Stratford received $200,000 from the U.S. Environmental Protection last week to help clean up the contaminated Mercer Coal towers property on Stratford Avenue, which is owned by the town. With an assessment already under way there, and clean-up grant money secured, the town will now be able to remove the towers and make the property more marketable. The town’s goal is to turn contaminated properties, known as brownfields, back into tax-generating developments.
In addition to the EPA grant to remediate Mercer towers, which essentially means to remedy deficiencies or mistakes by ways that could include removing contaminants, the Greater Bridgeport Regional Council also received $900,000 from the EPA recently specifically for the purpose of remediating brownfield properties, and some of those funds are intended for Stratford.
It is not yet clear how much of that money will be allocated here, but Stratford Director of Economic Development Karen Kaiser welcomed the news: “The timing is perfect. The town is also foreclosing on the corner property by Mercer Fuel,” helping to assemble contiguous properties for marketing and resale.
Redevelopment agency
Kaiser’s office has been working closely with the Stratford Redevelopment Agency (RDA) to market various brownfield properties around town. When Mayor John Harkins formed the RDA in late 2012, the goal, according to RDA Chairman Thomas Malloy, was to bring tax-delinquent properties of all kinds, including brownfields, back onto the rolls.
Emphasizing that the RDA works alongside other departments, Malloy stated, “The RDA is not a unilateral authority and we present our findings and recommendations to the Town Council for ultimate approval.”
Malloy said that the town received another grant in mid-May — approximately $145,000 from the annual Federal Community Development Block Grant (CDBG) — aimed at general improvements of properties throughout cities and towns. That appropriation was going to be used for removing the Mercer Coal towers, but after receiving the new EPA grant, Kaiser said that the money from the CDBG can now be used to help remediate other properties.
Stratford Conservation Administrator Brian Carey estimates the Mercer towers will be removed in late fall of this year.
Budget adds to urgency
The timing of the grants is advantageous for the town as the 2015 municipal budget calls for $4.5 million in revenue to be raised from the sale of properties currently owned by the town, potentially including Mercer Fuel. Both Kaiser and Malloy believe securing grants will help improve the chances of selling the properties.
Councilman Jason Santi, (D-4th) had reservations about the likelihood of the town selling brownfield properties, and he voted against the budget. According to Santi, he voted no for several reasons, including the uncertainty of these properties actually selling. He said, “This could potentially create a budget gap if the sales do not come to fruition .… My opinion is this about the sale: I hope the town does sell the properties and we could make sure the town sees some increased tax revenue.”
Regarding the potential risk of not selling the properties in time, Malloy said that he believes the revenue goal is “definitely attainable,” noting that the town is currently in negotiations with developers who are interested in buying properties. When asked for further details about who might actually purchase the properties, both Malloy and Kaiser said they did not want to jeopardize the process by commenting prematurely. For his part, Councilman Santi said it was difficult to vote in favor of the budget proposal without having more information about the properties available for review.
According to Kaiser the $4.5-million figure is actually “an extremely conservative estimate,” because it does not take into account the nearly 15 other commercial properties currently in the pipeline for foreclosure and resale. “We are grateful for the EPA grants because they help bring the properties back up to market value, which will in turn improve neighborhoods and help increase property values in the bordering areas,” Kaiser said.
Sites handled differently
While it is possible to market the properties at a lower cost to a private developer who would assume liability for cleanup, Kaiser believes the properties are easier to market if the work is done ahead of time. Cleaning up the properties before resale would “obviously be more beneficial, and with the help of the brownfield assessment grants, the town has wiped out nearly a year of research for developers.”
Of the 15 additional properties, Kaiser said that it is not yet known how many will actually be designated as brownfields. Brian Carey clarified that while there are many brownfields in Stratford, not all will require the same kind of remediation. “There are 80 potential commercial brownfield sites. The key word is potential,” Carey said. “It does not mean that the town will be involved to the same degree on every site that is encumbered by contamination. It is just an estimate.”
Other town-owned brownfields
Kaiser said that the 540 Longbrook Avenue site, formerly home to Contract Plating, will benefit significantly from the new I-95 Exit 33 interchange — a key selling point for potential buyers. She believes the interchange will open up direct access to that part of Stratford. “This will be huge for the whole area. It is a prime location for redevelopment,” Kaiser said.
On June 9 the Town Council approved a motion for the Town Attorney to draft a contract for a lease-with-option-to-purchase 993 Honeyspot Road, formerly Peasley Products. Negotiations with an interested party are underway.
Town officials are advertising Mercer towers, 540 Longbrook and 993 Honeyspot nationally and working with the GBRC, which has developed a software tool for the region to pull demographics and identify voids in the community. According to Kaiser, both her department and the RDA are actively contacting businesses and are also working with commercial brokers, national developers, the Department of Economic and Community Development (DECD) and Connecticut Innovations to market the properties.
Water facilities land
When asked about a possible sale of the town’s nine acres of land on which Water Pollution Control facilities sit, Kaiser was quick to point out that it is a “totally separate” issue.
That property is being handled by the mayor’s office, with ultimate approval required by the Town Council. Harkins has explored the possibility of selling the land and regionalizing the WPCA operation, but according to RDA Chairman Malloy, “The WPCA is not a part of this effort, but regionalizing is a possibility down the road,” but one that carries with it a host of complications as it is publicly owned and operated.
With EPA grant money to help, the town aims to finish an assessment of contamination at this Mercer Coal property at 2350 Stratford Ave., remove the towers, clean up the property and sell it for redevelopment. Lina Rainone photo.