The city is slated to receive $1 million that will be used to build a road into the former Department of Transportation property off Division Street behind the BJ’s Wholesale Club.
The money will be used to build the road, along with the installation of drainage and utilities.
The city wants to see the access road built so that 26 acres of a thin strip of land behind BJ’s next to railroad tracks can be developed.
Derby Economic Development Director Sheila O’Malley said she’s received three inquiries from developers who would consider developing the land when the road. She didn’t name them, but noted the zoning district allows a variety of uses, from light manufacturing to retail.
Two of the developers have delivered a letter of intent, O’Malley said.
The money to build the road is coming from two main sources — $800,000 from the state government, with the feds kicking in $1 million.
The state money still has to be approved by the state bonding commission.
“The city has already kicked in $200,000 as part of the design phase,” O’Malley said.
Derby hopes the developed land will create about 150 jobs and bring in about $22 million in private investment, city officials said.
It also would provide space for businesses, which helps the tax base, Mayor Anthony Staffieri said.
The city also needs to strike a deal with William Korolyshun, who owns nearby land. The city needs a sliver of his land to make the road happen.
While the new road, if developed, would be near the Derby river walk, buffers will be put into place so that it doesn’t spoil the view.
“We’ve talked about the buildings having a certain facade so that they’ll look right. There would also be landscaping between the road and the river walk,” Staffieri said. “You’d have a row of trees there.”
A start date for the project isn’t known, as the city has to wait for the state bond commission to meet.
