June 26, 2026

CT Construction Digest Friday June 26, 2026

Proposed $69.5M Branford rehab hospital at Hilltop Orchards site well-received at public hearing

Mark Zaretsky

BRANFORD — A Birmingham, Ala.-based company's proposal to build what eventually could be an 80-bed, $69.5 million inpatient medical rehabilitation facility on the former Hilltop Orchard site off East Main Street received a generally favorable reception from the Planning and Zoning Commission this week, though members postponed a decision while seeking additional information.

Following a public hearing Tuesday conducted via Zoom, the commission continued Encompass Health's application until July 9 after asking for more details on several issues, including planned sidewalks and electric vehicle charging infrastructure.

The application seeks two special exceptions for three parcels totaling 20.63 acres.

Among the questions raised was a request from Leslie Johnson of the Branford Bicycle Pedestrian Ad-Hoc Advisory Committee for additional details about sidewalks proposed as part of the project. Johnson also asked whether Encompass Health would comply with updated state requirements for electric vehicle charging infrastructure.

John Knuff, the attorney representing Encompass Health, said he would review the applicable regulations. He said the company may have filed its special exception application before the new requirements took effect but would report back to the commission.

"I'm very pleased to hear (the applicant) is amendable to putting in a sidewalk ... because we feel very strongly that they need to put in a sidewalk," Johnson said.

Commission Chairman Charles Andres agreed sidewalks remain a significant issue.

"There's a major issue involving sidewalks. ... We want sidewalks," Andres said. "On the other hand, there are constraints," including challenging topography.

Alternate member Sharon Huttner also emphasized their importance.

"Even though the law might not say that we are required to have them," she said they are important.

Commission member Joe Vaiuso said he was encouraged by the proposal and praised Knuff and Encompass for doing "a very upstanding job."

While acknowledging sidewalks "are going to be a little bit of a problem to install," Vaiuso said, "Overall, I think it's a good fit for that area. This is going to be a very quiet type of facility. You're not even going to know it's there most of the time."

The proposal also drew support from other speakers.

Lauren Brown of the Branford Land Trust said the organization appreciates Encompass Health's willingness to grant a conservation easement.

"Providing that the terms are acceptable," she said, the land trust "is willing to receive the easement."

Perry Maresca, Branford's manager of economic and business development, said Connecticut continues to see growing demand for inpatient rehabilitation services, particularly east of New Haven.

"There's nothing east of New Haven that can provide what Encompass can provide," Maresca said. "I don't see any bad side, any downside, to this."

Encompass Health, a for-profit company, is the nation’s largest provider of inpatient rehabilitation services, operating more than 175 hospitals that served more than 225,000 patients as of 2024.

The company has proposed constructing a one-story, 54,765-square-foot facility at 596, 612 and 616 East Main St. The property is owned by Wayne Cooke and entities associated with his family.

Plans call for construction in two phases. The initial phase would include 50 beds. A future second phase would add 30 more beds and a 900-square-foot gymnasium, bringing the facility to its planned 80-bed capacity if demand warrants the expansion.

The project also requires state approval through a Certificate of Need from the Office of Health Strategy. A hearing on that application was held April 16 in Hartford, where local officials, including First Selectman Josh Brooks, voiced support. Gaylord Specialty Care in Wallingford and Hospital for Special Care in New Britain intervened in opposition. The state has not yet issued a decision.

Town officials have said the project would benefit Branford. The site is across Route 1 from the property once proposed for a Costco warehouse club.

The property currently includes two homes — one where Cooke and his late wife, longtime WFSB anchor Denise D'Ascenzo, raised their family and another that belonged to Cooke's late parents — as well as the Hilltop Gallery & Design Center.

Encompass Health previously developed a 40-bed, $39 million inpatient rehabilitation hospital in Danbury on a 13-acre site near the New York border.


Opinion: How Lamont fixed loophole that shortchanged our union members

 Anthony Camillucci

Gov. Ned Lamont has long been a champion for Connecticut’s building trades and understands the importance of accountability when investing taxpayer dollars.

In January 2025, our union approached the governor about a fairness and equity issue affecting public construction projects across the state in several licensed building trades, including plumbing, pipe fitting, and sheet metal.

Under Connecticut law, workers on public projects valued at more than $1 million must be paid the prevailing wage — a rate determined by their trade and the location of the project. Prevailing wage laws help ensure that taxpayer dollars are used responsibly, workers earn a living wage, public infrastructure is built to the highest standards, and projects are completed by a highly trained workforce committed to safety and productivity.

Until July 2025, however, a loophole in the state's prevailing wage law allowed contractors to avoid paying prevailing wages to workers performing custom fabrication off-site — even when that work was specifically designed and manufactured for individual public construction projects and are integral to their successful completion. As a result, nearly 30% of the work on some projects was excluded from prevailing wage requirements simply because it was performed in a fabrication shop rather than on the job site. Contractors benefited from lower labor costs, while workers performing the same skilled work for the same public project were paid substantially less.

This issue has become increasingly significant as advances in technology have expanded the use of off-site fabrication in plumbing, heating, cooling, pipe fitting, ventilation, and exhaust systems.

When we met with Governor Lamont in early 2025, he immediately recognized the inequity and supported legislation to close the loophole, which took effect on July 1, 2025.

Consider the experience of one of Local 777’s members who testified at the public hearing before the Connecticut General Assembly in support of this legislation. While employed by a Connecticut-based construction contractor, this member worked on projects that were largely covered by prevailing wage requirements. However, when assigned to perform fabrication work in the shop for a public project, he experienced a pay reduction of more than 3%. He testified that it was degrading to be told he had to work in the shop rather than the field simply because the contractor could save money by exploiting a loophole in the law. Closing this loophole is just one example of Governor Lamont's commitment to protecting taxpayer dollars while ensuring that workers who build, strengthen, and expand Connecticut's infrastructure are treated fairly.

For Connecticut's building trades, what matters most is having leaders who listen to workers and follow through on their commitments. Governor Lamont has consistently demonstrated that partnership.

Connecticut’s workers don't need politicians who just talk a good game or pander for votes. When our members are out in the field building and maintaining our state's most critical infrastructure, we need a partner in the governor’s office who actually rolls up their sleeves to get to work. Governor Lamont is that champion — he understands that respect for labor isn’t about rhetoric; it’s about the tangible results he delivers for the people who build this state every single day.

As proud members of the State’s Building Trades, we support elected officials who fight for us. When it comes to voting in August and November, it is common sense for us to support Ned Lamont.

Anthony Camillucci is business manager with UA Local 777 Plumbers and Pipefitters in Meriden, which represents 3,200 members across the state.


White Oak building set for demolition after grant

Brian M. Johnson

PLAINVILLE — Plainville will receive a $541,000 grant for the demolition of the former White Oak Construction building.

The money was awarded through the Connecticut Department of Economic and Community Development’s Brownfield Remediation and Development Program. It will help the town to demolish the long-vacant building at 1 W. Main St. as part of Phase 3 of the ongoing remediation and redevelopment project at the 15-acre site. 

Demographics

“We are very pleased to receive the news of funding under this grant program, as this project converts a vacant building and lot into a vibrant mixed-use property,” Town Manager Michael Paulhus said. “The grant funds will allow for the demolition of the front-facing portion of the building along Main Street. The timing of this work has yet to be determined and will likely proceed after an application is reviewed and approved by the Planning and Zoning Commission. In addition to P&Z approval, the Town Council will need to review and approve the sales agreement and potentially demolition plans. At the same time, the town is awaiting approval from CT DEEP for the soil remediation plan for the rear of the property.”

The grant funds will support hazardous material abatement and demolition of the existing office structure, soil sampling, remediation and monitoring beneath the building footprint. These cleanup activities will advance redevelopment of the site as a mixed-use project.

Manafort Newport Realty will develop the site into 175 apartments with ground floor retail and amenities, a 13,000 square foot medical office building and seven acres of open space. The White Oak property, which is adjacent to the Municipal Center downtown, has sat vacant for 24 years. The remediation and eventual re-use of the site has long been a goal for town leaders.

Johannesburg's Finances Reach Breaking Point

“We are happy to be receiving this money,” Town Council Chair Chris Wazorko said. “It is another step in the process toward the redevelopment of this site. Initially the plan was for the cleanup to happen first. Now we are looking at doing the demolition first. As dilapidated as this building is, we really want to get it knocked down. That is something that we can do while waiting to get the OK from DEEP.”

The grant was part of $15.2 million awarded for assessment and remediation of 12 blighted properties across Connecticut on 267 total acres of land.

“By partnering with towns and developers, we can take unused, blighted properties that have sat vacant for decades and bring them back from the dead, rejuvenating these parcels and bringing life back to these neighborhoods,” Gov. Ned Lamont said. “Through the remediation of these properties, we are creating new opportunities to transform otherwise unusable lots into new spaces that support housing growth and new business opportunities.”

The grants are expected to leverage more than $81 million in private investments. The grants are intended to help cover the costs of cleaning up “unused, polluted parcels” so they can be “redeveloped and returned to productive use,” creating new housing economic development and job growth opportunities.


$8.7M IN FUNDING FOR SENIOR HOUSING: Former Knights of Columbus building being renovated into ‘affordable housing’

Kathryn Torla

BERLIN — Berlin’s former Knights of Columbus building will soon be renovated into two new buildings containing 70 affordable homes for residents 62 and older thanks in part to newly received state funding.

The Connecticut Department of Housing and the Connecticut Housing Finance Authority have finalized financial agreements for 10 housing developments across the state. Locations of these developments include Berlin, Enfield, Fairfield, Hamden, Morris, Salisbury, Simsbury, Suffield and Waterbury. 

GeographicReference

In Berlin, 143 Percival Avenue will be transformed with the help from the DOH providing $8.75 million through the FLEX program, and the CHFA is allocating 4% LIHTCs expected to generate approximately $8.8 million in private investment, along with $7.9 million in tax-exempt bond financing and $1 million from the Opportunity Fund.

The Berlin transformation will include a large common room, outdoor terrace and 90 parking spaces, which is adjacent to the town’s recreation property and walking trail.

“Housing challenges look different from one community to the next, which is why flexible financing tools and strong partnerships are so important,” said Nandini Natarajan, CEO and Executive Director of CHFA. “These developments will create new opportunities across Connecticut while preserving existing housing, attracting private investment and strengthening neighborhoods for the long term.”

The total project includes 496 housing units, which include 396 affordable units for low and moderate income renters, and 74 of which will be permanent supportive housing. The DOH is providing around $55 million in loans and grants, and CHFA is providing low-income housing tax credits (LIHTC) that will generate more than $67.5 million in private investment along with $31.8 million in financing. 

“Every community needs housing residents can afford, that allows them to remain connected to the places where they work and raise families,” Connecticut Housing Commissioner Seila Mosquera-Bruno said. “These investments reflect the state’s commitment to creating and preserving housing that serves everyone, of all generations and all income levels. We look forward to standing up these projects and more importantly seeing our families thriving in their homes and neighborhoods.”


Developer proposes Stonington Technology Park on Route 2

Kimberly Drelich

Stonington — READCO, an Old Lyme-based developer, is seeking to build a technology park with three large buildings on vacant land it owns on upper Route 2 near Interstate 95.

CEO Michael Lech explained there is now greater demand for technology space than when it received approval for the 80,000-square-foot Stonington Technology Center further south on Route 2.

So READCO is re-envisioning the concept as a technology park, but has shifted the project closer to Interstate 95, he said.

The proposed Stonington Technology Park would serve as a space for high-tech companies in a park-like setting with walking trails, Lech said. The park would be adjacent to READCO's Stonington Village development, where apartments are under construction. There is also a Stop & Shop supermarket and McDonald's, developed by READCO, next to the apartment development.

Readco Holdings, LLC and Readco Hookset, LLC are seeking a zoning map amendment to the Neighborhood Design District to add two office buildings and a light manufacturing building.

Specifically, READCO is seeking approval for two 80,000-square-foot, four-story office buildings, built in phases, and up to a 125,000-square-foot, two-story light manufacturing/research and development facility along the east side of Route 2, Lech said.

He said READCO is also reimagining how the land it owns at the corner of Routes 2 and 49, originally proposed for the technology center, could be used. Ideas include retail shops, entertainment, medical offices and multifamily housing. READCO would need to seek approval for a proposal there.

Lech said READCO, a larger holder of commercial properties in southeastern Connecticut, had noticed the pent-up demand for high-tech office space.

"There's just a lot of growth in this region, and we're anticipating that different technology companies are going to want to have a home in this region," he said.

Lech said the idea is to develop an environment that will lend itself to creating a strong technology footprint.

He said READCO is talking to a handful of prospective tenants for the technology park. He said the target is high-tech jobs, which can be anything from computer programming to computer design.

"They're high-tech, highly skilled, highly educated-type jobs, so it's great for the region," Lech said. "It's great for Route 2. It's great for Stonington, and it'll be unbelievably beneficial to the whole community."

The project is across Route 2 from an large residential and retail project being proposed by Breslin Realty on land it has owned for about 25 years.

No data center

Lech said he gets asked all the time if the plans include a data center. He said the answer is no.

"We have no interest in creating a data center," he said. "We want people. We want employees. We want economic development."

"We've created a little village for people to live in and shop at," he added. "We want to create life along Route 2."

Lech said READCO created the same concept in Old Lyme with the Eastport Office Park, home to Sennheiser Electronics, Brunswick Corporation, Hartford Healthcare, Pepperidge Farms and other businesses. READCO also developed the adjacent Chestnut Hills residential community.

"We see the need along Route 2 to create a comprehensive mixed-use village akin to Old Lyme," he said. "The two sites and towns share very similar attributes."

Lech said READCO plans to install a comprehensive groundwater protection system.

The application is scheduled for a public hearing at 7 p.m. July 21 at the Stonington Board of Education District Office at 204 Mistuxet Avenue in Mystic, according to the town.

Lech said the development would also require site plan approval.

If the proposal is approved, Lech said construction would begin as soon as possible and be completed in about 20 months.


FuelCell lands first data center customer, adds shift at Torrington plant

Andrew Larson

Danbury-based FuelCell Energy has landed its first data center customer, signing an agreement with Florida-based Fit Energy USA LP to supply on-site power for AI data centers.

The company said it is the first such deal for Connecticut’s fuel cell industry.

The agreement, announced Wednesday, calls for an initial delivery of 30 megawatts later this year, with the potential to expand to 380 megawatts as Fit Energy meets future deployment targets.

FuelCell said the systems will be manufactured at its Torrington facility, where the production ramp-up is expected to require a third shift.

The deal marks the first time FuelCell has converted its growing data center pipeline into a signed agreement.

When CEO Jason Few spoke with the Hartford Business Journal in March, the company had not yet secured a data center customer, though it had identified about 1.5 gigawatts of potential projects.

By the end of its second fiscal quarter, which closed April 30, that pipeline had grown to 4 gigawatts, driven largely by demand from data center developers.

Few said the Fit Energy agreement validates FuelCell’s decision to expand the Torrington plant to 500 megawatts of annual production capacity, a plan announced June 8 alongside second-quarter earnings.

The expansion is expected to cost between $200 million and $275 million and take about two years to complete. If fully executed, the Fit Energy agreement would account for most of that added capacity.

The agreement does not commit Fit Energy to purchasing the full 380 megawatts upfront. Instead, the company will be eligible to receive warrants tied to future deployment milestones, a structure FuelCell said is intended to align “long-term value creation with successful project execution.”

The project location is in the United States, but the state has not been disclosed.

Fit Energy, based in Boca Raton, Florida, describes itself as an energy infrastructure company focused on owning and operating generation assets for the digital economy.

FuelCell’s shift toward the data center market has been quick. Three years ago, Few told the Hartford Business Journal that the company was investing heavily in hydrogen technologies. That effort has since been scaled back amid financial challenges that led to workforce reductions in 2024 and 2025.

Earlier this year, the Torrington plant was producing about 41 megawatts of power systems annually, well below its existing 100-megawatt capacity.

FuelCell’s systems generate electricity on-site through an electrochemical process rather than combustion, allowing customers to produce power without relying on the electric grid.