A previous version of this post incorrectly reported CIL purchased Hartford Square North.
With financing now lined up, the developer planning a $26 million conversion of the old Capewell Horse Nail Co. factory into apartments said it has acquired the property in Hartford’s Sheldon-Charter Oak neighborhood.
The Corporation for Independent Living, a non-profit housing group, took title to the decaying factory building late Tuesday, CIL’s president and chief executive Martin M. Legault told me this afternoon.
CIL acquired the property at no cost from Boxer Properties of Houston. The transfer of Capewell was part of a deal in which CIL purchased the adjacent Hartford Square
North West office complex from Boxer last summer for $4.7 million.
Boxer foreclosed on the Capewell factory in 2010, after a previous developer, John Reveruzzi, failed to convert the building to apartments.
CIL just needs federal environmental officials to sign off on a $1 million proposed plan to clean-up PCBs, once used as a coolant but are now banned by the federal government, Legault said.
Legault told me CIL tentatively hopes to close its financing package on May 15. Construction of 75 apartments, beginning with the environmental clean-up, could begin within two or three weeks of the closing.
The financing includes a $5 million, second mortgage from the Capital Region Development Authority’s housing fund, which was approved by state Bond Commission in February. United Bank is providing a $9.2 million first mortgage and a $5 million bridge loan.
Federal and state historic rehabilitation tax credits total $9 million.
The majority of the apartments are studios and one-bedroom units. The rents range from $1,050 for a 700-square-foot studio and $1,375 for a 860-square-foot one-bedroom to $2,000 for a 1,725-square-foot two-bedroom unit and $2,600 for a 1,850-square-foot, three-bedroom unit.
The apartments are expected to be ready for occupany in January, 2016.