Historic redevelopment projects seek to extend tax agreements

The Palmer Block, or Cosmopolitan building, at 100 Fountain St. in Providence, center, is one of four historic redevelopment projects that had received property tax incentives from the city more than a decade ago. / PBN PHOTO/MARY MACDONALD
The Palmer Block, or Cosmopolitan building, at 100 Fountain St. in Providence, center, is one of four historic redevelopment projects that had received property tax incentives from the city more than a decade ago. / PBN PHOTO/MARY MACDONALD

PROVIDENCE – Four historic redevelopment projects that had received property tax incentives from the city of Providence more than a decade ago are now seeking five-year extensions for the tax stabilization agreements, citing unanticipated setbacks caused by the national economic recession.
The developments include the Monohassett Mill, at 532 Kinsley Ave., the Pearl Street Properties project, at 304 Pearl St. and 1 Central St., the Rising Sun Mills, at 166 Valley St. and 60 Valley St., and the Palmer Block, or Cosmopolitan building, at 100 Fountain St.
The requests, filed with the City Council, were expected to have an initial public hearing on Tuesday with the council’s Finance Committee. It is not clear when the full council will consider the requests.
According to the applications, Monohassett Mill LLC received a tax stabilization agreement in 2002 that is scheduled to expire on Dec. 31, 2016. The project applicant is seeking a five-year extension, based on an assessment tied to current and then updated property values.
The project involved the rehabilitation of a historic mill property into housing.
“This project was significantly impacted by the real estate and financial collapse which transpired in 2007 and 2008, and the recession that followed for years thereafter,” according to the request for the extension. “The Tax Stabilization Plan which was entered into in 2002 was not made in contemplation of the economic crisis which has injured the local, state and national economies for several years following the collapse.”
The Pearl Street Properties, which were put forward by Pearl Street Properties LLC and Pearl Street LLC, involved the rehabilitation of structures for a mixed-use development that includes commercial, residential, warehouse and retail space.
This request also seeks a five-year extension, and cites the economic factors. The original TSA was awarded in 2004.
The Rising Sun Mills, which was put forward by 60 Valley Street LLC and 166 Valley Street LLC, involved the conversion of the landmark mill into mixed-use development, including commercial, residential and retail aspects.
Its original TSAs, issued in 2003 and 2006, are scheduled to expire on Dec. 31 for the 60 Valley St. properties, and Dec. 31, 2016 for the 166 Valley St. site.
The tax stabilization agreement originally granted to 100 Fountain St. is sought by Steelwood Realty LLC. The project, which involved the renovation of a historic building into condominiums, originally received the incentives in 2002.
It too proposes a five-year extension, with the taxes for the extended period being based on current assessments.

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