Members of the city’s redevelopment agency got a primer Tuesday on what could be coming if a New York State developer acquires the former Housatonic Lumber Co. on Factory Street.
Operative word — “if,” because there are still plenty of them when it comes to the redevelopment of 22 acres on the south side of Main Street stretching along the Housatonic River from the Derby/Shelton Bridge to the former Lifetouch business.
Southern Realty and Development of Warwick, N.Y. has made an offer to buy the former Housatonic Lumber Co. from Farmington Savings Bank, which took control of the property after Housatonic closed its doors earlier this year after a century in Derby.
Southern Realty is also in negotiations to buy the property formerly belonging to Lifetouch, which also closed its doors earlier this year.
The plan, really more of a concept at this point, is for Southern Realty to fill the Housatonic Lumber Co. and Lifetouch properties with a grocery store and pharmacy.
According to Derby Economic Development Director Sheila O’Malley, if Southern Realty is successful, they would (potentially) be joined by at least one other unnamed (at this point) residential developer from Shelton to create senior citizen affordable housing along the shores of the Housatonic River, on land stretching toward the Derby/Shelton bridge.
A mixed use of retail and commercial space would dot the area along Main Street, and a parking garage would be built to accommodate the new traffic.
Click the video to watch Southern Realty representative Tom Hill outline the company’s plan for downtown Derby at a meeting in July.
That’s all according to a sketch O’Malley presented to members of the Derby Redevelopment Agency at their Tuesday meeting.
Now, the caveats.
First, Farmington Savings Bank is also considering an offer from another company, who just bid $900,000 for the Housatonic Lumber Co. during an Aug. 6. auction for the property.
Second, Another company, Triple Play of Trumbull, wants to build a sports complex with playing fields on the northern end of the redevelopment zone.
O’Malley said the company is still interested in pursuing the project.
Whether that plan would jive with the one being planned by Southern Realty remains to be seen.
For her part, O’Malley said that, given the recession, the idea that a single developer could come in and develop all 22 acres seems impossible.
“I think you need the other developers in place to get financing for this project,” O’Malley said.
Finally, there is a lawsuit pending from Ceruzzi-Derby Redevelopment, LLC, the developer originally chosen to do the project, then removed by city officials, citing a lack of progress.
O’Malley said more concrete details regarding the latest version of the redevelopment plan will probably be revealed at next month’s meeting of the redevelopment agency.
By that time, Southern Realty may present a detailed master plan of their intended use for the area.
