Abandoned Mill, Groton, MA
Abandoned Mill, Groton, Massachusetts
Re-Developing an Abandoned 100,000 SF Mill.
The Challenge
To preserve a 100,000 SF mill building abandoned for 15 years in a rural community with significant contamination, structural deterioration and defective title issues.
The Assignment
Motivated by sentiment, the Town of Groton took back a Historic Mill with the hope of saving the structure from demolition. After several failed attempts to solicit developer interest through the RFP process, Capstone partnered with the Town of Groton and became the designated developer.
The task for Capstone was to create an economically viable master plan for reuse of the facility and to execute the plan before further deterioration and collapse of the building. To accomplish this goal, Capstone would first need to remove development obstacles including: site contamination, title defects and Town approval for the reuse plan.
The Solution
Capstone successfully tapped the Brownfield fund for assessment and remediation of the on-site contamination. With skilled legal counsel, Capstone successfully negotiated a complicated easement agreement and cleared title. Capstone also commissioned an intensive market analysis for highest and best use and gained unanimous approval from the Town for development of an assisted living facility. Capstone brought together key development components including: bond financing, a TIF agreement, historic tax credits and HUD credit enhancement.
The Result
Capstone’s efforts resulted in a 12 million dollar renovation and the opening of a 74 unit assisted living facility that quickly became an overwhelming success in the community. A valuable Town asset was preserved while providing much needed elderly housing and a former blight on the community was replaced with significant economic value.