Unless there was a sporting event or the circus was in town, David Salvatore was probably not venturing into downtown Providence when he was young in the 1980s.
There wasn’t much going on otherwise.
Salvatore, who was born and raised in the city’s Elmhurst neighborhood, never thought he’d see the amount of development and activity there is now in Providence.
A lot has certainly changed in four-plus decades: highways and rivers were moved to make way for new development, a 1.2-million-square-foot mall was built and major companies have based themselves in Providence.
“Young families, visitors and individuals have an opportunity to take advantage of open space and economic vibrancy – something that we never had when I was a child growing up,” said Salvatore, executive director of The Providence Foundation.
Many played a part in the city’s transformation, yet city and state leaders agree the Providence Foundation, now in its 50th year of operation, has had a hand in all of it.
“I have worked closely with the Providence Foundation for decades. Its impact on the revival of downtown has been dramatic. The city just would not be the same place without the work it does,” said David N. Cicilline, a former mayor, congressman and now CEO and president of the nonprofit Rhode Island Foundation.
Salvatore, a former city councilman who was hired as executive director less than a year ago, can’t pinpoint the nonprofit’s most notable accomplishment in the past 50 years. “There’s too many to count,” he said.
Unlike a charitable community foundation, the Providence Foundation was established in late 1974 as an advocate to spur economic development in the city. At the time, Providence was suffering severe financial and economic hardships with the departure of manufacturing and textile companies that had once made the city a powerhouse. To make matters worse, retailers were abandoning downtown for the suburbs, following the flow of the population.
But since then, the Providence Foundation has often served as a key backer of big development projects and other initiatives for the downtown.
For example, when state leaders were considering whether to create the I-195 Redevelopment District, the nonprofit commissioned a study in the 1990s showing the district’s potential and why it was worth moving major highways.
Tax filings show that the Providence Foundation budget is about $1 million annually, with revenue coming mostly from gifts and contributions, and some government grants. The board of directors is made up of key figures such as Ciccilline, property owners Joseph R. Paolino Jr. and Arnold B. “Buff” Chace Jr. and Procaccianti Cos. executive Michael A. Voccola.
On a typical day, Salvatore says, he’s meeting with local business owners and residents, discussing concerns and issues, and ideas for improvements. Regular meetings with Mayor Brett P. Smiley and his staff are also on the schedule.
Samara Pinto, a Smily spokesperson, called the foundation a “valued and unique partner … in ensuring that Providence remains a thriving and vibrant community.”
A few weeks ago, Salvatore sat down with downtown business leaders about what they’d like to see changed around Kennedy Plaza, which serves as the Rhode Island Public Transit Authority’s bus hub. The state has been looking to relocate the center for years, a move Salvatore supports so there can be more green space and recreational opportunities in the heart of downtown.
A major contributor to Kennedy Plaza’s revitalization could be the redevelopment of the Industrial Trust Co. Building, also known as the “Superman” building, located at 111 Westminster St.
For Salvatore, finishing the transformation of the skyscraper from office space to apartments would not only add life to the downtown area but also provide the city with much-needed housing – one of the foundation’s top goals.
The project is at a standstill now, apparently because of rising construction costs. And that’s something that Salvatore says he’s heard from other developers in the city – concerns about borrowing costs, as well as the price of building materials with a trade war looming.
On top of that, development in Providence has been hindered by the city’s commercial property tax rates – which are the third highest in the country, Salvatore says.
“We have created a scenario where developers might look to another city,” he said. “There’s clearly a need to do something to address the high commercial tax rate.”
Salvatore says he supports a measure proposed in the General Assembly that would provide a 30-year tax break to any developer that converts commercial property into housing. But he acknowledges that this is just one potential solution to address the glut of commercial space and shortage of housing units.
Another focus for the foundation: using public transit and the transportation system to improve the city’s economic competitiveness. The nonprofit and the business leaders are hosting an event on April 10 from 8-11:30 a.m. at the R.I. Convention Center for the community to discuss transit.
