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Background
The last city service that
remained in The Old Town Hall building was the probate court, which was removed
in the late 1980’s. Since then, the building has remained vacant. There have
been many ideas proposed since its complete vacancy on what function this
building can serve again. In 1990, it was proposed that the building become art
classrooms and studio space for the University of Connecticut in Storrs new
campus on Broad Street. This was a popular idea locally, but did not have enough
support from Storrs to actually happen. In 1996 there were many Stamford Arts
Organizations such as Stamford Symphony and Connecticut Ballet, who became
interested in having space in Old Town Hall. Because of various funding issues
though, the city realized they would not be able to revive this building for
these organizations. In 1996, Mayor Malloy appointed a 23 member committee to
discuss and explore possible uses for OTH. The Mayor hoped that the building
might be used to display art and antique collections and would hold wedding
receptions and corporate functions. In 2003, $3.4 million worth of state aid was
designated for restorations through the Department of Social Services. That same
year, through the effort of former Speaker of the House Moira Lyons, the
Department of Economic Control and Development allocated an extra 3 million
towards this project, increasing the amount of state aid to $6.3 million. This
amount allowed the city to go forth with basic preservation work such as
replacing the roof, the windows, cleaning the exterior, and rebuilding the front
plaza. In terms of future use of the building, many ideas were proposed and
looked into, but none really seemed feasible because of funding issues. Through
the help of a private development partner, and the discovery of Historic
Preservation tax credits, funds became available to go forth with this project.
In September 2006, the city unveiled the new plans for Old Town Hall. They were
met with mixed reactions, as is all change to historic material. The City chose
this new plan to “shake up” and enliven a building that has been dormant for so
many years. The project is expected to be completed in Fall 2009, and will be an
exciting new addition to this ever-changing city.
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Project
The Old Town Hall Redevelopment Agency has been working with Fuller and D'Angelo PC, Architects and Planners, to create a new plan for Town Hall. They have created an exciting restoration plan as well as a new addition for the Old Town Hall. Fuller and D'Angelo PC have designated the historic spaces within the existing building and are taking careful measures to restore these areas back to their original condition. The historic areas include the main entrance, the lobby, the two meeting rooms that flank the Atlantic Street entryway, the grand staircase, the second floor hallway, and the courtroom. The original murals in the building will all remain as well, and give tribute to Stamford's history. The addition will add 6,000 sq. ft to the building and will be a two-and-a half-story glass enclosure that looks over Heritage Park from the buildings western and southern side. It is nicknamed "the sail" for its design that mimics a sail and pays homage to Stamford's nautical roots. The new addition will allow modernized elements to be incorporated into the building such as an elevator, handicapped entrance, and a new fire stair. There will also be overall improvements made to the building such as a complete sprinkler and HVAC systems. This project is projected to be completed in Fall 2009.
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Funding
It’s estimated that the full development cost including a new addition facing
Heritage Park for the productive reuse of Old Town Hall is approximately $16
million. A significant portion of the necessary funding can be filled through a
combination of private debt and equity. The private equity can be raised through
the sale of Historic Rehabilitation Tax Credits and New Market Tax Credits
(NMTCs). The latter is a new federal tax credit designed to encourage private
investment in urban economic development and is governed by the U.S. Treasury.
Historic Rehabilitation Tax Credits (HRTCs) were created to encourage the
rehabilitation and restoration of historic buildings in our country. To qualify
for this credit, the building must be on the National Register of Historic
Places and the historic rehabilitation must be examined and approved by the
National Park Services.
The City, (through an RFQ 3/E), retained
The National Development
Council (NDC), a national, not for profit company, to prepare a
development/financing strategy for the Old Town Hall. NDC has proven
experience for raising a combination of public and private funds for the
development of such buildings. NDC has presented a structure that would use the
State of Connecticut and the City of Stamford funds to leverage private
investments which would be attracted through the use of the two tax credit
programs mentioned above. The New Market Tax Credits required the state and
local funds to be aggregated into a limited partnership, in order to leverage
the private equity. The limited partnership, called The Old Town Hall
Redevelopment Agency, has municipal/community representation, as well as veto
authority, and has become the agent to renovate and manage Old Town Hall. The
city will retain ownership and development control of the building. It is
anticipated that through the NMTCs, the city with leverage nearly $2.4 million
towards this project. The Historic Preservation tax credit which will credit the
project 20% of the amount spent for the rehabilitation of the building itself,
is estimate to be around $2 million. The combined amount of $4.4 million through
the two federal tax credits offers significant aid towards making this project
possible.
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Use
The state and municipal money will continue to be used for those
items and purposes as originally stated.
The building will be leased to a tenant in order to cover remaining costs. This money will go towards establishing a
repair and replacement reserve, and to service conventional debt that will cover
a portion of the remaining development costs. The building will remain a public
asset and have public space and some privately owned space.
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Economics
- Estimated costs to restore
are $16 million
- $10.8 million coming from
Non-city sources
$ 6.4 million in state grants
$ 4.4 million in special federal tax credit
equity
- City previously allocated
$1.2 million towards the building
- Gap can be closed via rental
income sustaining modest mortgage debt
- State grants leverage federal
historic and economic development credits
- Moment is now to make this
happen or major funding evaporates!
- Pro-forma: based on today’s
rents and the projected costs to manage the building, it is quite feasible to
expect that the tenants will pay for the building’s operating costs
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