New Boston Fund, the Boston-based development company, is in the middle of an about $140 million mixed-use project, The Gateway at Quonset Point. Gateway Project Manager Patrick Cleary took a few minutes this week to tell Providence Business News about the state of the project.
PBN: Could you catch us up on what’s happened so far at the Gateway development? What companies have come in, how many jobs have they created and what’s coming in the future?
CLEARY: The first phase of the Gateway at Quonset Point is known as the Shops at Quonset Point, which includes the open air shopping center that is currently 85 percent leased.
Kohl’s opened its store on Gate Road last fall and Lowe’s Home Improvement recently opened in January. Together, they have created 300 new jobs. Our locally owned and operated grocery anchor, Dave’s Marketplace, is due to open this spring. Smaller shops include local award-winning ice cream café Inside Scoop, and we will have a Super Cuts hair salon, to name a few more. New Boston Fund is in negotiations on numerous leases and letters of intent for the remaining space.
PBN: The recession has slowed the progress of a lot of projects. Has The Gateway project been affected?
CLEARY: We were fortunate to have a great deal of momentum before the economic slowdown hit with full force, with both Kohl’s and Lowes under construction and [scheduled to open]. With the financial stability that came with the Kohl’s and the Lowes pieces in place, we were able to commence construction of the smaller space portion of the retail project.
We are excited about the opening of Dave’s Marketplace this spring and there certainly continues to be a great deal of interest in the project from other tenants. The tenants we are talking to recognize how the center will draw customers from surrounding communities and how it also takes advantage of the great location as the front door to the largest business park in the state.
Dealing with the current economic situation requires flexibility and New Boston has shown a willingness to be creative in finding ways to make it easier for interested tenants to get deals done.
In an economic environment that has seen many proposed development projects delayed or disappear for lack of financing or tenants, New Boston Fund is enjoying great success in the leasing and construction of the project. That being said, we are eager for even more activity, and I encourage any interested business owners to contact me.
PBN: Why chose Rhode Island for a project now? And why choose Quonset?
CLEARY: The Gateway at Quonset Point is the result of many years of hard work by numerous people who have believed in the opportunities that it will create for businesses and for the people who live and work in the surrounding area. It is part of New Boston’s USA Fund, which invests in projects that spur economic development, promote environmental sustainability and provide solid returns to our investors. Quonset fits those parameters well.
We think Quonset Point is a bright spot in the New England economy. The park has experienced a major expansion, with 1.4 million square feet of new construction since 2002, as well as the numerous additional projects that are in the pipeline now, like the Deepwater Wind project, which will bring 800 new jobs to the business park. Since we began construction, 900 jobs have been added to the park and another 1,000 are expected to be added by Electric Boat within the next few years. You would be hard pressed to find this kind of growth anywhere else in the Northeast.
This fall marked a significant milestone when the R.I. Department of Transportation opened the Route 403 connector, linking Route 4 with local Route 1/ Post Road. This DOT investment totaled nearly $150 million. Now with direct access to the surrounding communities, the Gateway has an unmatched regional pull to an area that combines Rhode Island’s highest income level, best traffic counts in the region and the largest employment base in the state. Quonset has become a truly regional hub for business, shopping and services. With Route 403 in place, the expansion of the Quonset Business Park is expected to continue for years to come.
PBN: This project will include a large amount of office space – how much space will it have and have you seen much interest in it so far? Have any companies signed leases?
CLEARY: The majority of the office space anticipated in the development plan will take place in the second phase of the Gateway. The corporate office space planned for the interior of the Gateway will be defined, in part, by prospective tenants.
Currently our focus is on completing the Shops at Quonset Point and it is one of our chief objectives to add to the already strong tenant mix of Rhode Island-based retailers and businesses. New Boston Fund is working with a number of strong local and regional businesses for space in the center and we continue to actively reach out to additional business owners who are interested in locating at the Gateway. Space availability ranges from [more than] 1,000 square feet to 6,500 square feet for retail businesses and 2,000 square feet and above for office users.
We encourage business owners who see this project as an opportunity to strategically position themselves for the eventual economic turnaround to contact us.
PBN: Can you tell me a little about the sustainable designs and green elements that this project uses?
CLEARY: Working in concert with the Quonset Development Corp., New Boston Fund has implemented environmentally sustainable strategies and created a low-impact, pedestrian-friendly project. Incorporated into the project are green elements, such as permeable pavement, natural lighting, heat-reduction islands, rain gardens, storm water retention and treatment systems and a native planting program. Other featured aspects of the project include accessibility to public transportation, a bike path, walking trails and pocket parks. In fact, the environmentally friendly design has made this project one of the pioneers for green building in Rhode Island.
The project also integrates the nearby Seabee Museum, chapel and walking paths (READ MORE), while creating a “Main Street” pedestrian environment with outdoor cafés, water features and a square.
New Boston Development Partners LLC – the developer of The Gateway at Quonset Point, part of Quonset Business Park in North Kingstown – is a subsidiary of New Boston Fund Inc., a Boston-based real estate investment management firm founded in 1993 that has nearly $2.5 billion in cumulative investment and development activity. To learn more, visit www.newbostonfund.com.
