🔒Hartford details proposed tax break for 125-unit affordable housing project

Hartford officials have released the financial terms of a proposed tax abatement for the planned 125-unit Edge 400 affordable housing development on the former Apple Xtreme Cinema property in the city's Parkville neighborhood. Under a proposed 15-year tax-fixing agreement, the project's owners would pay combined annual property taxes of $120,000 during the first year after construction is completed — $55,000 for one apartment building and $65,000 for the other. Those payments would increase by 2.5% annually during the initial term of the agreement. The owners would also have the option to renew the agreement for two additional five-year terms if the project's affordability requirements continue to be met. The City Council earlier this week referred the proposal to its Planning, Economic Development and Housing Committee for review. The proposed agreement covers two apartment buildings planned at 332 and 344 New Park Ave., with a combined estimated completed value of $18.75 million. During the anticipated two-year construction period, the properties would continue to be taxed based on their current assessment. If construction does not begin within two years after the agreement is signed, the tax-fixing agreement would become void and the properties would revert to Hartford's standard tax assessment. If construction begins but is not completed, the city reserves the right to adjust the tax terms. The agreement also requires the developer to complete construction within two years of receiving a building permit, comply with the city's living wage and minority- and women-owned business participation requirements, and make a good-faith effort to ensure that 30% of construction hours are performed by Hartford residents. The development would include two mixed-use buildings with 125 affordable apartments, resident amenity space and ground-floor retail. A 70,678-square-foot building at 344 New Park Ave. would contain 64 apartments affordable to households earning between 30% and 80% of the area median income. A 65,311-square-foot building at 332 New Park Ave. would include 61 apartments affordable to households earning between 50% and 80% of AMI. The project is proposed by EG1 Owner LLC and EG3 Owner LLC. State business records connect the limited liability companies to Marc Daigle, principal and CEO of affordable housing developer Dakota Partners. The apartment buildings would be constructed on what is now a vacant parking lot that formerly served the Apple Xtreme Cinema, which closed earlier this year. The affordable housing project is part of a broader redevelopment envisioned for the former theater property that could ultimately include more than 300 apartments, a reimagined entertainment venue and additional commercial uses.