Major downtown Hartford mixed-use office building sells for $4.75M; property eyed for residential conversion

Downtown Hartford’s largest landlord is expanding its center-city footprint.

Brooklyn, New York-based Shelbourne Global Solutions announced Tuesday that it purchased the mixed-use office/retail complex at 242 Trumbull St. for $4.75 million, with plans to convert part of the property into apartments. 

The 324,000-square-foot property includes the eight-floor office and retail building at 242 Trumbull St., which is across the street from the XL Center; the five-floor annex building at 64 Pratt St.; and the two-floor building at 40 Pratt St.

Shelbourne said it plans to convert a majority of the property into as many as 286 residential units, while maintaining commercial tenants on the second floor, and retail tenants on the first floor. The deal gives Shelbourne control of most of Pratt Street, which the city has targeted for transformation into a restaurant and entertainment district. 

“Our intention with acquiring 242 Trumbull is to embark on the repositioning of excess office space to much needed quality housing downtown,” said Shelbourne Managing Member Ben Schlossberg. “Our developments of Pratt and Temple Streets have, in a short period of time, achieved occupancies in the mid-90% levels and the demand for additional housing downtown has been corroborated by the influx of other quality developers to this marketplace.”

The property is at the intersection of Trumbull, Pratt and Main streets. It features 14 storefronts along Trumbull and Pratt streets, as well as a 102-space parking garage with three loading docks.

Shelbourne purchased the property from Massachusetts-based Northland, which has been divesting its Hartford holdings in recent years. CBRE brokers John McCormick, Pat Mulready and Anna Kocsondy represented Northland in the sale. 

Last year Northland – once Hartford’s largest landlord – sold a historic office building at 100 Allyn St. for $1.25 million.

Shelbourne’s purchase comes even as it faces challenges with some of its other Hartford properties.

The city of Hartford recently took the 18-story apartment building at 50 Morgan St., known as The Millennium, off a list of properties scheduled to go up for tax auction, following negotiations with Shelbourne and joint owner Waterbury-based Axela Group to catch up on nearly $1 million in back taxes.

According to a statement released by Hartford Corporation Counsel Howard Rifkin, the city postponed The Millennium’s appearance on the auction block because the owners anticipate refinancing its debt early this fall.

Shelbourne is also facing a foreclosure action by a lender on three other Pratt Street buildings. Shelbourne has been working with partners to redevelop several properties on and around Pratt Street over the past couple of years, with a focus on apartments, often mixed with first-floor retail. 

Michael Seidenfeld, of Shelbourne, recently told HBJ that the effort has been complicated and delayed by COVID-19 related jumps in construction costs, and by the complexity of converting antique buildings to modern codes. 

Seidenfeld said Shelbourne hopes to negotiate additional time with the lender to complete the project. 

Shelbourne also continues to work with the lender on its Class A office building at 20 Church St., which is also facing foreclosure. 

Staff writer Michael Puffer contributed reporting.