Pharmacy, Grocery Store To Replace Lifetouch, Housatonic Lumber?

A commercial real estate broker representing an out-of-state developer said his client wants to build a pharmacy and a grocery store at the site of Lifetouch and Housatonic Lumber in downtown Derby.

Tom Hill, a commercial real estate broker, told the Derby Redevelopment Agency Tuesday night that he represented John Joseph, of Southern Realty and Development in Warwick, N.Y.

Hill said he is in purchase negotiations with the Lifetouch property owners through their listing agent, John Izzo, of Weichert Realtors. 

Hill said he is also negotiating with Farmington Savings Bank, the entity now controlling Housatonic Lumber.

Both Lifetouch and Housatonic Lumber went of business during this recession. Housatonic Lumber had been in Derby for a century.

Hill spoke briefly to the Redevelopment Agency Tuesday, saying a movie theater and affordable housing for seniors are also possible for the site.

He would not say specifically what pharmacy or grocery store wants to come to Derby. No contracts have been signed, Hill said after the meeting.

Southern Realty and Development’s local projects include a CVS on Bridge Street in Naugatuck.

The city had been pursuing a redevelopment project with another developer but, citing a lack or progress, threw that developer off the project.

Ceruzzi-Derby Redevelopment LLC, the developer, is now suing Derby for some $25 million.

The redevelopment zone in question is across from City Hall, stretching south along the Housatonic River.

Another company, Triple Play, of Trumbull, wants to build a sports complex with playing fields on the northern end of the redevelopment zone.

Economic Development Director Sheila O’Malley said the company is still interested in pursuing the project.

Izzo, meanwhile, the real estate agent representing the Lifetouch property owners, said new developer blood could be just what downtown Derby needs to kick-start its downtown redevelopment project.

The city realizes there isn’t one developer that can do the whole project. They realize that,” Izzo said. 

Ken Hughes and Joseph Bomba, both members of the Board of Aldermen and the Redevelopment Agency, said the city will take a look at every proposal in the redevelopment zone.

How are we going to know what works and what doesn’t if we don’t look at it,” Bomba said.

Some merchants who have businesses in the redevelopment zone also welcomed the idea of splitting the redevelopment zone up between several developers.

We’ve been saying it all along. It shouldn’t go to one developer,” said Arlene Yaccobacci. Her husband, Carl, owns Yaccobacci Custom Cabinetry.

Several property owners in the redevelopment zone have a lawsuit pending against the town. They want the city to purchase their properties, but at a better rate than what the city is offering.

Soil Testing Money Available

In related downtown redevelopment news, O’Malley announced the city — through the EPA and the Valley Council of Governments — has received $12,000 for phase 1” and phase 2” testing for merchants in the redevelopment zone.

The tests will see whether the properties are contaminated — and how much contamination is on a property.

Letters to merchants will be going out this week, O’Malley said.

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