March 12, 2026

CT Construction Digest Thursday March 12, 2026

Plainfield rejects Costco's request to rezone land for massive warehouse

Alison Cross

Plainfield — Costco’s controversial proposal for a massive 1.1 million-square-foot distribution center on the Plainfield-Canterbury town line hit a major roadblock on Tuesday after the Planning and Zoning Commission rejected the company’s request for a zone change.

Costco’s plans to construct a tractor-trailer driveway from Route 12 in Plainfield to a future distribution center in Canterbury hinged on the company’s application to rezone 150 acres of residentially zoned RA-30 land and 60 acres of I-1 Industrial land into an I-2 Industrial classification.

After three months on the commission’s agenda, the requested change was rejected on Tuesday.

Vice Chairman John Meyer, Secretary June Gagne and Alternate Catherine Mestemaker-Harris voted against a motion made by Alternate Zulfiqar Ali and seconded by Chairwoman Karla Desjardins that would have rezoned the I-1 parcel at 1197 Norwich Road and its abutting property at 407 Tarbox Road into I-2 Industrial and left the remaining RA-30 parcels untouched.

“I think it's reasonable for people that are living in a residential section to expect that area to stay residential, so I don't see any reason for a zone change,” Mestemaker-Harris said during a discussion before the vote.

Gagne expressed sympathy for abutting property owners who spoke against the project during public hearings, and highlighted the impact of increased truck traffic on the community.

“I don’t like the project at all,” Gagne said.

"We have more development than we have conservation right now," Gagne added later in the discussion. "The balance is off.”

During the vote, a member of the audience raised a point of order, saying that if a member of the commission has shown a bias toward the project, they should not be allowed to vote on the application. Desjardins did not recognize the point of order and told the audience member that concern could be raised in an appeal, not during Tuesday’s meeting.

Seth Katz, assistant vice president of real estate for Costco, declined to answer questions about what the outcome means for the project.

“We don’t comment publicly outside of public presentations,” Katz said.

Selectman Michael Surprenant, who backed Costco’s proposal, deferred all questions on the decision to the first selectman, adding that he suspected that “there’s going to be some litigation tied to this.”

First Selectman Kevin Cunningham, who supported the project, said he appreciated the commission's work, and added that he hopes “they do the same diligence on every project” after noting that “the board labored over this issue for a few months.”

“It’s really going to be up to what Costco would like to do at this point,” Cunningham added. “I'm sure they're going to regroup and talk about what their next steps will be, and I'm going to reach out to them and see what they're doing.”

Pauline Blais, whose home in the Toper Road, North Street and South Street neighborhood would have backed up against the proposed warehouse facility, said she was “so happy” about the commission’s decision.

“Costco doesn't think enough of our area to build a store — they just want the land for a warehouse,” Blais said. “All they want Plainfield for is a pass through to get onto the highway. They're going to ruin our roads, they're going to congest traffic, it's going to be awful. So yes, I’m thrilled to death with this (decision).”


Port Eastside in line for $6 million state grant to support 240 new apartments in East Hartford

Joseph Villanova

EAST HARTFORD — A plan to overhaul 30 acres of commercial land along the Connecticut River will be supported by a new $6 million state grant.

State legislators announced Tuesday that the State Bond Commission would approve in the near future a $6 million grant through the Community Investment Fund for Port Eastside, an $840 million redevelopment of 30 acres of land on and surrounding Founders Plaza, with as many as 1,000 residential units alongside a new parking garage and accompanying storefronts and restaurants.

The East Hartford delegation said in a statement that the $6 million grant would assist the developer with a planned conversion of the 19-story office tower at 111 Founders Plaza into an apartment building with some 240 residential units and "high-quality amenities."

Other funding publicly discussed for the project includes a $6.5 million state grant secured by East Hartford in 2024 to help pay for the aforementioned demolition, $170,000 from the State Bond Commission in 2025 for preliminary parking garage designs, and an anticipated $20 million loan from the Capital Region Development Authority discussed by development partners in 2025.

Bruce Simons, partner with Port Eastside and principal of Simons Real Estate Group, said in a prepared statement Tuesday that the grant is "essential" to transform the distressed office building, a cornerstone of the wider development that the team is excited to move forward in collaboration with the town of East Hartford.

"Today's action by the Community Investment Fund 2030 Board will help catalyze the transformation of a dormant commercial district into a vibrant, mixed-use residential, commercial, entertainment, and retail neighborhood," Simons said.  

Site work at Founders Plaza is underway, with Simons stating Tuesday that demolition of the former Bank of America and parking garage is expected to be completed by the end of April. Port Eastside developers have said the project's next steps will be construction of a new parking garage and conversion of the 111 Founders Plaza building. 

State Sen. Saud Anwar, D-South Windsor, said in a prepared statement Tuesday that the project is "the perfect kind of community investment," a development that expands housing opportunities, creates jobs, and generates more than $1 million in local tax revenue.

Port Eastside was announced in 2023 as a plan to bring vitality back to an underutilized commercial area fronting the Connecticut River. Redevelopment of Founders Plaza has been a focus of town administrators, including former Mayor Mike Walsh, who took office in 2021 and announced in July 2023 that he would not to seek reelection so he could serve as a "champion" for the project. At the time, Walsh said that "nine mayors, including me, over 50 years have had no success developing Founders Plaza."

The developers behind the project spent much of 2023 and 2024 designing the project and acquiring the parcels that make up Port Eastside. In 2025, the state passed a bill establishing the Port Eastside Infrastructure Improvement District to help finance the project. Once an "interlocal agreement" between the district and the town is completed, the district will be able to issue up to $125 million in bonds for infrastructure through tax incremental financing, allowing it to pay for debt service with a portion of the municipal taxes that would typically be collected on the property by the town.

A potential conflict arose between Port Eastside and state Department of Transportation officials in February, when the DOT asked lawmakers to repeal part of the Port Eastside Infrastructure Improvement District bill that exempted the project from several traffic laws, but Simons said at the time that the developer was receptive to the DOT's proposal and the amendment would "allow us to collaborate even more closely with them on this transformative project."


Niantic mixed-use development breaks ground

Jack Lakowsky

East Lyme — A mixed-use, market-rate housing and business development broke ground Wednesday in Niantic, with the developer saying the three-story building will be finished within 12 months.

David Preka, CEO of Advanced Construction and ZDM Properties, said the new Main Street building, which will have 18 total apartments on upper floors and first-floor commercial space, has already garnered interest from businesses and prospective renters.

"Where else are you going to find an environment that's walking distance to the most beautiful place: down by the water," Preka said just before the groundbreaking ceremony at 338, 344 and 348 Main St., attended by local and state officials. The building is a quick stroll from Hole-in-the-Wall Beach.

Preka said he aims to offer tenants the amenities of an apartment building in New York City, like an indoor gym, but at much more affordable prices. It will formally be known as "The Anchor Building."

The units will be market rate. Commissioner for the Connecticut Department of Housing Seila Mosquera-Bruno said as the state tries to diversify its housing and create more living opportunities, market-rate apartments still have an important role in that effort.

"We need all types of housing," she said. "We need to make sure that we meet the needs of our residents."

After Preka first pitched the project to the town in 2023, supporters said it would open Niantic up to housing more workers from Electric Boat as it expands its workforce, while opponents worried about increases in traffic. They also opposed the demolition of the three buildings that used to occupy the property, including the former location of Cafe Sol, which now operates down the road near Niantic Center School.

One of the buildings, a 130-year-old house, had fallen into disrepair. The buildings were demolished last fall.

"I think it will be a terrific addition to East Lyme and Niantic," First Selectman Dan Cunningham said in his remarks.

Land records show Preka bought the 344-348 Main St. property, which includes the house next door, in 2022 for $775,000. The company purchased the neighboring office building at 338 Main St. in the same year for $770,000.

Preka has become a major business presence in the region over the last few years. Last year, he purchased the Morton House east of the new building for $3.7 million. Preka said at the time said he has no plans to demolish the 160-year-old building.

He also bought Muddy Waters at 42 Bank St., New London, in 2020 and the former Liberty Bank in the city in 2022, turning it into office space and several apartments.


Developer returns with larger 669-unit housing proposal for former insurance campus in Simsbury

Greg Bordonaro

A developer is advancing plans for a large housing project on the former Hartford Insurance campus in Simsbury, proposing a 669-unit residential development on land where a smaller apartment project was previously rejected by the town.

The Silverman Group recently submitted a wetlands permit application tied to the redevelopment of the 12-acre Hartford South property at 200 Hopmeadow St.

Town Planning and Community Development Director George McGregor said the application was filed with Simsbury’s Inland Wetlands Agency because the proposal includes construction within the site’s upland review area.

He said the developer has indicated it intends to submit a separate application to the town’s Zoning Commission under Connecticut’s affordable-housing statute, known as 8-30g, for a 669-unit mixed residential project.

Under state law, the wetlands review must be completed before the zoning application can move forward.

Plans submitted with the wetlands filing show a mix of housing types, including apartment buildings, duplex units and single-family homes.

The proposal follows a lengthy dispute over redevelopment of the site.

Simsbury’s Zoning Commission in 2024 rejected a prior proposal from The Silverman Group to build 432 housing units on the property. The developer had initially proposed about 580 units before scaling the plan back during the approval process.

Silverman Group later sued the town, arguing the commission acted improperly in denying the application. A Superior Court judge earlier this year dismissed that lawsuit, court records show.

The property was once part of The Hartford Financial Services Group’s large suburban office campus. The insurer announced in 2013 that it would close the Simsbury site and relocate roughly 1,500 employees to its Hartford and Windsor offices as part of a real estate consolidation strategy.

Silverman Group purchased the campus in 2016 for $8.5 million and later demolished roughly 640,000 square feet of office space on the property.

Part of the former campus — known as Hartford North — has already been redeveloped. McGregor said that 36-acre section now includes 299 multifamily units, about 18,000 square feet of commercial space and a 120-unit assisted living facility.



Andrew Larson

The state’s Public Utilities Regulatory Authority on Wednesday issued a reconsidered final decision in Yankee Gas’s rate case, approving an annual revenue requirement of $806.7 million — a $86.7 million increase over the Eversource Energy subsidiary’s currently authorized revenues.

The decision, which rescinds and replaces an initial final decision issued Nov. 5, is slightly more favorable to the company. The total revenue requirement is roughly $4.4 million higher than the $802.2 million approved in the original order, driven primarily by the elimination of return-on-equity penalties, adjustments to depreciation and gross earnings tax expenses.

The reconsidered decision was approved by Commissioners David Arconti Jr., Janice A. Beecher and Holly H. Cheeseman.

Yankee Gas, which provides service to more than 252,300 customers in 85 Connecticut municipalities, had requested a $192.9 million increase — a 26.8% jump that would have been the largest sought by a Connecticut gas company in two decades. PURA cut that request by more than half.

The company also filed a last-minute alternative resolution proposal on Oct. 23 offering to settle for a $104.3 million increase, but the approved amount came in below that figure as well.

The most significant change between the two decisions involves the allowed return on equity. Both decisions set a base ROE of 9.48%, up from the previously authorized 9.3%. But the original decision imposed a cumulative 16-basis-point reduction — bringing the effective ROE to 9.32% — to address what it called deficient management in four areas: imprudent record management and procurement practices, capitalizing employee incentive compensation in noncompliance with a prior rate case order, underutilized plant and inadequate documentation of cost-of-removal.

The reconsidered decision eliminates all four penalties, keeping the ROE at the full 9.48%.

PURA did, however, add a new section warning that ROE adjustments could come in future proceedings if Yankee fails to develop operating-company-specific environmental, social and governance goals and metrics, rather than relying on enterprise-wide Eversource initiatives.

Yankee’s last fully adjudicated rate case was in 2011. Its 2017 rate application was resolved through a settlement agreement.

PURA opened the reconsideration proceeding on Dec. 15, after several new commissioners took office.