CRDA subcommittee approves $22.5M in low-interest loans for major Hartford, East Hartford multifamily developments

A CRDA subcommittee on Friday morning approved $22.5 million in loans to facilitate development of 239 apartment units just south of Hartford’s Bushnell Park, and another 150 along the Connecticut River in East Hartford. 

The approval by the CRDA Housing and Neighborhoods Committee is just one hurdle. The low-interest loans will also need approval from CRDA’s Board of Directors, as well as the state Bond Commission. 

CRDA is proposing $16 million in loans to help Spinnaker Real Estate Partners build two new apartment buildings on parking lots wrapping around a 3.2-acre property at 55 Elm St., where the Norwalk-based developer is converting two former state office buildings into 164 apartments. That $66 million effort is nearing completion, with apartments in the smaller of the two buildings already renting. 

CRDA is backing the Spinnaker projects as part of a broader vision to transform about 20 acres of vacant lots and surface parking south of Bushnell Park into a vibrant neighborhood mixing multifamily housing, retail, restaurants and entertainment opportunities. 

Spinnaker plans to add a 127-unit building with 3,250 square feet of retail space at 65 Elm St., a project it budgets at $36 million. The developer aims to add a 112-unit apartment building with 5,250 square feet of retail space at 100 Capitol Ave., a project budgeted at $33.16 million. 

The CRDA subcommittee on Friday also forwarded Simon Konover Co.’s request for a $6.5 million low-interest loan in support of a 150-apartment development along the Connecticut River. 

This $47.5 million development is proposed for a roughly 35-acre property at 341 East River Drive, which the West Hartford developer has owned for more than four decades.
 
Konover originally planned to build office space along the riverfront, near the Founders Plaza office park. Now, CRDA and East Hartford officials are working with a group of prominent area businessmen and investors to transform much of the roughly 50-year-old office park into multifamily housing. 
Konover’s proposal is expected to complement that effort.
 
Konover’s property neighbors the Great River Park, American Eagle Financial Credit Union and Two Rivers Magnet School. Early plans call for five, three-story buildings surrounded by parking. 

The development would include a clubhouse, fitness center, remote workspaces, community room, café, pool, outdoor lounge and grilling stations.