Senate Leadership
September 24, 2009
Senate Democrats Boost Economic Development in Downtown New Haven
Senators Looney and Harp say green building tax credits and conveyance of land will help grow jobs
New opportunities for economic development and job creation in New Haven emerged today as the General Assembly passed two bills that will clear the way for a couple of brand new and environmentally friendly downtown development projects.
Following passage of the two bills, Senate Majority Leader Martin M. Looney (D-New Haven) remarked, “I am very excited that we’ve been able to create such a significant economic opportunity for the residents of New Haven. The city is experiencing a boom in economic development, even in the midst of this recession, and the conveyance of the Route 34 parcel in a potentially pivotal area for economic development will help magnify that growth.”
The first piece of legislation, House Bill 7003, will transfer ownership of 2.7 acres of property bounded by North Frontage Road, College Street, South Frontage Road and the Air Rights Garage from the state to the city of New Haven. The legislation requires that the land be used specifically for economic development purposes.
The city plans to develop the land as the first part of its Downtown Crossing project. When finished, the property is projected to include 234,000 square feet of commercial space, 25,700 square feet of retail space, and 519 parking spaces when construction is completed.
In March, New Haven Mayor John DeStefano, Jr. offered testimony before the legislature’s Government Administration and Elections Committee to outline the city’s plans for the Downtown Crossing project. Mayor DeStefano said, “It has been calculated that this project will support 623 jobs on a stabilized basis for the foreseeable future. During the construction period alone . . . this project will support an average 1,263 jobs for a three year period.”
Final conveyance of the land is subject to the approval of the State Properties Review Board, and will require the City of New Haven to pay all administrative costs associated with the transfer.
“These two bills will have a direct impact on economic development opportunities in New Haven,” said Senator Toni N. Harp (D-New Haven). “The building blocks are being put in place to grow jobs and expand the tax base.”
The second piece of legislation, House Bill 7002, establishes a maximum $25 million tax credit for the construction of green buildings that meet specific energy and environmental standards, to be disbursed over the course of as many as five years. The credit will be available beginning January 1, 2012.
City officials plan to take advantage of this new tax credit to solicit private development of the property at 745 Chapel St., commonly known as the Shartenberg lot. Located in downtown New Haven, one block from the Town Green, the site covers 1.5 acres bounded by Chapel Street, Orange Street, and State Street.
“These two new development projects will create hundreds of jobs, and bring many new businesses and customers into a rejuvenated downtown area. That’s exactly what New Haven needs during this recession,” said Senator Looney.
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Senator Williams’ Derek Slap |
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Senator Looney’s Derek Slap |
