The Bennington Redevelopment Group, LLC, which is plannig a $54 million, multi-faceted project in the heart of the downtown, recently began advertising for lease agreements, offering a chance to “live and work in downtown Bennington.”
The group is securing pre-lease and lease agreements with tenants for Phase 1 of the redevelopment plan, with anticipated occupancy in spring 2019 and encompassing the former Putnam Hotel, the Courthouse or Pennysaver Building, and the Winslow Block.
“The reaction has been great,” said Bill Colvin of the Bennington County Regional Commission, who is fielding calls from potential tenants.
“While I can’t talk about specific tenants at this point, I will tell you that we are over 50 percent committed for Phase 1 and I expect we will be at 80 to 90 percent by fall,” he said.
A full renovation of the three historic buildings at the Four Corners intersection is expected to begin in October, Colvin said, and will constitute slightly less than half the entire 205,000-square-foot redevelopment. He said Phase 1 will include approximately 26,000 square feet of retail/restaurant space and 7,000 square feet of office space, along with five two-bedroom apartments and 24 one-bedroom apartments.
Work on a second project phase is planned to begin in the fall of 2018. The entire Putnam Block project site includes six downtown structures on four acres, also including a former hardware store and lumber yard, a gas station-convenience store and a large parking lot — all located to the west of the former hotel and bordering on Washington Avenue.
A significant percentage of the leasing commitment for Phase 1 is coming from Putnam project partners and other investors, Colvin said.
The Bennington Redevelopment Group is a consortium of local institutions, businesses and individuals, formed with the objective of enhancing the downtown and the regional economy. Included are the hospital, local colleges and business representatives and individual investors.
“These commitments serve to demonstrate the attraction for and confidence in the project and its viability,” said Select Board Chairman Tom Jacobs. “I have every confidence the adage ‘when they build it they will come’ will play out.”
Colvin said that since an informational session May 4 on the Putnam project, which include an appeal for further local investment, about $500,000 in new commitments has been pledged. He said that involved “no one I can name publicly at this time.”
The town also is applying for a total of $1,250,000 in Community Development Block Grant funding to benefit the project, and Colvin said a decision on that funding is expected by July 14.
Although an agreement has been reached with the owner of the property, the Greenberg family, to purchase the site for a reported $2 million, Colvin said the closing is still “likely a few weeks away.”
One obstacle has been an easement issue involving an elevator/stairway between the old courthouse building and the Drysdale building, which is not included in the project. An agreement was reached in Superior Court on easement issues, but the parties are awaiting final review and approval by a judge.
Putnam Block major investors have said they recognize that Bennington must develop a vibrant downtown in order to attract and retain residents, both for the community and for their businesses and institutions. Companies must recruit staff members, they said, and the residential colleges understand that both students and faculty members want to see activity downtown when considering whether to locate in Bennington.
Project planners hope to receive grant funding for environmental cleanup work and historic preservation and other tax credits as part of the financing package. The development group also is asking other residents and small business owners to take part in revitalizing the downtown and the local economy by helping to cover any funding gaps.
Information on the Putnam project is available at http://putnamblock.com.
