🔒$75M condo project, Ernst & Young relocation highlight West Hartford’s appeal

Construction is set to begin in early September on a $75 million, 58-unit luxury condominium project in West Hartford Center.

At the same time, a $1 million renovation will get underway on a neighboring office building that will soon house a major Connecticut office for Big Four accounting firm Ernst & Young, which is relocating from downtown Hartford.

The developments, both involving prominent real estate investor Marc K. Lewis, underscore the strong investment interest that has transformed West Hartford Center over the past two decades, experts say.

The town of about 64,000 residents has more than 1,200 multifamily units under construction or in the development pipeline, and continues to buck national trends when it comes to office space demand.

While many cities and towns have struggled to fill office vacancies in the wake of the pandemic, West Hartford is grappling with a shortage of available space, forcing developers and landlords to think creatively about how to bring new product to market.

“We have the ability to accommodate smaller (office) users, but those larger spaces, we just don’t have right now,” said Kristen Gorski, West Hartford’s economic development coordinator.

‘High-end, super modern’

Lewis is one of West Hartford’s largest landlords — he owns 10 commercial buildings in town, with eight located downtown. He is partnering with the Manafort family and Figure 8 Properties, led by Bruce and Harris Simons, on the “Center Park Place” condo project.

The development will rise on 2 acres of parking lots that have served Lewis-owned office buildings off Farmington Avenue and LaSalle Road.

Lewis said he and his Arapahoe Group partners in late August secured $50 million in construction financing from Westfield Bank, Guilford-based Ascend Bank and Thomaston Savings Bank, clearing the way for work to begin this month.

Plans call for three levels of parking to serve both condo residents and nearby office tenants, topped by a crescent-shaped building with four floors of luxury residences. Amenities will include an elevated outdoor pool, high-end fitness center, landscaped rooftop lounge and first-floor concierge service.

“This is a very high-end, super modern steel-and-concrete building,” Lewis said, adding that one would have to go to Boston or New York City to find its match.

Coldwell Banker Realty’s Kate D’Addabbo said buyers have already placed deposits on about 30% of the condos. Units are priced between $900 and $1,150 per square foot, meaning an 1,850-square-foot condo would cost roughly $1.85 million.

Some buyers have reserved multiple units to combine them into larger spaces.

“That’s why it’s so attractive, because it offers a luxury solution, which is totally walkable, which is what almost everybody wants,” D’Addabbo said. “It’s going to be a beautiful building in a very desirable location. And you have all of West Hartford Center outside your door.”

As work on Center Park Place approaches completion in about two years, the partners plan to break ground on a neighboring five-story, 25-unit luxury apartment building at Arapahoe and LaSalle roads. Plans also call for a 3,470-square-foot ground-floor restaurant space and public pocket park.

Lewis noted that Center Park Place represents the first new luxury condominiums in downtown West Hartford since Blue Back Square opened nearly two decades ago.

D’Addabbo said property values in town have soared as new restaurants and shops have opened and local officials invest in infrastructure.

“It’s very intentional, and it’s working,” she said.

‘The place people want to be’

Lewis is also preparing a $1 million overhaul of his 1985-vintage, three-story office building at 1001 Farmington Ave., to accommodate Ernst & Young.

The accounting firm, which has Connecticut offices in downtown Hartford’s Stilts Building and Stamford, signed a 10-year lease for 14,235 square feet, according to land records. Lewis will upgrade the property’s windows, elevators, rooftop HVAC units and façade.

That work is slated for completion in March 2026. After that, Ernst & Young will undertake extensive interior renovations, he said.

“It will be a modern, jewel-box building,” Lewis said. “It’s pretty noteworthy to bring Ernst & Young into West Hartford.”

Nearby, Blue Back Square — the mixed-use retail, residential and entertainment complex in the heart of West Hartford Center — recently filled its 239,000 square feet of office and medical space. Blue Back, which has about 450,000 square feet of space overall, now has a waitlist for the next available office space, due to open in 2028.

"The convenient amenities available at Blue Back Square - including shops and restaurants - are highly valued by office tenants, as they provide everything employees could want or need just steps away from their workplace," said Connor Nolan, senior director of leasing for Brand Street Properties, which manages Blue Back. "Office tenants know that the West Hartford community is a great place to live and work, and the continued demand for space for employees has reinforced that."

Demand for West Hartford office space is a stark contrast to neighboring downtown Hartford’s much larger office market, which is grappling with significant vacancies. CBRE reported Hartford’s Class A office availability rate was 28.3% in the second quarter, but other estimates place it closer to 41% when including sublease space and leases set to soon expire. Hartford’s largest office tower — the 38-story, 1.1 million-square-foot City Place I skyscraper — was less than half occupied this spring.

West Hartford’s office vacancy rate stands at just 6%, according to Gorski, the town’s economic development chief. Most available spaces are under 1,500 square feet, while town staff continue to field calls from brokers and companies looking for 8,000 square feet or more, Gorski said.

According to CoStar, West Hartford has just over 2 million square feet of office space, while Hartford has over 24 million square feet of total inventory.

Larry Levere, director of office brokerage for Sentry Commercial, said downtown West Hartford office space commands rents of nearly $40 per square foot — $10 higher than other area markets.

“For whatever reason, it’s the place people want to be,” Levere said. “There is a great retail environment. If you work there, anything you want to accomplish on your lunch hour is within walking distance. It’s a great place to hang out after work.”

Levere said he’s had difficulties finding space for a client seeking a 5,000-square-foot office in downtown West Hartford.

Investing in the future

Those same forces are driving multifamily development in town, officials say.

Developers currently have 687 apartments under construction in West Hartford, with another 551 units in the development pipeline, according to Gorski.

“Businesses want to attract workers with a place that has a lot of amenities, and West Hartford Center is that place, Blue Back Square is that place,” said Mayor Shari Cantor.

Cantor said the launch of Center Park Place reflects the town’s long and careful, yet robust, strategy fostering downtown vibrancy.

“We are really thrilled we are at this point and financing has been secured,” Cantor said. “It represents a real investment in the heart of our town, creating the vibrancy, the energy and the foot traffic that will help our businesses every day.”

The town is also investing in infrastructure, with a $10 million streetscape overhaul backed by federal American Rescue Plan funding. Work is underway along LaSalle Road and will expand to Farmington Avenue next year.

“Infrastructure investments, while a pain to go through, like redoing your kitchen, it does show the town is investing in this area,” Cantor said.