City To Consider Subsidizing Developer For Riverfront Apartments

The Economic Development Commission at its Monday meeting considered a request for a large subsidy to a private developer who has plans to build a large apartment complex close to the Connecticut River, on River Road. According to the draft minutes, the Commission unanimously recommended a 7-year tax abatement and a cap on the cost of building permits for the project.

The project was described as "upscale residential apartments", it would consist of up to 200 apartments with rents of $1200 for a studio. They would be built on a 7.7 acre parcel on River Road, near its intersection with Eastern Street, behind Meadow Meats.

The developer is asking the city for tax abatements, a discount on building fees, a zoning overlay, and enforcement of blight ordinances on neighboring properties.

According to the draft minutes, "The company is requesting a tax freeze for 4 years and a phased in tax rate of 20% in year 5, 30% in year 6, 40% in year 7 and 50% in year 8 then a full tax rate yielding $500,000. Smith stated the project budget has a $450,000 cap for utility and building permit fees. The assistance would allow for the project to be constructed and build cash flow."

With the EDC endorsement, the Common Council will hear a presentation on the project at its September 4th meeting.

Rolling the turbines up River Road

I happened to be at WMRD to appear on The Best of the Valley Shore and to talk Don DeCesare about the Middletown Eye.

When I got to River Road, it was blocked off to allow passage for one of the giant turbines heading toward Kleen Energy to pass. The turbines, which came in on the River, are transported on what to amounts to a 60-wheeler to distribute the weight properly.

Update on NRG gas turbines

Follow-up to this morning's report in the Hartford Courant.

NRG spokesman Ray Long said that the gas turbines to be installed at the NRG site on River Road are four small, state-of-the-art natural gas burning turbines (LM6000's - GE technology based on jet engines). These turbines can also burn low sulfur fuel oil, if necessary. According to Long, these turbines burn natural gas cleanly and efficiently with "low" CO2 and Nitrous Oxide emissions.

The turbines are water-cooled and will use water drawn from existing wells on the NRG site. The turbines will only run during demand at peak capacity (as determined by the grid-regulating entity known as ISO).

Power generated by these turbines will leave the site on existing 345 kilowatt lines.

NRG would like to break ground next year, but construction is pending state DEP approval. Their goal is to have the plant operating by 2011 to improve electrical grid reliability.