A team of investors pursuing a massive, mixed-use redevelopment of the roughly 50-year-old Founders Plaza office park in East Hartford has walked away from a tentative purchase of one property in the area.
Last week, a 25,392-square-foot, 1973-vintage office building at 50 Hartland St., commonly known as 50 Founders Plaza, was listed for sale by O,R&L Commercial, at an asking price of $1.65 million.
O,R&L Managing Partner Jay Morris said the developers behind the “Port Eastside” development had been under contract to buy the property, but backed out of the deal in August, prompting the owner to put it on the market. There has been brisk interest and already a couple of potential buyers have scheduled visits, he said.
The investment and development team behind Port Eastside last year announced a grand vision for about 1,000 apartments mixed with retail, medical office, recreational and entertainment spaces in a multi-phase redevelopment of Founders Plaza.
Last summer, Port Eastside LLC paid $4 million for a 182,890-square-foot office building on 7.34 acres at 20 Hartland St. (also known as 99 Founders Plaza). Nearly a year later, in late July, another LLC whose principal is Port Eastside team member Harris Simons paid $7 million for a vacant 70,350-square-foot “flex” office building on 6.5 acres at 300 East River Drive.
The Port Eastside team is close to sealing a purchase of the 270,106-square-foot, 19-story office tower at 323 Pitkin St., known as 111 Founders Plaza, with hopes to transform at least portions of the building into apartments.
The development’s partners include Hartford-based developer Lexington Partners, Hartford-based investor and businessman Alan Lazowski, Hoffman Auto Group Co-Chairman Jeffrey S. Hoffman, Manafort Brothers Inc. President Jim Manafort, Peter S. Roisman, head of Houston-based multifamily investor REV, as well as Figure 8 Properties principals Harris and Bruce Simons
The property at 50 Hartland St. is tucked against the southeast corner of 20 Hartland St. The property at 300 East River Drive is just across Hartland Street.
Morris said the three-story office building at 50 Hartland had been partially emptied in anticipation of a sale to the Port Eastside developers. About a quarter of the building is still occupied with tenants on short-term leases. He is marketing the building as an opportunity for redevelopment into apartments, an appealing prospect considering plans for large-scale redevelopment on surrounding properties.
“I think that’s a benefit,” said Morris, who is brokering the property along with Kyleigh Caron, of O,R&L. “Having new apartments around it is definitely a plus. There is good demand. It’s a great location and the bones of the building are good.”
