous offer
with their own agenda, which is contrary to the best interest of the
library project," Thompson wrote.
The money was pledged in June 2006 by Utopia CEO Joseph Gentile and his
wife, Cathy Moriarty Gentile. A condition of the grant was the
children's section of the building be named in honor of their daughter,
Catherine P. Gentile.
At the time, Utopia was the preferred developer for the former Norwich
Hospital property in Preston, where it was proposing to build a $1.6
billion entertainment complex. Preston ended its association with
Utopia in November, after the Long Island-based company failed to meet
major criteria of the agreement.
Friday's letter states if the library board wishes the corporation to
follow through with the donation, it must execute and return the
original proposal to Utopia officials; provide three weekdays for
Utopia auditors to verify the project's expenditures and financial
specifics; and "affirm the willingness of each individual board member
to maintain the confidentiality of the terms" of the agreement, all
within 30 days.
Farwell said Friday night he had not seen the letter yet.
"Certainly we have been very patient in working with Utopia," he said.
"Discussions have gone on for over a year and there have been some long
periods of silence."
He said he would have a better sense of the studio's position after
reading the letter. But in Preston, First Selectman Robert Congdon said
he was not surprised.
"I don't think this comes as a surprise to anyone in southeastern
Connecticut," he said. "Utopia has failed to meet its obligations with
the state hospital and other land use issues... It's certainly
disappointing because the Otis Library had a commitment. They've had to
scramble to replace those funds. I think they've replaced some, but not
all of it."
Gentile
Says He's Committed to Otis
Library Pledge
DAY
By Claire Bessette
Published on 3/1/2007
Norwich - Joseph Gentile issued an assurance today that he remains
committed to his $500,000 pledge to Otis Library to name the children’s
library for his daughter, saying only the timing of the gift has been
altered.
Gentile and his wife, Cathy Moriarty Gentile, last summer pledged
$500,000 to the $10.5 million Otis Library expansion campaign,
originally saying the first $100,000 installment would come at the end
of the year. Library officials then were told to expect the donation by
the end of February.
The agreement is not in writing.
“Our attorneys are looking forward to meeting with the appropriate
members of the Otis Library’s Executive Board in order to finalize the
terms of the verbal understanding previously discussed which
unfortunately, to date, has yet to be memorialized in an agreement,”
Joe Gentile said in a written press release this afternoon.
Library Executive Director Robert Farwell said he had not heard from
the Gentiles and did not receive the press release. Farwell plans to
schedule a meeting of the executive board within the next two weeks.
“I’m very pleased that Mr. Gentile has made this statement, and the
executive committee will be interested in talking to him and his
representatives and consumating this agreement in documentary form,”
Farwell said.
Former
Hospital Site Still Attracting
Developers; Konover Officials Meet in Preston And Norwich
By M. Matthew Clark , Special To The Day
Published on 3/9/2007
Konover Development Corp. came courting Preston's Norwich Hospital
Advisory Committee Thursday, its second pitch of the day regarding the
former state hospital property. Prior to the presentation in
Preston, two representatives from Konover and the company's lobbyist
met for more than an hour with a group including Norwich Mayor Benjamin
Lathrop and Norwich Alderman John Paul Mereen.
“We're here simply to introduce ourselves to the committee,” R. Michael
Goman, president and CEO of Konover, told the Preston group.
Konover is the second developer to discuss the possibility of
developing the entire 480-acre tract of land rather than just the 419
acres in Preston. Northland Investment Corp. met with both the Preston
committee and Lathrop in January to discuss the development of the
entire property as well.
“We're interested in seeing if we can do something in conjunction with
Preston,” Mereen said earlier in the day. “If that doesn't pan out, we
have to make pretty darn sure (the developments) are complementary.”
Goman told Preston officials he and his associates had made a
preliminary review of the land and called the property “a very
interactive site, clearly a site that would be best-suited to a
mixed-use plan” of development, but provided no further details.
One of many developers to come before the advisory committee since the
town's deal with Utopia Studios Ltd. died in November, Konover
specializes in commercial retail development. Most of the projects
listed on the group's Web site are supermarkets and retail plazas. The
firm's clients include national retailers such as Dick's Sporting
Goods, Circuit City and Wal-Mart, among others.
Last month the Town of Groton's Planning Commission denied an
application by Konover to build a 200,000-square-foot Wal-Mart
SuperCenter on Route 184; Konover has since filed a lawsuit in New
London Superior Court appealing that decision, claiming the commission
is requiring more than the standard regulations.
Preston First Selectman Robert Congdon said the decision in Groton
would have no bearing on the committee's opinion of Konover and said he
was pleased with Thursday's meeting.
“The three people that were here tonight were very professional,
experienced and knowledgeable,” Congdon said.
Goman called the earlier meeting with Norwich officials “a good
conversation.” In addition to Lathrop and Mereen, the Konover group met
with Director of Planning and Development Peter Davis.
All three Norwich officials said they were impressed with Konover's
credentials. Davis said he was pleased that company Vice President
Dusty McMahan is involved in the project. McMahan had worked to develop
a commercial retail center in the Occum section of Norwich several
years ago. The project died, however, when the state Department of
Transportation refused to shift the location of its highway maintenance
facility off Interstate 395 Exit 83.
“It's good to see that he's a part of this group,” Davis said.
Lathrop said he hopes to meet with Congdon next week to arrange a
meeting between the Norwich committee and the Preston committee. Soon
afterward, Lathrop said, he hopes the two towns will be ready to put
out a joint request for proposals for developers who might be
interested in the entire property.
Lathrop then would turn over the hospital development process to the
Norwich committee, comprised of Mereen, former Alderman Todd Postler
and Norwich physician Anthony Alessi.
Norwich, Preston Might
Seek Joint Proposals for Hospital Property
DAY
By Claire Bessette
Published on 2/12/2007
Norwich and Preston are considering putting out a joint request for
proposals that would offer the former Norwich Hospital properties in
both municipalities to interested developers.
Norwich Mayor Benjamin Lathrop and Preston First Selectman Robert
Congdon met this morning to discuss how development of the former
hospital property in both towns could be complementary. Both
municipalities have a three-year agreement with the state to market the
property for development.
Lathrop said the joint RFP would allow flexibility if developers come
forward interested only in the 419 acres in Preston or the 60 acres in
Norwich, but also would allow the two towns to hear proposals
encompassing the entire campus.
The next step will be to call a joint meeting between the Preston
Norwich Hospital Advisory Committee and a Norwich Hospital Liaison
Committee formed by the Norwich City Council last year.
Preston in November terminated its development agreement with Long
Island-based Utopia Studios for a proposed $1.6 billion entertainment
center at the Preston hospital property. Congdon said today that town
officials hope to complete mediation talks with Utopia within a month
and put out a request for new proposals in early March.
The timing fits well with Norwich's plans, Lathrop said. The city
received state approval of its three-year purchase option for the 61
acres in Norwich only two weeks ago.
"I want to move forward with this as soon as possible," Lathrop said,
"as soon as we can do an RFP."
Norwich
Portion Of Hospital Property
Now On The Market; State gives city three years to woo developers
DAY
By Claire Bessette
Published on 2/6/2007
Norwich — One year after the Norwich City Council approved a resolution
accepting the state's terms for taking control of the city's portion of
the Norwich Hospital property, the state has agreed to the same terms.
Norwich officials on Friday received a copy of the agreement signed by
Attorney General Richard Blumenthal that gives the city a three-year
option to market the 61 acres of former Norwich Hospital property that
lie within city boundaries. The agreement was signed by City Manager
Robert Zarnetske after the City Council approved the agreement on Feb.
6, 2006.
The signed contract now allows Norwich to start marketing the property
for development. Prior to receiving state approval, city leaders had
told interested developers they could not act on any proposals until
the city controlled the property.
“Now the clock starts ticking,” Mayor Benjamin Lathrop said Monday.
Lathrop hopes to meet with Preston First Selectman Robert Congdon this
week to discuss how the two municipalities might work together to
ensure complementary development on the former hospital property.
Norwich last year established a liaison committee to work with a
subcommittee of the Preston Norwich Hospital Advisory Committee.
Lathrop said those two groups may start meeting again.
“It makes a lot of sense to try to do something that complements each
other at the very least,” Congdon said.
The Norwich committee consists of Anthony Alessi, Alderman John Paul
Mereen and former Alderman Todd Postler.
Preston has been hearing presentations from interested developers for
the 419 acres of former Norwich Hospital property in that town. In
November, the town terminated its agreement with Utopia Studios, the
Long Island developer that had proposed a $1.6 billion entertainment
resort. Utopia objected to the termination, and the town and Utopia are
waiting for the mediation process to begin.
Utopia also had expressed interest in the Norwich portion of the
hospital property. Last September, the Norwich City Council approved a
resolution to begin negotiations with Utopia, using the law firm Murtha
Cullina, LLC. But Utopia officials never responded to the city's letter
directing the developer to contact the attorneys to begin negotiations.
“Certainly we would like to collaborate with our neighbors in Preston,”
Lathrop said, “but if it's going to be tied up (legally), as I expect
it will be with Utopia, we might go on with our own development
proposals.”
Lathrop said when it comes time for Norwich to start meeting with
developers, he would recommend that they give presentations to the full
City Council during informational sessions. In Preston, developers have
given presentations to the Norwich Hospital Advisory Committee in
sessions that have been open to the public.
Peter Davis, director of planning and development for Norwich, created
a map of potential development sites for the city's portion of hospital
property. Davis estimated about 40 acres would be suitable for
development, given steep slopes and wetlands on some of the property
Norwich Transportation Center Design Wins NCDC Approval; $20 million
project still needs approval for environmental permit
DAY
By Claire Bessette
Published on 2/1/2007
Norwich — The Norwich Community Development Corp. board unanimously
endorsed a new design for the proposed transportation center Wednesday,
saying it would provide an attractive gateway to the city's waterfront
and downtown.
Following the vote, officials overseeing the $20 million project said
they hope a public hearing in March on the project's environmental
permit application will be the last hurdle to clear before construction
can start.
The design has been the most controversial aspect of the long-delayed
project. Expected cost overruns and structural requirements forced the
board to ditch a previously endorsed plan. When architects returned to
the board in December with alternatives, the designs were flatly
rejected.
Revised drawings presented to the board Wednesday by project architects
Mickey Krockmalnic and Bruce Hultgren accentuated brick features and
toned down concrete pillars. The NCDC design committee recommended more
cosmetic changes that Krockmalnic said would be easy to incorporate
without affecting the project budget.
NCDC board member Ronald Aliano, owner of the Marina at American Wharf
directly across West Main Street from the proposed transportation
center, had been the strongest critic of previous designs. Aliano made
the motion Wednesday to approve the latest architectural renderings. He
said his past criticism was worth the effort, and Krockmalnic thanked
him for his persistence in demanding an aesthetically pleasing design.
“I think it's time we start contributing to the community in terms of
aesthetics,” Aliano said after the meeting. “This will be a draw to the
community.”
NCDC President David DiBattista said he hopes there is enough money in
the project budget to upgrade fencing and lighting at the two West Main
Street bridges near the proposed transportation center. The bridges now
have modern street lights and chain-link and wire-mesh fencing.
The NCDC had hoped to present the transportation center design for City
Council approval Monday, but has delayed that presentation until March
5 to incorporate the minor changes recommended by the committee and to
bring samples of some of the materials to be used in the façade.
The transportation center will become the main terminal for Southeast
Area Transit commuter buses and will have a 220-space parking garage.
In the future, the NCDC hopes to add ferry service tied to the large
vessel dock at the marina and possible passenger train service. The
site is near freight-train tracks.
The timeline for construction is critical. Because the project has been
in the works since 1994 and hasn't yet progressed past the design
stage, the agency could lose $2.65 million in longstanding federal
grants if construction doesn't start before Sept. 30. The money is
reserved for construction.
Construction cannot begin until the project receives environmental
permits. A draft environmental study has been completed. A public
hearing is scheduled for March 26 at Norwich City Hall. A 45-day public
comment period on the report will begin Feb. 20.
Copies of the report will be available for public review at the city
clerk's office, Otis Library and at the NCDC office at 75 Main St.
Now
It's Norwich's Turn To Cut A
Deal; After Utopia, city soon will get chance to market part of
hospital
property
DAY
By Claire Bessette
Published on 11/28/2006
Norwich — City officials may soon be able to market the 61 acres of the
former Norwich Hospital property located in the city.
A state legislative committee has approved Norwich's three-year
purchase option for the state-owned land. The state has a similar
agreement with Preston, where Utopia Studios had planned a $1.6 billion
entertainment complex on 419 acres.
Last week, Preston's selectmen voted to terminate a development
agreement with Utopia. The Finance, Revenue and Bonding Committee
voted unanimously Monday to approve the option with Norwich.
“It's exactly the same agreement between the state and the city (as the
one between the state and Preston),” said state Sen. Andrea Stillman,
D-Waterford, a member of the committee. The proposed option has
been delivered to the legislature's Government Administration and
Elections Committee, which must approve it.
The proposal would then proceed to the office of Attorney General
Richard Blumenthal for his approval.
Mayor Benjamin Lathrop, City Manager Robert Zarnetske and city attorney
Karl-Erik Sternlof testified before the finance committee Monday,
expressing the city's interest in marketing the Norwich portion of the
former hospital property. Lathrop speculated that the committee
had waited to see what happened with Utopia Studio's agreement with
Preston before acting on Norwich's option. The City Council had
approved the option agreement back in February, and city officials had
been awaiting state approval before marketing the property.
The city has agreed to take responsibility for any environmental
cleanup on the property, which is expected to cost far less than the
$39 million it's expected to cost to clean up the Preston portion.
Lathrop said that once the city receives the option, he would recommend
that it immediately start marketing the site, which at one time was a
residential neighborhood for doctors who worked at the hospital. The
homes were abandoned when the hospital closed in 1994, and the yards
are now overgrown with trees and weeds. Some of the houses have been
vandalized.
Lathrop said he believes the houses are structurally sound and that the
subdivision could be revived. As for the main piece of hospital
property, he cited portions of the city zoning regulations that govern
the “planned development design district” where the hospital is located.
“It is the intent of these regulations to promote uses within the
district that encourage balanced economic development,” the regulations
say.
The list of permitted uses includes marinas, docks, yacht clubs,
boating clubs, open space or parks, government offices, health clubs
and technology research and industries, computer or computer software
businesses, health-care technology research facilities or hotels.
Lathrop said he is excited about the possibility of attracting
biomedical facilities to the property.
Joseph Gentile, chief executive officer of Utopia Studios Development
Corp. — an entity separate from Utopia Studios, which had proposed the
Preston project — had requested the city's portion of the hospital
property as part of a proposed $500 million redevelopment in Norwich.
Gentile proposed using the property for dormitory housing for
performing arts students, employee housing and parking.
City officials have had no formal contact with Gentile since last
week's vote in Preston. However, Gentile told Ronald Aliano, owner of
the Marina at American Wharf and a potential partner in the Norwich
project, that he was still interested in pursuing the Norwich project.
Preston's
Decision To Pull Plug Stuns
Norwich Officials
DAY
By Claire Bessette
Published on 11/23/2006
Norwich — City officials said they were shocked by Wednesday's
unanimous vote in Preston to terminate the agreement with Utopia
Studios, and feared that it would jeopardize the Long Island
developer's interest in a $500 million downtown Norwich revitalization
project.
“I'm very surprised, speechless,” said Ronald Aliano, the Norwich
businessman who had been working on a partnership proposal with
Gentile. “After so much work on both sides of the aisle, to come to
such an abrupt ending escapes realism.”
Aliano, owner of the Marina at American Wharf, said he spoke to Gentile
late Wednesday, and that the Long Island developer still expressed
“great hope” that the project in Preston could go forward.
Regardless of that situation, Aliano said, Gentile told him he would
continue pursuing the Norwich development.
“I'm very encouraged,” Aliano said.
Gentile issued a written statement to the media following Preston's
vote. The statement did not address the Norwich development, and Utopia
spokesman Thomas C. Downie said Gentile would not issue any further
statements late Wednesday. The $500 million proposal by Gentile's
Utopia Studios Development Corp. calls for converting the marina
property into a hotel and luxury condominium complex, with twin
37-story towers, an entertainment complex on Hollyhock Island to the
north and luxury housing surrounding the harbor.
Aliano has been attempting to find a partner developer for the marina
property for several years to bring a hotel, full-service banquet
facility and perhaps a culinary school to the waterfront. Norwich
Mayor Benjamin Lathrop said he too was stunned by the Preston decision.
He had expected the Preston group to find Utopia in default or to grant
an extension and continue discussions.
But the mayor deferred to Preston's research and expertise.
“They didn't meet all the deadlines,” Lathrop said. “I'm surprised,
totally. Astonished and dazed. Apparently, it couldn't meet the
requirement.”
A much smaller portion of the Norwich Hospital property is in the city
of Norwich. Gentile also had wanted that piece to be part of the Utopia
development. Norwich officials never had committed to turning
over the property to Gentile. The City Council voted in October to
start formal negotiations with Gentile on the downtown and waterfront
proposal, but with the Preston deadline looming, talks never got under
way.
Lathrop said even if the Utopia development is dead in Preston, he
would not expect the city to have trouble marketing its portion of the
hospital property. Unlike Preston, Norwich doesn't yet have a
purchase option with the state for the land. But Lathrop said the city
has had interest in the property by prospective developers.
Lathrop also was concerned that the termination would cause Gentile to
back out of his pledge to donate $500,000 over the next five years to
the Otis Library's $10.5 million expansion project.
The first annual installment of $100,000 is due in December. Otis
Library Executive Director Robert Farwell said he would call a meeting
of the library Board of Trustees after Thanksgiving weekend to discuss
the issue and to contact Gentile.
“I'm sure the board will meet and consider our options,” Farwell said.
“Certainly we would like to hear directly from Mr. Gentile.”
Farwell said he hopes Gentile and his actress wife, Cathy
Moriarty-Gentile, still will want to honor their pledge and have the
library name the children's library after their 5-year-old daughter,
Catherine Patricia Gentile. Farwell said if the Gentiles cancel
their pledge, the board would have to consider how to replace that
money in the capital campaign.
“We're certainly looking forward to naming a room after their
daughter,” Farwell said.
Lawsuits
Against Gentile Raise Questions; Blumenthal: Allegations against
Utopia Studios chief warrant investigation
DAY
By Paul Choiniere
Published on 11/1/2006
Preston — State Attorney General Richard Blumenthal said Tuesday that
allegations raised in a series of New York lawsuits against would-be
Utopia developer Joseph Gentile need investigating before Utopia takes
over the former Norwich Hospital property.
Meanwhile, House Speaker James Amann, D-Milford, said if the claims of
fraud raised by Gentile's partners in New York are as serious as
alleged, he cannot imagine Utopia Studios Ltd. getting the necessary
financing for the $1.6 billion project. The Day reported Tuesday
that Gentile and his Gallery Development Group
face three lawsuits in connection with a Manhattan condominium
development project, The Gallery at Chelsea. Minority partners accuse
the development group directed by Gentile and his partner, Stanley
Perelman, with fraud and misuse of construction funds.
Gentile's group has also sued minority partners, laying the blame for
the project's failure with them. Begun in late 2003, the project
stalled by the end of 2004, with only a foundation built and later
filled in, and at least $3 million spent.
Amann has been a major backer of Utopia because of the thousands of
construction and permanent jobs that could be created by the project
with its hotels, theme parks and movie studios. He said it appears the
town is adequately protected by the development agreement should the
Utopia project fail. Both officials said the lawsuits may be
simply a heated business
dispute, in which case, Amann said, he would expect Utopia to go
forward.
Blumenthal, however, said the allegations are serious and that answers
are needed.
“My office is prepared to work with Preston and state agencies to
investigate these allegations as appropriate,” Blumenthal said. “They
may be no more than claims made in a civil lawsuit, which sometimes are
exaggerated and sometimes are proved.”
Before any transfer of the state property to Preston, and then to
Utopia, a process that requires the developer to meet certain
requirements, including those of the state Property Review Board, will
allow for questions and documentation, Blumenthal said. Town
officials, meanwhile, said they were unaware of Gentile's legal
entanglements when they forwarded to voters a development agreement
that was approved in a May 23 referendum.
That surprised Amann, who said he would have expected that the town and
its attorneys would have thoroughly investigated everything about
Gentile's development record.
•••••
Town officials said Gentile has shared little with them about his prior
development projects, one reason they crafted a demanding development
agreement for the former hospital property.
“This would have been nice to know of before we voted on it,” said
Jerry Grabarek, a selectman and a member of the Norwich Hospital
Advisory Committee that reached the agreement with Gentile and Utopia
Studios Ltd.
The advisory committee sent the agreement to the town's voters on a 6-5
vote, with Grabarek among those voting no.
“People were blinded by the green,” said Grabarek of the referendum
vote to approve the project, which would result in a dramatic increase
in the town's property-tax base.
Committee members said they did not reveal Gentile's legal and
development problems at public informational meetings leading up to the
vote because they did not know about them. Resident Keleigh
Baretincic said they should have.
“I think they should have been investigated a bit deeper. I had asked
the question prior to the vote if the town had done a background check
on the individuals involved in the project and the answer was no,” said
Baretincic, who in the weeks leading up the vote directed the group
Preston Residents for Responsible Development.
The group, since disbanded, had urged rejection of the development
agreement. First Selectman Robert Congdon, an advisory committee
member who
supported the agreement, was undergoing knee surgery Tuesday and was
unavailable to comment. Committee member Kent Borner, who also
supported the agreement,
expressed confidence that the town's agreement is so well crafted that
there is little risk of the kind of legal dispute that engulfed the New
York condo project.
“Both sides must perform or there are consequences,” Borner said. “I am
very comfortable with our (agreement) and don't foresee anybody playing
any legal shell games.”
Grabarek said the disclosure of the New York lawsuits cannot color the
committee's actions.
“It has to do with character, but it doesn't have anything to do with
the business deal he (Gentile) is doing with us right now,” he said.
Utopia faces several deadlines Nov. 20, according to the terms of the
development agreement. It has completed a final, “phase three”
environmental study of the property, now under review by the town's
consultants, and will have to set aside a performance bond to pay for
the cleanup, about $38 million. By Nov. 20, the developer is also
required to place $13.3 million in
escrow to cover the taxes and other town fees assessed during the
initial four years of environmental cleanup, demolition and
construction. Utopia must produce a development schedule and contracts
with the architects, designers and other professionals it would use to
plan the project.
If that and several other procedural obligations are met, Utopia would
then take control of the property.
•••••
Gentile has also had recent discussions with officials in Norwich about
undertaking a major redevelopment project in that city.
Mayor Benjamin Lathrop said the revelations wouldn't change the city's
process for negotiations. He said the city had planned to do “our own
due diligence” before reaching any agreement on Utopia Studios
Development Corp.'s $500 million proposal for downtown Norwich and
waterfront developments.
The City Council voted in September to start negotiations that could
lead to Gentile being named preferred developer for a project that
would include high-end condominiums, a hotel and banquet facility at
the city's waterfront and other development throughout the
downtown. Lathrop said Gentile has not responded to the city
attorney's request
to set up meetings, but added that he is aware that Gentile faces
deadlines on his proposed Preston development.
Lathrop does plan to ask the council later this month to seek requests
for development proposals on three city-owned properties: the former
Reid & Hughes department store; a vacant lot adjacent to the
Catholic Charities building; and the former Norwich Public Utilities
building, which Gentile had included in his revitalization plan.
Ronald Aliano, owner of the Marina at American Wharf and a would-be
partner with Gentile on the waterfront development projects, said he
could not make a judgment on the allegations in New York.
“I'm not in a position to make a determination on who is right or
wrong,” Aliano said. “In business, there's always certain accusations
and allegations. It's premature to make judgments on the allegation. A
lot of business deals end up in litigation. Initially, it does not look
good on Mr. Gentile, but one never knows until the verdict is in.”
Aliano said Gentile has always been forthright in their discussions.
“I have no reason to alter my view,” he said. “I haven't seen anything
to change my view.”
A
Much-Needed Moratorium
DAY editorial
Published on 11/29/2007
Back in the old days when North Stonington's most challenging issues
involved dairy farms and the future of the town's only restaurant, the
Dew Drop Inn, the Planning and Zoning Commission could get its business
done by meeting once a month for an hour or so.
In recent times the beleaguered commission has been inundated with so
many complex applications that often pit those who want to promote
economic development against citizens who hope to preserve the town's
rural character, its weekly meetings last for hours, sometimes past
midnight. At the same time the panel has been trying for months to
update the town's 43-year-old planning and zoning regulations.
Next week, harried officials are calling for a time out. The commission
will hold a public hearing Dec. 6 on its own application, submitted by
Senior Planner and Zoning Official Craig Grimord, for a nine-month
moratorium on any new applications involving residential, community
facility, agricultural, commercial and industrial uses.
We agree that such a moratorium is long overdue and urge residents to
support it.
Since the 1992 opening of Foxwoods Resort Casino just up the road,
North Stonington, like many towns in southeastern Connecticut, has
faced mounting pressures to build new motels, stores and other
commercial establishments, and even had to consider regulations for
what would have been unheard of in town not too long ago: massage
parlors and adult-entertainment businesses.
In addition to numerous commercial and industrial applications, the
commission also has had to act on assorted residential development
projects, and recently, after considerable debate, approved a floating
zone for mixed-use village districts. It now also is in the throes of a
complicated and controversial plan to create an affordable-housing
district. Earlier this month it rejected an application for a floating
zone to allow for age-restricted cluster housing.
Not surprisingly, the commission has struggled to reach a consensus on
these issues. As Chairman G. Russell Stewart III points out, “We have
members on the commission that couldn't agree that it's Thursday nights
that we're meeting. ... So to come up with stuff that we can agree
upon, it's going to be a job.”
Because North Stonington has so much open space, which so many
residents cherish and so many developers covet, it is literally and
figuratively at a crossroads. The town needs to step back, take a deep
breath and decide how it sees itself, not just this year or the next,
but for generations to come.
Such a moratorium is not unique in the region. Other towns experiencing
similar economic-vs.-preservation pressures have employed the measure.
Stonington, for instance, has imposed a one-year ban on new
applications for development on a section of Route 1.
Perhaps fortuitously, the moratorium would come at a time when
development could be expected to slow down because of the housing
crisis and credit crunch.
Undoubtedly, some opponents will see the proposal as an attempt to curb
all construction, but proponents must resist being boxed into such a
corner. North Stonington has shown a willingness to support responsible
development that adds to the town's tax rolls without diminishing its
rustic charms. A moratorium will allow planning and zoning officials to
continue to do so.
Plan For Self-contained Community 'Bigger
Than Anything This Town's
Seen'
DAY
By Jenna Cho
Published on 1/7/2007
North Stonington — Were 116A Wintechog Hill Road to be developed the
way Rick Contino sees it, the town's housing units would increase by
about half its current total of 3,000. Contino, a developer, had
a workshop session Thursday with the Planning and Zoning Commission,
where he discussed informal plans to subdivide the 162-acre property
into 1,620 mixed-use residential units. No application has been filed —
the workshop was one requested by Rick Contino/Ririto LLC for
informational purposes only.
“It's just an extraordinary project,” said Craig Grimord, zoning
enforcement officer. “Bigger than anything this town's seen before.”
Residential units would range from assisted living, condominiums and
apartments to single-family homes and clusters. Grimord noted
that the town's 3,000 or so housing units are spread out over 54 square
miles, while this particular project would be concentrated on 162 acres
of land situated between Lantern Hill Road and Route 2.
Grimord said Contino mentioned the possibility of including a small
retail component to the project because the development would yield a
self-contained community. If the developers follow through with
the project proposal, Grimord said they told the commission it could
take some 10 years to complete the project. Grimord said this was the
first proposal he has seen on that parcel of land in his five years as
the town's zoning officer, and the first of its size.
He said the developers would need to first apply for a zoning text
change to allow for the type of mixed residential units they are
seeking in that one location.
First Selectman Nicholas Mullane II said Friday that while the town has
encouraged cluster-type residential developments, preliminary plans for
the Wintechog Hill Road project show that the number of residential
units may be too dense for that plot of land. Mullane said he was
concerned that the high density of the suggested development might
strain the town's ability to service roads and emergencies there.
It may also raise issues of whether there is adequate water supply and
sewage package plant capacity to handle 1,620 new residences
concentrated in one area.
North Stonington
Shooting For The Starring Role
By MARK PETERS, Courant Staff Writer
September 16, 2006
Connecticut's ambitious foray into the movie business is starting to
net some starring roles.
Lucrative new tax credits have Bristol-based ESPN re-creating the
Yankees' 1977 pennant run in eastern Connecticut for a mini-series.
Later this fall, Joaquin Phoenix and Jennifer Connolly will film
"Reservation Road" in Fairfield County. Uma Thurman has already been in
New Haven to shoot "In Bloom."
Connecticut has had some success in film before. Each year, a few
movies shoot scenes in the state, from "Cannonball Run II" in 1984 to
"War of the Worlds" in 2004.
But the three current projects are part of the state's move away from
bit parts. Connecticut wants to become a place where films are made
from start to finish, not just a place to shoot scenes of a New England
town green or old factory building. On July 1, the state put in
place some of the broadest and most lucrative tax credits in the
country for film, TV, commercials, video games and music videos.
Productions get a 30 percent tax credit for money spent in-state on
goods, service and labor. If a company doesn't have Connecticut tax
obligations, it can sell its credits to other businesses.
The incentives are already attracting national attention and tens of
million of dollars in productions, but competition from other states
and countries is fierce and constant.
The foray goes beyond tax policy. To attract a permanent presence by
the film industry, the state is trying to attract all the components
required, from union labor to precision camera companies. Industry
officials say such mundane items will matter if Connecticut wants
permanent jobs and staying power in film and television.
"If it really works out, you will have a tremendous advantage compared
to other states," said Mark Smith, former director of Louisiana's film
and television office. To fend off North Carolina, Rhode Island
or even Bulgaria, Connecticut needs the in-state infrastructure that
makes it cheaper and easier to produce projects here, industry
officials said.
"The holy grail is for business to move here," said Fred Litty, senior
vice president for media service at Sonalysts Inc., a defense
contractor that also has film studios in Waterford. At the same
time, the industry needs local businesses to cater to the varied, and
sometimes demanding, needs of film and television production.
On Thursday, business owners interested in the industry gathered at the
Bushnell Center for the Performing Arts in Hartford to meet with state
film officials. A crowd of about 30 chatted in a regal meeting room
amid large movie posters. Hotel managers, accountants, car rental
people and municipal development officials took notes on how to serve
the industry.
"The film business is like a regular business on steroids," said Ellen
Woolf, project manager for the film division of the Connecticut
Commission on Culture & Tourism, referring to the strict deadlines
and intensive work schedules common in the trade.
Connecticut businesses are already getting some benefits from the tax
credits. For example, the "In Bloom" production has been renting 4,000
nights at hotels in the Stamford area this summer. The film office
estimates the combined budgets for "In Bloom," "Reservation Road" and
the ESPN series, "The Bronx Is Burning," at $36 million, most of which
will be spent in the state.
So far, estimates don't exist for what the long-term growth of the film
industry could mean for job creation and overall spending, state
officials said. Therefore it's impossible to know how much the tax
credits will cost the state. The credits come at a time when the
state is searching for new ways to fuel its economy, which has had slow
job growth in recent years.
The three current projects are being shot primarily in Connecticut. The
last film to spend that much time and money in the state was "The Ice
Storm" in 1995. Its story of dysfunctional life in Fairfield County in
the 1970s won critical acclaim for director Ang Lee. Other films have
used Connecticut's scenery, from "Mystic Pizza" to "The Stepford Wives."
The new films are doing the same, but are also letting streets,
stadiums and buildings substitute for out-of-state locales because of
the savings the tax credits provide. For example, "The Bronx is
Burning" will shoot New York scenes in New London and Yankee games at
Dodd Stadium in Norwich.
Rental cars and hotel rooms are supposed to be just a start. What state
officials want is constant production of film, television and Internet
projects. But the state doesn't have the infrastructure for that yet.
Heidi Hamilton, director of the state's film division, ticked off some
of the things the state needs: places for post-production work,
experienced available film crews and a studio in Fairfield County large
enough to host a television series.
Hamilton said she recently met with Lions Gate Entertainment about
bringing a TV series to the state.
North Stonington Studios Project May Go
Elsewhere; Company says plans still viable, but ultimate site is up in
the air
DAY
By Paul Choiniere
Published on 8/30/2006
North Stonington — North Stonington Studios, with its film and
television production studios, theaters, a performing arts school and
retail establishments, may not be built here after all, a top executive
involved in the project said Tuesday.
“What we are doing is still working on the feasibility of that
particular piece of property and the size of our project as it relates
to the property,” said Georgette Smart, chief executive officer of
North Stonington Studios. “We are proceeding in good faith, and the
project is totally alive and it is going to move forward. It is a
matter of where.”
Smart would not provide details about what issues may be keeping
company officials from proceeding with development on the 495-acre
property located on prime real estate just south of Interstate 95 and
east of Route 49.
“It is a matter of examining the size and if that works for our needs
and all of the additional approvals of the zoning and just looking at
the full cycle of what needs to take place and make an assessment based
on that information,” she said. “We want to stay in the North
Stonington area if possible.”
The property is owned by the Mashantucket Pequot tribe, owners of
Foxwoods Resort Casino, which has provided the development group with
an option to purchase the property that expires July 13, 2007. Kenneth
M. Reels, a former tribal chairman, is listed as a member of the
company's executive management team.
Bruce MacDonald, a Mashantucket spokesman, had no immediate comment
Tuesday on the North Stonington Studios project.
Last February, after a series of emotional and lengthy hearings, the
town's Planning and Zoning Commission approved, by a 3-2 vote, a series
of zoning changes to allow for such a project. Before construction can
ever begin, however, the developers would need the same commission to
approve a series of special permits for specific construction plans.
Since the zone change was approved, there have been no new developments
with the project, at least not publicly. No specific site plans have
been submitted.
Smart's statement that the project might not be built on the North
Stonington property marked the first time anyone associated with the
project has equivocated. Up until now, Smart has insisted that planning
for the project was moving forward on schedule.
And while vacillating on the location, Smart was adamant the project
would be built somewhere.
“The project is totally alive, it's not in jeopardy at all,” she said.
“Hopefully, this piece of property will work for us, but if not we will
look for alternatives.”
Representatives of North Stonington Studios, a limited liability
company, have visited the former Plainfield Greyhound Park property
adjacent to Interstate 395. The company also is planning a development
project at Plainfield's former high school, involving computer software
production and data storage, which Smart has said is unrelated to the
plans in North Stonington.
She would not speculate on alternative sites if the studio project is
not built in North Stonington.
Other major players in the North Stonington Studios project include
Joseph Caldrello of New London, co-CEO and treasurer, who ran numerous
car dealerships in the region before losing them in bankruptcy, and
Frank Capra Jr., president of EUE Screen Gems Studios in North
Carolina, listed as the senior project director.
Caldrello and Capra did not return calls seeking comment.
Key
Zoning Change OK'd In Ledyard; Would Permit Tribe To Pursue Water
Park
DAY
By Amy Renczkowski
Published on 12/22/2007
Ledyard — The Zoning Commission approved a zone-change request
Wednesday that would permit an indoor water park to be built along
Route 214.
Commissioners voted 3-2, with Eric Treaster and James Mandeville
opposed, to change five Mashantucket Pequot Tribal Nation-owned parcels
along Route 214 from a residential zone to a resort commercial cluster
district. Zoning Enforcement Officer Scott Duffus said the change
allows the tribe to develop things such as a hotel, motel, restaurant,
golf course, amusement park or water park.
In September, the tribe expressed interest in developing an indoor
water park with Wisconsin-based Great Wolf Resorts Inc., the leader in
indoor water-park resorts in North America. The location for the Great
Wolf Resort is still unspecified.
Duffus said he hasn't received confirmation from the tribe outlining
their plans. Representatives from the tribe could not be reached
Friday.
Commissioner Mark Spruance said the tribe is working on a master plan,
which will be finalized by spring. Spruance said he voted in favor of
the zone change because Ledyard has a limited amount of commercial
development. The tribe's proposal seemed like a “viable plan.”
Duffus said all traffic in that area would be on Pequot Trail and would
enter and exit out on the light on Route 214. The intersection of
Pequot Trail and Route 2 is being designed to handle this type of
traffic.
Zoning Commission Chairman Bill Geer said he voted to approve the zone
change because it'll benefit the town. He said the development borders
mostly tribal land and, with the proposed traffic plan, the impact
looks to be minimal.
The regulations for the resort district, currently specified for 398
acres of tribe-owned land north of the tribe's reservation, were
amended last year to allow for uses that include water and amusement
parks. The resort district is the only district in town that would
allow for the development of a Great Wolf Lodge Resort.
The town created the resort district in 1992, with tribal input, to
encourage tax-generating commercial development, but none have gone up.
At a public hearing in November, residents opposed to the zone change
expressed concerns about traffic, light pollution, minimal impact to
their taxes and not properly controlling growth in town. Some said the
development would be intrusive for residents.
Spruance said if the tribe files a special-permit application, the
commission could regulate the impact, size, and the night and light
pollution.
Ledyard Mayor Seeks Regional
Cooperation; Major developments
affect more than just host town
DAY
By Paul Choiniere
Published on 9/21/2006
Norwich — Stung by criticism that her town, in hopes of generating
commercial development by the Mashantucket Pequot tribe, approved
zoning changes along Route 2 without acting in concert with its
neighbors, Ledyard Mayor Susan Mendenhall called Wednesday for a
greater spirit of regional cooperation.
“Now the towns are basically pitted against one another,” Mendenhall
said, addressing fellow elected officials from throughout the region.
“It's all about generating the property tax dollars.”
The region, she said, needs to develop some mechanism to address major
planning and zoning issues on a regional basis. It is beyond the
ability of small towns to consider all the implications of the major
projects that appear on the horizon, she said.
Mendenhall made her comments at the start of the monthly meeting of the
Southeastern Connecticut Council of Governments.
The tribe, operators of the Foxwoods Resort Casino, appears to be
eyeing the Route 2 corridor near its casino for a major resort
development. Unlike development on the reservation, however, the new
enterprise would be taxable and subject to approval from town land use
commissions.
Tribal officials have not released any details about their development
plans.
In neighboring Preston, voters on May 23 approved a development
agreement that could pave the way for the massive Utopia Studios Ltd.
project on the former Norwich Hospital property.
That $1.6 billion project would include 4,500 hotel rooms, enclosed
theme parks, movie studios and a performing arts college.
“The issue that Preston and Ledyard have is not going to go away and,
in fact, it is only going to get worse given the development we are
facing in the future,” Mendenhall said.
The Ledyard mayor did not offer specifics for dealing regionally with
large-scale development issues but said she saw a role for the council
of governments, a largely advisory group that is the closest thing
Connecticut has to regional governance.
Ledyard, Preston and North Stonington all added “resort districts”
along Route 2 to their zoning regulations in the early 1990s, hoping to
spin off some development from the casino. The strategy has met with
little success.
Last month, acting on an application from the tribe, the Ledyard Zoning
Commission agreed to broaden the types of development it would permit
along Route 2, including condominiums, time-share units; parking
garages; multiplex cinemas; gas stations; amusements; water parks;
bowling centers; mini-golf; boat rentals; business and government
offices; campgrounds; and retail stores of up to 50,000 square feet,
which would accommodate so-called “big box” retailers.
Ledyard approved the changes despite opposition from the Reference
Committee of the Regional Planning Commission, which reviews zoning
changes that have ramifications for neighboring towns. The committee,
part of the COG, concluded the zone change in Ledyard “would have
adverse inter-municipal impacts” and “would significantly intensify the
already intense activity in (the) area.”
Officials in Preston and North Stonington also questioned Ledyard's
decision to move forward without consulting its neighbors.
Those towns only learned of the proposal when they were mailed copies
of the tribe's application, as required by state law.
“In retrospect, should their planner have met with our planner and gone
over this first? Yeah, probably,” said Preston First Selectman Robert
Congdon. “But hindsight is 20-20. The important thing is that we work
together going forward.”
The tribe has said it also plans to seek similar zone changes in
Preston and North Stonington, but no applications have yet been filed.
At a recent meeting of the Regional Planning Commission there was
discussion of creating a subcommittee with representatives of Ledyard,
North Stonington and Preston to monitor future development plans along
Route 2.
As for Utopia, Congdon said the town should know by Nov. 20 if the
project will be moving forward.
That is the deadline set for the developer to meet a series of
requirements in the development agreement.
If the project does move forward, Congdon said Preston officials expect
to work closely with the neighboring towns of Ledyard and Norwich in
planning for the impacts of the entertainment complex.
The council of governments is also planning to do a regional analysis
of large-scale developments, such as Utopia and the current expansion
of the Foxwoods Resort.
Bright Lights, Traffic Plights In The Works
For Ledyard
DAY
By Charles E. Potter Jr.
Published on 9/16/2006
The Ledyard Zoning Commission held a public hearing Thursday for
residents and other concerned citizens to express their views on the
Mashantucket Pequot Tribe's proposal to amend the zoning regulations in
the Resort Commercial Cluster District zone. The town's planning
commission unanimously approved the proposal last week. The zoning
commission, with minimal public fanfare, followed suit Thursday night.
The tribe has plans to develop a destination resort and, perhaps, other
new ventures in a partnership with MGM studios.
The scant public attendance might have been because it's too late to
take up the discussion as to what changes residents would willingly
endure in the town's quest for tax dollars and property tax relief.
Most people — even those who arrived after the emergence of Foxwoods
Resort Casino — did not move to Ledyard anticipating that it might very
soon come to resemble Ocean City, Md., or Las Vegas, or Disney World.
But that, I believe, is the future.
Don't get me wrong. I'm not passing judgment on the change that to be
seems afoot. I just think, despite the obvious message sent by two
unanimous decisions, that it's time to simply and clearly state to the
residents and neighbors, including Preston, North Stonington and the
rest of the region, that bright lights, long lines of traffic and
millions more tourists are on the way up Interstate 95, I-395, and all
side roads in between, to Route 2. If that's not your idea of
southeastern Connecticut, it's time to pack up your property and pick
your next paradise.
If, or when, Ledyard reinvents itself as a full-scale resort
destination, that will also become the future of Preston and North
Stonington. I have to believe that a similar future awaits everything
along Route 2 from Norwich to Misquamicut Beach in Westerly. If the
music is loud enough, the neighbors will dance.
The resort commercial zone was created in 1992 for the purpose of
attracting development of taxable land and businesses in the shadows of
the untaxed reservation, upon which sits the cash-cow casino. The
regulations allow for the construction of hotels, restaurants, sports
facilities and theaters, among other things. So, even before Thursday
night, there was potential for Route 2 to have boomed with development
that might have chased away a lot of folks.
But the development didn't happen.
Apparently, when the town couldn't attract development from the
outside, it couldn't resist the tribe's proposal, which came in the
form of text changes that eliminate building height restrictions and
permit water and theme parks, amusements, time-shares, condominiums and
retail shops of up to 50,000 square feet, among other things.
There's no turning back now.
It would take substantial imagination to believe that, if the resort
zone became a successful tourist destination, and if Utopia becomes a
reality in Preston, that Ledyard could resist allowing resort-type
development along the Route 12 waterfront. And, even if it didn't, what
would the town be like if those two other “ifs” play out?
Ledyard Approves Zone Changes;
Mashantuckets Had Sought Amendments For Planned Resort
DAY
By Jenna Cho
Published on 9/15/2006
Ledyard –– The Zoning Commission voted unanimously late Thursday night
to approve the Mashantucket Pequot Tribe's request to amend zoning
regulations to accommodate a major resort development the tribe wants
to build in the northeast corner of town.
“The vote was a positive decision for the taxpayers of Ledyard and an
example of the progress that can be made when the tribe and town work
together,” tribal spokesman Bruce MacDonald quoted Tribal Secretary
Charlene Jones as saying after the meeting.
The zoning text amendment sought by the tribe pertains to a resort
district north of the tribe's reservation and its Foxwoods Resort
Casino at the edge of the Preston and North Stonington borders. Jones
has said the tribe is interested in building a “destination resort” on
land the tribe owns in all three towns.
The 5-0 vote Thursday night followed a public hearing at which eight
people, including Preston First Selectman Robert Congdon and Preston
Selectman Gerald Grabarek, spoke for and against the proposed changes.
Those favoring the text amendment said a resort would introduce a
much-needed commercial tax base to the town.
Resident Nathan Weiss said Foxwoods was one of the “pillars” of the
community and that the town depended on its success. He encouraged
further casino and tribal development.
Resident Fred Riccioli said he, too, welcomed tax relief. But he said
there was a “history of lack of trust” between the town and the tribe
and that the town should carefully consider what negative impacts a
resort could have on the town.
He pointed to the recent lawsuit the tribe and a third-party vendor
filed against the town over taxation of leased slot machines. The
lawsuit alleges that the town cannot tax leased property on the
reservation, in part because the slot revenues are vital to the tribe's
operation as a sovereign entity.
Riccioli said he worried that if a resort is successful, the tribe may
try to have the U.S. government take into trust the land the resort
would occupy, removing it from the town's tax rolls.
“We have to be assured that it's going to be Ledyard and not the town
of Mashantuckets,” Riccioli said.
Congdon said that he was neither in favor nor against the proposed
changes to the resort district. He said Preston welcomed the fact that
the tribe was interested in developing on land outside its reservation,
thereby adding to a town's tax base.
But Congdon said he hoped the town would consider the impact that
development of a family resort could have on neighboring towns.
William Geer, chairman of the Ledyard Zoning Commission, introduced a
letter of support from the town's Conservation Commission.
The Preston and North Stonington planning and zoning commissions sent
the Ledyard panel letters opposing the zoning change. Preston's
commission said the change could lead to development having adverse
impacts along the Route 2 corridor. North Stonington's commission
worried that the allowed uses under the amended resort district
regulations would result in increased traffic on Route 2 in North
Stonington, negatively affect properly values in the area and pollute
the drinking water supply in the Shewville Brook watershed.
Planning Panel Backs Tribe's Major
Development; Proposal Now Goes To Zoning Board Hearing
DAY
By Jenna Cho
Published on 9/8/2006
Ledyard –– The Planning Commission voted unanimously Thursday night to
endorse a proposed zoning text amendment that would accommodate a major
resort development planned by the Mashantucket Pequots.
The endorsement, which carried several conditions, was passed by the
three commission members present — regular members Kenneth Koe and
Roger Tremblay and alternate Ed Lynch — who said the proposed zoning
regulation changes were consistent with the town's Plan of Conservation
and Development.
Mashantucket Pequot Tribal Council Secretary Charlene Jones, who
attended the meeting with the tribe's engineer, Walter Kunzmann, said
after the session that the tribe plans to create a “destination resort”
that could incorporate land the tribe owns in Preston and North
Stonington as well as Ledyard.
The proposed changes to Ledyard's Resort Commercial Cluster District
regulations must be approved by the town's Zoning Commission, which is
scheduled to conduct a public hearing on the matter at 7:30 p.m. next
Thursday.
Jones said she could not discuss specifics of the tribe's plan to
develop the resort along Route 2 but said the project is not connected
to the tribe's expansion of its Foxwoods Resort Casino, which it is
pursuing in a partnership with MGM Mirage.
Ledyard's resort district lies north of the tribe's reservation and
Foxwoods at the edge of the Preston and North Stonington borders.
Jones said the tribe will seek similar resort-use amendments to
Preston's and North Stonington's zoning regulations so that the tribe
can develop land it owns in all three towns while following consistent
regulations.
“If it was just unified, it'd be easier to develop,” Jones told the
commission Thursday.
Jones, Kunzmann, the three commission members who were present and
Brian Palaia, Ledyard's director of planning and development, added two
changes to the proposed text amendment before the commission's vote.
One was a provision emphasizing pedestrian accessibility within the
resort. The second, prompted by Tremblay, reworded the tribe's proposed
allowance of recreational-vehicle campgrounds to state that such
vehicles cannot stay at the campgrounds for more than 30 days except
when their admission is renewed in the warmer months, between April and
October.
The commission also required that vehicles be removed when the owners
depart the campgrounds for the season. Tremblay said he was concerned
the proposed campgrounds would otherwise become trailer parks.
The town created the resort district in 1992 to encourage
tax-generating commercial development.
Jones said Thursday that the tribe has worked well with Ledyard
officials throughout the process of revising the district regulations.
“A decade passes and things change and needs, desires and goals
change,” she said. “And now we realize that in order to bring families
here, we need more here.”
Jones said the envisioned development would have “amenities to
complement (Foxwoods).” It would attract families not just with gaming
at the casino but with various recreational opportunities that would
include “food, drink, lodging, sports, entertainment and shopping,”
according to the proposed regulation change.
“We want to be able to have customers come and stay in the area and
experience southeastern Connecticut,” Jones said.
Tribe Seeks New Zoning in Ledyard;
Change could mean development of destination resort with MGM
DAY
By Paul Choiniere
Published on 8/30/2006
Ledyard — The Mashantucket Pequot tribe has requested a zoning change
along Route 2 in the northeast corner of the town, which, if approved,
would provide the opportunity for a major resort development by the
tribe and its new partner, MGM Mirage.
According to a memorandum of understanding between the Mashantucket
Pequot Tribal Nation and MGM Mirage, dated April 24 and filed with the
state, the new partners plan to create a “destination resort” along the
Route 2 corridor adjacent to the reservation.
“(The tribe) will offer to develop such portions on a 50-50 joint
venture basis with MGM through a joint venture established by the
parties and owned by them on an equal basis. The parties will each
contribute 50 percent of the equity required,” the memorandum says.
The document does not specify what would be included in the destination
resort, nor its size and scope, but the proposed zoning change offers
some clues.
Technically known as a text amendment, the change would dramatically
increase the construction opportunities that would be allowed in the
“Resort Commercial Cluster District.”
That zone, intended to encourage tax-generating commercial development,
already allows hotels, restaurants, sport facilities, art galleries and
theaters.
Under the proposed amendment, additional approved uses would include
condominiums, including time-share units; parking garages; multiplex
cinemas; gas stations; amusements; water parks; bowling centers;
mini-golf; boat rentals; business and government offices; campgrounds;
and retail stores of up to 50,000 square feet, which would accommodate
so-called “big box” retailers.
Brian Palaia, the town's director of planning and development, said
there appears to be “several hundred acres” in the resort commercial
district, almost all of it owned by the tribe.
Bruce MacDonald, a tribal spokesman, had no comment Tuesday on the
tribe's plans for the property.
The stretch of Route 2, which leads from Foxwoods Resort Casino west
through the towns of North Stonington, Ledyard and Preston, is seen by
all three towns as providing the best opportunity for tax-generating
commercial development.
So far, the dramatic growth of the casino, which is on the
Mashantuckets' reservation, has generated much traffic for the
surrounding towns, but little economic growth. Property on the
reservation is exempt from taxation, and in the decade since Foxwoods
opened there has been little spin-off development in the towns.
Now Ledyard appears to be upping the ante. Rather than writing rules it
hopes will encourage development, it has invited the tribe to suggest
the zoning language it needs for its development purposes. The text
amendment was filed last month by Walter Kunzmann, a professional
engineer for the tribe.
The proposed regulations have to be reviewed by land-use boards.
At 7:30 p.m. Sept. 7, the Planning Commission will evaluate the
proposal and then pass it along to the Zoning Commission. Should the
Planning Commission review the changes negatively, it would require a
two-thirds vote by the zoning panel to get them approved.
The zoning panel will conduct a public hearing on the changes when it
meets at 7:30 p.m. Sept. 14 in the Town Hall Annex.
Mayor Susan Mendenhall said she has had frequent discussions with
tribal officials about how to work with them to advance their business
plan.
“Their long-term plan is to develop that Route 2 corridor and open it
up to resort and commercial development,” she said.
Town Council Chairman Fred Allyn Jr. took the same position.
“They were encouraged to bring in the regulations they want,” he said.
“On the financial end, I, personally, would love to see tax revenue to
help us with our tax problem. There are always concerns about the
environment when you have development, but they have done a good job of
monitoring that. They will certainly do the job right.”
The three casino towns have taken different approaches to the
opportunities provided by Route 2, which in North Stonington, east of
the Ledyard border, is zoned residential. First Selectman Nicholas H.
Mullane II has said the town would consider zoning amendments to allow
commercial development by the tribe, but is seeking projects with lower
impact than allowed by the proposed Ledyard amendment.
Possibilities discussed, he said, have included upscale condominiums
catering to corporate casino customers and equestrian facilities.
“Theme parks and water slides? That was not the type of development we
were looking for,” Mullane said.
Mullane said he could not speculate about what the intensified
development suggested by the proposed Ledyard zone change would mean
for the Route 2 corridor.
“The Mashantuckets have always been difficult to read as to what's
their big picture,” Mullane said. “Maybe this is a glimpse of what MGM
thinks they need.”
Preston, meanwhile, also has designated properties along Route 2 as
“resort commercial.” Town Planner Kathy Warzecha said the regulations
in Preston are similar to those in Ledyard, but so far the tribe has
made no request to amend them.
Warzecha said she would be concerned about such an expansion of the
regulations, particularly allowing residential development and parking
garages, and, if proposed in Preston, would seek some type of special
permit process to give the town greater control over development.
She estimated that about half the property in the zoning district along
Route 2 in Preston is controlled by the tribe.
Norwich Outlines Plan For Former
Hospital Site; City will seek assistance to market 60-acre parcel
DAY
By Claire Bessette
Published on 8/12/2008
Norwich - A group of city officials and business leaders reached
consensus on three main issues regarding the city's portion of Norwich
Hospital Monday: get some professional help to market the property
nationwide, hire an environmental consultant to figure out the exact
cleanup costs and buy the property.
Mayor Benjamin Lathrop convened his second economic development forum
Monday to make recommendations on how Norwich should market the 60-acre
hospital property within the city. During the 90-minute discussion,
several participants and even one neighbor of the hospital property
said the city should go ahead and exercise its option with the state to
buy the property for $1 and agree to pay the cleanup costs.
City Corporation Counsel Michael Driscoll interjected cautionary
advice, however, saying the estimated $1.5 million cleanup cost
projected in a preliminary study commissioned by the state likely is
too low. He said if the city takes ownership of the property, the city
would be responsible for cleaning it, and the state Department of
Environmental Protection would set the requirements.
Driscoll reminded the group of the Occum Riverfront Park. Cleanup costs
of the charred factory remains initially was set at $1 million, but
slowly escalated to $5 million as state environmental officials
continually ordered more extensive testing and more soil removal.
The way to avoid that cost would be to find a developer who would be
willing to pay the cleanup costs before taking over ownership.
Driscoll also said that if the city buys the property, it would have to
insure it and secure it from vandalism.
But the strongest consensus among participants, as expressed by former
Alderman John Paul Mereen, was “buy it.” Mereen favored creating a new
business park on the property, which would allow the city to develop it
over time to the best uses.
Davis said the city could work on the separate issues simultaneously.
Robert Mills, the new executive director at Norwich Community
Development Corp. offered to work with Davis to rework the original
request for proposals for one or more developers for the hospital
property. The City Council rejected the two bids received last year for
the property.
At the same time, the city will seek bid proposals for an environmental
consultant to do a more comprehensive study of the property for
anticipated cleanup costs.
Driscoll suggested Mills and Davis consult with attorneys from Murtha
Cullina, the firm that wrote the initial RFP, for legal language on
both advertisements.
No time frame was set for advertising the property, but Mills said he
would like the most time possible devoted to marketing the property to
potential developers. Once the RFP is ready, Mills agreed the city
should hire a professional consultant to market the property
aggressively nationwide. City officials must inform the state by Jan.
24, 2010, whether they want the property.
After the session adjourned, Lathrop said he hopes to have a draft
request for proposals for the hospital property and for an
environmental consultant within a month.
Norwich
back to square one on hospital
property; City council rejects both developers' bids
DAY
By Claire Bessette
Published on 6/17/2008
Norwich — The city will start over in its effort to find
commercial development for the former Norwich Hospital property, with
the City Council's vote late Monday to reject both bids received last
summer for the 61 acres in Norwich.
Mayor Benjamin Lathrop has scheduled a forum for June 30 to discuss how
the city could market the property for development a second time.
Lathrop has been discussing the issue with officials at the state
Office of Policy and Management and state Department of Public Works
for written confirmation that the city can market the property as three
distinct development parcels.
Lathrop hopes to have written confirmation by the date of the forum.
The council voted 6-1 to reject the two bids, with Alderman Robert
Zarnetske dissenting.
Lathrop argued that the two bids received last year from Northland
Investment Corp. and Bourbon Street Norwich LLC were centered too much
on residential development. While the city still encourages residential
development elsewhere, Lathrop said he hopes to bring more commercial
development to the hospital property.
John Hollis, a principal in Bourbon Street Norwich LLC, addressed the
council at the start of the meeting and answered questions of the
aldermen during discussion of the resolution to reject both offers.
Hollis said he agreed with Lathrop that the city should strive for top
quality commercial development on the Norwich Hospital property. Hollis
said his firm's proposal meets that goal. He vowed that his company
would remain in the process and would come to the June 30 forum. He
said he would go along with the city's plan to market three separate
parcels — noting that Bourbon Street Norwich LLC's original plan called
for developing the property in three segments.
“We are here to stay,” Hollis said, noting that the firm has financing
in place for the project.
He said he even welcomed the chance to compete with other developers in
a new round of proposals.
Zarnetske was angry at Lathrop for saying they should reject the two
proposals while the mayor worked on “a different strategy” for
marketing the property. But Zarnetske supported the idea of having a
forum to discuss the proposals and other options.
Alderman Francois “Pete” Desaulniers too supported the idea of having
an open forum.
But Alderman Christopher Coutu tried to table the issue of rejecting
the two submissions to have a forum on just the two proposals. His
motion failed 5-2, with only Coutu and Zarnetske voting in favor.
Alderman Mark Bettencourt said starting the process anew would give the
city more flexibility in reviewing the Norwich Hospital property once
again.
Hollis said it was a misunderstanding from the start that Bourbon
Street Norwich focused on work-force housing. He accepted
responsibility for the error, saying his partner used that term to
describe apartment units above the proposed retail spaces meant for
project employees.
Alderman William Nash said he personally liked the Bourbon Street
Norwich proposal and apologized for the misunderstanding. He said
starting over would help overcome that problem.
Bourbon Street Norwich LLC proposed a $267.9 million mixed-use
development that would recreate many elements of New Orleans' famous
entertainment district. The proposal included 125,000 square feet of
mixed-use retail and entertainment space, as well as a residential
component with work-force housing.
The proposal included an indoor water park with surfing pools that
would provide year-round surfing and the capability to host national or
regional surfing competitions; hotels; a movie studio; and an exotic
car club with a helipad.
Hollis offered a “picture” of his firm's proposal at the start of the
council meeting and said he hoped to have the chance to meet with city
officials to present the plan in detail.
Prior to the meeting, Charles Coursey, a spokesman for Northland, said
his firm had not heard from Norwich officials “for quite some time”
since the proposals were submitted and figured the city was awaiting a
decision in Preston. Coursey said Northland officials learned about the
city's plan to reject the bids through newspaper accounts.
Coursey said Northland remains “very interested” in the Norwich portion
of the hospital property and would be patient to see how the new
process progresses.
Northland's $250 million proposal for Norwich, called “Norwich Green,”
matched the upscale theme the company proposed at the Preston part of
the former hospital property, but included work-force housing on the
Norwich side.
The plan called for 700 units of seasonal and permanent residences,
most of which, as in the firm's Preston proposal, would be marketed to
the 55-and-older community.
Preston officials have turned the decision on