Another proposal for Army engine plant

FILE: Stratord Army Engine Plant FILE: Stratord Army Engine Plant Photo: Morgan Kaolian AEROPIX, Connecticut Post Contributed Photo: Morgan Kaolian AEROPIX, Connecticut Post Contributed Image 1 of / 6 Caption Close Another proposal for Army engine plant 1 / 6 Back to Gallery

STRATFORD -- The federal government has green-lighted yet another proposal from a company seeking to purchase, remediate and develop the long-vacant Army engine plant property.

Point Stratford Renewal, a collaboration of at least three separate Connecticut companies, won approval from the General Services Administration on Monday to enter into a purchase and sale agreement to redevelop the sprawling waterfront brownfield. The companies joined on the project include Plainville-based Loureiro Properties LLC, Hartford-based Development Resources LLC and Greenwich-based Sedgwick Partners LLC.

The pending deal is the latest in a long line of proposals to get the 78-acre parcel back on the town's tax roles. If the current developer is successful, the project could be a major turnaround for Stratford, a town that for years has sought a renewal of what was once the site of one of the region's biggest employers.

Neither Mayor John Harkins nor his staff have met with the selected developers or had an opportunity to review their proposal.

"We are excited, but we don't want to jump the gun," said Marc Dillon, Harkins' chief of staff. "When they announce the sale, we'll have something to talk about."

Point Stratford Renewal has until Nov. 6 to execute a purchase and sale agreement for the property, according to an approval letter from the GSA.

At this point, it's unclear whether the site would be developed for housing, retail or industry. But Dillon said it's his understanding that it would be developed for light industrial use.

"It's not going to be affordable housing or a 500-square-foot museum or something like that," he said. "It's going to be light industrial use, but from my understanding (the developers) are somewhat flexible. It's going to be based on what the market will bear."

One failed development plan after another has been proposed for the Army plant, a site littered with an undetermined amount of contamination. The Army stopped manufacturing there nearly two decades ago, turning the property over to the town. But the town made no progress, so the federal government took it back in 2007.

The biggest obstacle to the property's sale has been the federal government's unwillingness to detoxify the property. The cost of cleaning up the factory grounds has been estimated in the millions.

In 2008, the GSA tried to sell the property in a live online auction. The result was a $9.6 million deal to transform the site into a campus of multimedia production studios under the name Hollywood East. The sale ultimately collapsed because investors couldn't secure enough funding.

Last year, the federal government rejected a local real estate developer's proposal to build a destination resort at the plant. Milford-based developer Bob Hartmann of Hartmann Development submitted the only bid in the GSA's third attempt that year to auction off the brownfield. The two prior auctions drew no bidders.

The plant has a long history in aviation and military history. It was built in 1929 by Sikorsky Aircraft for construction of seaplanes. The seaplanes, including the "Flying Clipper," were used during the two world wars, pioneering international routes across the Atlantic and Pacific Oceans.

During World War II, the plant constructed military aircraft, including the Corsair, a fighter-bomber aircraft.

The plant closed in 1998 when production was shipped out of state, resulting in thousands of jobs lost.

Meanwhile, it sits virtually unused while the taxpayers foot the multimillion dollar bill for utilities and a maintenance crew to tend to the property.

In a prepared statement, U.S. Sen. Richard Blumenthal, D-Conn., said he looks forward to a renaissance at the Army property that will bring jobs and economic growth to the town and the rest of the state.

"Better late than never -- this step is a breakthrough for beneficial use of an historic site," he said.

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