Norwich receives $12M in grants for mill demolition, waterfront improvements

When Gov. Ned Lamont visited the Norwich marina on Aug. 1, he turned around in the parking lot and looked at the blighted former Marina Towers building.

“What are your plans for that?“ he asked.

City leaders had a ready answer for the governor, saying they had submitted a grant application to assess, remediate and begin demolition of the long-vacant Marina Towers. The three-story, faded pink and white building at the entrance to the Marina at American Wharf blocks the view of the harbor for people coming into the city.

A giant green banner now hangs on the building asking residents to respond to a survey that asks whether the city should tear it down or redevelop it. Norwich Community Development Corp. President Kevin Brown said more 70% of the respondents so far say they want to see it torn down.

On Tuesday, the state Community Investment Fund Committee approved $4.55 million to continue Norwich waterfront improvements, including money for Marina Towers, along with $7.8 million to demolish and clean up the partially collapsed, former Capehart Mill complex in Greeneville.

Norwich will use $1 million of the $4.5 million waterfront grant to do an engineering assessment of Marina Towers, remediation and at least selective demolition. Brown said even if the building is to be redeveloped, the interior needs to be gutted.

“Any day the city of Norwich scores $12.3 million in grant money, it’s a great day,” Brown said. “It Is an acknowledgment by the state that we are truly making progress in the right direction.”

Norwich was the region’s biggest winner in the latest round of CIF grants totaling $74.6 million that were approved Tuesday. New London received a $250,000 planning grant to design improvements to Gordon Court, and the Southeastern Council on Alcoholism and Drug Dependence received $250,000 to support recovery in the city.

Montville received a $250,000 planning grant to determine what development is best for the busy Route 32 corridor.

Lamont created the $875 million fund to help eligible distressed municipalities fund major capital improvements projects, small businesses to do capital projects and fund planning grants for future projects. Tuesday was the fifth round of grant awards, and the sixth round applications are due Dec. 13.

Norwich earlier received $2 million for waterfront improvements that included installing new boat fueling tanks at the marina and restrooms for Brown Park.

The new money will continue Brown Park improvements with a recreational development not yet finalized, including a permanent stage for summer concerts, possibly a splash pad, ice rink or a return of miniature golf. The heritage trail heading up the Yantic River could see improvements, including an overlook at the river’s edge.

Norwich city leaders called Tuesday’s grant transformative for the Greeneville neighborhood and for the downtown waterfront. The city agreed to acquire the former Capehart complex in January from the defunct former ownership group. The city plans to clean up the 6-acre property along the Shetucket River and create a park.

Earlier this year, Norwich received a $4 million brownfields remediation grant to begin demolition of the first Capehart buildings. The entire demolition and park development was estimated to cost $15 million.

“No matter what happens in the future, at least we have secured all the funding required to scrape that blight off the face of the Greeneville neighborhood,” Brown said.

“We are extremely pleased with this outcome,” Mayor Peter Nystrom said Tuesday. “The Capehart (grant) will be a tremendous lift when you match it with the $4 million in brownfields money we already received. We’ll be able to take down all the buildings and clean up the property. It’s just an opportunity to lift that whole area, which I think is really, really important.”

State Sen. Cathy Osten D-Sprague, whose district includes Norwich, said waterfront improvements will come at a critical time for downtown Norwich. Several housing developments are underway that will bring dozens of new apartments downtown. The waterfront will be an attractive draw for new residents and will bring in visitors to city restaurants and shops.

The Greeneville cleanup will come as the new Greeneville School is slated to begin construction. Capehart has been plagued by arson fires and has attracted homeless people.

“Capehart, that’s a true public safety issue,” Osten said. “We can’t continue to allow fires and other things to happen there.”

State Rep. Derell Wilson, D-Norwich, who grew up and still lives in Greeneville just two blocks away from Capehart, said he was excited about both grants continuing the city’s economic revitalization.

“The Capehart Mill project is a game-changer to the rebuilding of this amazing neighborhood,” Wilson said Tuesday.

The Route 32 Montville money will help plan for the revitalization of the Palmertown and Uncasville areas of town, said state Rep. Holly Cheeseman, R-East Lyme, whose district includes Montville.

“These funds are incredibly important in boosting local infrastructure to help make that section of Montville a more vibrant, business-friendly community,” said Cheeseman in a news release.

State Sen. Martha Marx, D-New London, whose district includes Montville, also welcomed the funding to her district.

“It’s wonderful news that our region will receive this important funding for community-supporting projects like these,” Marx said in a news release. “I’m grateful to the Community Investment Fund’s leadership for their vision and dedication to our state’s cities and towns, as these projects offer new resources and relief for local residents.”

c.bessette@theday.com