Proposed: 179 Allyn Street housing Conversion

[The Voice of Reason]

On the CRDA web site I looked at the agenda for a recent meeting of the housing committee.  The minutes were not yet posted so I am unsure of what was discussed, but this building was on the agenda.

 

179 Allyn is one of my favorite buildings downtown and I think would make a great residential conversion.  the building is currently for sale as well. 

 

If this building is in some way redeveloped, it would be another nice boos to this part of downtown.  The building is about 70,000 SF so it could be as few as 40 units much like 410 Asylum or as many as 90 (70 being a common number when I googled the size) 

 

http://hartfordoffice.sheldongood.com/

 

If 410 gets done in the next few years and this gets going as well, we would really be making some serious progress in Downtown West.

 

I wonder how long it will be before some of those vacant lots feel development pressure?

 

 

 

[The Voice of Reason]

OK, this is still interesting more interesting.

 

I got a historical commision e-mail (it came with the normal zoning agendas I get)

 

This area was recently designated hsitorical, I think mainly to protect this gem of a building.  so that makes me happy!

 

the e-mail mentioned they were seeking approval to replace the windows and to fix the roof or the mechanicals or something.

I can only assume that this is as a result of the buildings recent auction that took place in November.

 

 

So lets add a few things up...

Building is sold...

building is vacant except for ground floor retail spaces

new owners permit for some improvements

CRDA has building on the agenda for its housing committee

 

 

to me this seems like the new owner is doing the needed window improvements etc as they are needed no matter what.

at the same time checking to see what kind of cabbage they can get from the state if they convert it to residences.

 

makes sense to me!  If they were to get some office tenents then they might keep it an office, but they are more likely to take that state money and build housing.

 

I think the minimum bid on the building was 1.5M  No clue what the sale price was.  I suppose I could look it up but I'm just not feeling up to that right now.

 

Regardless of what the long term plan is, Im glad that one of the cities top 5 prettiest buildings is getting a little love.

[beerbeer]

It is a beautiful building.  The new owner could be viewing it as a fixer uppper. Buy it cheap, fix the roof, wait for economy to improve (good luck with that) and flip it. 

[The Voice of Reason]

Its now Official

63 new residential units are being proposed.

 

they are also seeking a reduction of parking permit.

 

I love it!

thats a good number, so the units will be on the smaller side but not tiny, and one of my top 2 buildings is getting put back to work!!!

 

YAY.

 

not much interesting at zoning except they have the cities 5 year capitol plan to review.  so that will likely be published on the city web site for review.  There are always interesting projects in there.  

 

 

[HartfordTycoon]

Definitely a good plan for this beauty of a building.

[The Voice of Reason]

The most intersting thing about this conversion is the fact that if it does happen, and 390 Asylum happens, there are literally no other buildings in this area to convert. (OK there is one small building next to 390, but I question its ability to even be converted...)

 

so, does that mean there would be actual development pressure? 

[HartfordTycoon]

The most intersting thing about this conversion is the fact that if it does happen, and 390 Asylum happens, there are literally no other buildings in this area to convert. (OK there is one small building next to 390, but I question its ability to even be converted...)

 

so, does that mean there would be actual development pressure? 

 

I think we are approaching that point but Downtown is so compact that there are still plenty of other projects that need to get done before there would be so much pressure that I could really see new construction being proposed. Hopefully once the next round of conversions gets done we'll start seeing some new buildings being proposed and start filling in some of these holes in the cityscape where all these surface lots are.

[The Voice of Reason]

These guys are moving fast... I love it!!!

 

from the bond commission agenda for Friday

the conversion of 179 Allyn Street into approximately 63 one

bedroom market rate units of housing.

 

The $3.25 million loan will be provided at an interest rate of 0.5% for twenty years with

principal and interest deferred. The $3.25 million equity investment will have a

preferential position. CRDA will be provided with an Internal Rate of Return of 2% on the

equity investment and may transfer the equity position and must be repaid upon sale or

refinancing of the project.

 

 

Funds are requested as follows:

Total Estimated Project Cost $14,896,000

Less: Federal Tax Credits 2,346,000

State Tax Credits 2,750,000

Developer Equity 150,000

Bank Financing 3,150,000

Total, This Request $6,500,000

[The Voice of Reason]

So, the developers decided they needed to switch this to an 80/20 building rather than 100% market rate

 

I have no problem with this because the rental rates dont change, they just tweaked things a little.

 

I hope they continue to move forward quickly.

 

 

 

 

Issue: Development costs, both hard and soft have caused an increase in the budget that can be

accommodated by accessing a bonus provision of the State Historic Credits which grants

additional credits with the establishment of at least 20% of the units as affordable. However, the

depth of the CRDA subsidy was initially determined in part because the deal was not seeking

assistance from affordable housing sources. Changing the unit mix from 100% market to 80/20

market/affordable does not change the under-riding pro forma as current market rents are within

the ‘affordable’ rent rates and an 80/20 split remains within CRDA policy parameters.

Nonetheless, 20% of the units will have restrictive covenants, limiting their upside and

ultimately the building’s value.

[The Voice of Reason]

In the article about 201 Ann Street, they mentioned that this project is very close to finalizinf its financing and starting work.

 

 

[beerbeer]

According to the Courant

 

"The $14.9 million conversion of 179 Allyn St. — also known as The Professional Building — into 63, one-bedroom units is expected to get underway in early December, the developer, Dakota Partners, told (a reporter) this afternoon."

 

Nice.

[The Voice of Reason]

this brings us to 99 fully financed downtown.  So, painfully clost to some honest to goodness progress again!!!!!!

 

78 more at coltsville

 

 

wonder whats next?  constitution  plaza?

 

 

Also, love the 10 month turn around plan and maybe sooner

So They expect to have this ready by next fall. 

 

I Suspect Spring 2015 is going to be big for Haaatfid

[The Voice of Reason]

Looks like its open for leasing

 

http://touch.courant.com/#section/2224/article/p2p-82764159/

 

Pretty cool to see that there are 8 units with deposits already... thats impressive I think.

 

I hope their mid summer lease out expectation is accurate.

 

and it may just be of their demand already has then at 8

[The Voice of Reason]

Occupancy update:

 

63 units in the building

12 Current occupents

11 Applicants

 

Seems like a pretty decent absorption rate to me

 

especially considering the last month would be a terrible time to move

 

 

So, it was 8 deposits on 2-10

which turned into 12 occupants by 3-13

 

I guessing the 11 aplicants will be another... what 15 occupants by 4-16?

so they would be at 27 or nearly half full  

just useless extrapolating 

[beerbeer]

June through October are the heavy moving months. This bodes pretty well.

[The Voice of Reason]

I think so too Beerbeer.

 

Right now, you got 179 ally, 201 Ann and the beginings of 777 Main about to start.

 

this pretty much means that this building got a nice 20% full before the big boys swooped in and are likely to get near 40% full before competition really heats up. 

 

the real key indicator will be the timing around these same developers doinng their project on Capitol Ave.   Those lofts will go so far in helping the area out and I gotta say I own a building right near by and the whole area is already switching from section 8 to market rate.  Im 100% off section 8 now.  its all young hospitality types and professionals.

 

If this trend continues, I can see Frog Hollow really starting to shift to being a cool place to live.  I mean... its actually an intact neighborhood.

[The Voice of Reason]

Great news

Just read on Facebook from ther CRDA head, this building is rented up and they did a ribbon cutting.

 

60 of the 63 units are rented by people in theire 20s and early 30s

 

mostly single

 

50/50 male felmale mix

 

all from outside of hartford

 

gotta love seeing success on the first phase buildings