Antillean Manor Tax Break Advances

The City Plan Commission has approved a tax abatement deal for the new owners of Antillean Manor, a 1960s-era, failed former co-op and affordable housing complex in the Dwight neighborhood.

But commissioners don’t know how big an abatement they approved.

At their regular monthly Zoom-assisted meeting Wednesday night, the commissioners voted unanimously, but not without some misgivings, to send the item, which was a Board of Alders referral, back to the alders to work out the final details and take a final vote.

The tax abatement is part of a larger financial deal between the city and Antillean Manor’s new owner, Meriden-based Carabetta Management (which also operates, among other area properties, the Bella Vista senior complex). If negotiated to both parties’ satisfaction the deal will make possible the razing of the existing structure on Day Street and the construction of a new 31-unit multifamily complex. The complex will contain five one-bedroom apartments reserved for households at or below 25 percent of the area median income (AMI), as well as 11 two-bedroom units, 14 three-bedroom units, and one four-bedroom unit set aide for families at or below 50 percent AMI.

The total cost of the project is $14.2 million, $3.1 million of which was approved by the State Bond Commission just before Christmas.

Other funding for the project includes $4.1 million in federal Low Income Housing Tax Credits, $5.65 million in Connecticut Housing Finance Authority (CHFA) funds, and nearly $1.4 million in other funds.

The commissioners were not privy to any of the details of a future abatement. That was the cause of the mild misgivings.

“How can I vote on something I don’t know the pieces of?” asked the Commission Vice Chair Leslie Radcliffe.

That query prompted the aldermanic representative on the commission, Adam Marchand, to start a half-hour discussion. It took the form of a workshop on what is the purview of the commission as opposed to the Board of Alders in investments the city makes to help private investors build affordable housing.

“I’d love to see private funds committed to these ends,” Marchand said, ​“but it’s typically not been the case, so public sources are needed for the rents to be lower.”

“Yes, I understand there will be benefit for those who will reside in better and affordable housing. That’s a great thing. But do they, the developer need a tax abatement to do the project?” Radcliffe replied.

“We are not the administrative entity that makes those decisions,” said the Commission Chair Ed Mattison. ​“Our responsibility is to determine that if the board (of alders) does it that way, do we support that? We’re not authorized[to judge] what the level of support will be.”

Radcliffe was, as usual, patient but determined in her questioning both of facts (or their absence) and of procedure.

“I understand. If it’s the Board of Alders that figures out the numbers and gets in the mud, why is it before us? I’m not clear what our purview is.”

“Our job is to say whether it fits into the neighborhood and the comprehensive plan, ” Marchand said. He reminded his colleagues that they had approved the site plan of the razing and rebuild two years ago.

“But why should the city have to give them an abatement?” said Commissioner Ernest Pagan. ​“I’ve been doing some research on this, and it looks like this has already received $3.1 million from the state.”

“Usually it requires multiple sources of funds to make the project work,” replied Mattison. ​“The state kicks in some money. Now that we have a new president, maybe the feds kick in some, and the city, and everybody depends on everyone else kicking in. But you don’t get affordable housing without significant dollars coming from the outside.”

Mattison then reprised his work, as an alder, negotiating the tax abatement agreement with the developers of what has become the 360 State Street tower.

“They asked for a lengthy time for deferral of taxes, and the city felt they were being unreasonable. We negotiated what they could live with. .… By giving a recommendation to go forward, we are not saying anything about how much savings the developer will get. Only if the city can afford to make this commitment.”

“Looking at our comprehensive plan,” chimed in Commissioner Elias Estabrook, echoing points Marchand had made, ​“this is the sort of project I would recommend for some sort of tax abatement. Because in this case we are building new affordable housing and making sure residents are not displaced.” (Carabetta vowed to place tenants in apartments elsewhere during the tear-down and rebuild.)

The discussion now moves to the Board of Alders.