My colleague Jenna Carlesso reports:
The sale of the city-owned 95-101 Pearl St. to Lewis and Pearl Street Ventures LLC — a team of developers that has proposed converting the vacant, former office building into housing, retail and entertainment space — will go before the Hartford City Council on Monday.The building has been packaged with 111 Pearl St. and 100 Trumbull St. (Trumbull on the Park), both owned by the Connecticut Housing Finance Authority, for the purpose of the sale. Under the agreement, 95-101 Pearl St. would be sold for $500,000, 111 Pearl St., another vacant, former commercial building, would be sold for $500,000 and Trumbull on the Park, the 100-unit luxury apartment building, would be sold for $22.3 million.
CHFA in October approved the sale of 111 and 95-101 Pearl St. and Trumbull on the Park — just around the corner on Trumbull Street from the two empty buildings.
The team of developers that make up Lewis and Pearl Street Ventures includes Sanford Cloud Jr., CEO of The Cloud Co., a Hartford real estate development firm; Alan Lazowski, chairman and chief executive of LAZ; Martin J. Kenny, the developer of Trumbull on the Park; and Timothy Henkel Sr., a Philadelphia-based developer.
CHFA had put out a request for proposals from late March to early May. Three proposals were received, officials said, and a selection panel composed of city and CHFA representatives reviewed them and ultimately recommended that Lewis and Pearl Street Ventures be chosen to develop the properties.
Mayor Pedro Segarra has said that while negotiations are still ongoing, the project would include 66 market rate apartments and as much as 15,000 square feet of office, restaurant and retail space at 95-101 Pearl St. and 121 housing units and 9,500 square feet of retail space at 111 Pearl St. No changes are proposed for Trumbull on the Park, which already has a high occupancy rate.
“The city proposes to execute a license agreement with Lewis/Pearl, which will allow the developer to carry out necessary inspections at 95-101 Pearl Street,” Segarra wrote in a letter to the city council. “Following those inspections, the city and Lewis/Pearl will complete negotiations, agree upon the final terms of the sale and execute a purchase and sale agreement.”
The city had put out requests for proposals on 95-101 Pearl St. in recent years, but each time a developer came in wanting to create housing, the task proved too daunting, and plans were scrapped.
But officials involved in the deal said this time they were optimistic that an agreement would be finalized.
Segarra also has said he is poised to submit a resolution to the city council that would establish a 15-year tax fixing agreement on the two newly constructed buildings. The resolution would also extend a tax fixing agreement for Trumbull on the Park an additional three years and its adjacent parking garage for an additional eight years.