Economic Development Report To Enfield Town Council

Raymond L. Warren, Director of Economic Development                            September 2005

             The new MassMutual campus on Bright Meadow Boulevard is advancing toward completion.  The company is planning a public ceremony in October to showcase the facility.

             Visitors will observe a significant development project that includes a new 1,500 car parking garage, completely remodeled office space, the largest cafeteria in the area, and a reconfigured entrance area.  Best estimates are that building acquisition, renovations, and new construction represents a $75 million investment in Enfield. The project will be completed in May 06.

             A project of this magnitude required a very strong effort by the Planning and Zoning Commission and the Inland Wetlands Agency during the site plan review period.  The day to day building plan review, progress inspections, and certification has placed demands on key regulatory staff.  Jim Taylor and Brett Stoddard from the Building Department;  Neil Angus from the Planning Department, Earl Provencher from the North Thompsonville Fire Department; and Debbie Caronna from the North Central District Health Department deserve recognition..  MassMutual and their contractors have offered the highest praise for the professionalism of all public staff.

             When Precision Camera came to Enfield less than 3 years ago from Chicopee, MA, they employed 49 people and repaired 70,000 cameras per year.  The company now employs 175 people and repair 7,000 per week.  The company purchased and renovated #3 Anngina Drive to accommodate growth; they later purchased #1 Anngina Drive.  They have recently leased #7 Anngina which has over 100 parking spaces to meet their parking and production needs.  Be advised that this is not the end for this company's expansion in Enfield.

             A Springfield, MA company has a signed Purchase and Sale Agreement on a large Enfield manufacturing facility.  Since it hasn't officially closed, they will remain unidentified.  The company has met with Enfield economic development, human resources, and finance people to get an understanding of the differences between CT and MA operations.  This is a manufacturing company with 100 employees with strong growth potential.  We are optimistic that a fall move will take place.

             The phase-in of production at Eppendorf Manufacturing is going according to plan.  Once the building was renovated, two machines were installed to commence production.  Three more sophisticated machines were installed in May.  Five more machines will be in production in August.  There will be a total of 20 machines operating by the end of the year.  With each new machine, more trained operators are employed.  The company will continue to ramp up with support staff as the operation progresses.  And this is the first phase.

             The Crowne Plaza Hotel, formerly the Radisson, had a grand opening celebration on August 25, 2005.  The new owners work at the hotel and are hands-on operators.  The conversion to a Crowne Plaza required that the owners undertake a Property Improvement Plan that was based on an inspection and report by Inter Continental Hotel Group.  The 18 page PIP required improvements including ADA related upgrades to rooms, repairs to swimming pools, replacement of signage, lobby improvements, renovations to function rooms, new finishes for elevators, replacement of HVAC units, new decorative standards in guest rooms, and new color palette to signify a brand change.  All improvements in the PIP had to be complete prior to approving the Crowne Plaza name.

             The construction value of building permits is an indication of economic activity.  Through seven months of the calendar year, the Enfield Building Department has issued 1,338 separate permits with a construction value of $25,363,511.  There are several significant projects yet to be counted.  They include Best Buy, Outback Steakhouse, the recently approved medical building on Elm, the planned drug store and bank at Shaker and Elm.  It is shaping up to be another impressive construction season.

             Think it's been unusually warm this year?  The above building permits include $313,373. for 48 swimming pool permits, or an average of $6,528 per pool permit.

             Behind the scenes there are development entities studying over 300 acres of land for possible residential or industrial development in several locations in town.  In one case, a seasoned developer is examining the purchase of industrial land for a master planned project.  In another, a housing developer is studying sites now zoned Industrial, for conversion to Residential.  In a third, a company is planning to sell an industrial parcel.  This preliminary work has not reached a public plan review stage, but could have a substantial impact on land development in Enfield.

             Planning and economic development offices will work together to define the potential impacts.  If waterlines are extended in the northeastern part of town, it could result in many homes.  We need to be mindful of cost to schools and government services.

             Reviewing zone change requests from Industrial to Residential is an important issue from an economic development perspective.  The shortage of land for industrial sites becomes more acute each year.  Some industrial land is not acceptable for modern industrial use.  It may lack infrastructure, have less than desirable access, have too much wetlands, or conflict with adjacent uses.  However, our finite industrial land supply must be protected for the benefit of tax base growth and job creation.

             The plans for developing a restaurant and hotel on Parcel BR-1 have been submitted to the Town's Inland Wetlands Agency and the Zoning Board of Appeals.  The developers hope for plan approval this fall.  If approved, they will begin site work this year.  They must "surcharge" the building pads for the hotel and restaurant to provide a suitable stable soil condition for structural foundations.  This involves placing fill and allowing it to settle.

             The Northgate public improvements are under construction.  Shortly after the Town Council approval of the sale of a small piece of land to MassMutual, the Town DPW and engineering staffs geared up to let the sidewalk construction contract along Bright Meadow Boulevard and down Rt. 5 to Willard Street.  This is the first phase of a larger improvement effort.

              The MetroHartford Alliance is lead agency for a Comprehensive Economic Development Strategy (CEDS).  The Austin, Texas firm of Angelou Economics is conducting the study.  The consultants began the study with an informal dinner in Enfield at the Hazard Grille to solicit ideas from Town representatives and Frank Gulluni of Asnuntuck.

             A desirable goal is to provide the new Town Council with information to make a decision about the future of the Higgins School property.  It's an eyesore and is likely to get worse if the status quo is maintained.

             To change direction on Higgins, the Town Council needs to be informed about the current environmental situation and understand the physical condition of the building.  This will help all parties to understand that an action plan is desirable.

             In addition, the policy makers need to be briefed on building size, floor plans, site information, and allowable uses per the zoning ordinance.

             There has been some staff conversations about the possible options for the future of Higgins.  Here's a few of the ideas:

(1)  Conduct an RFP to entice a private developer to completely renovate the building.  (There has been casual interested expressed for housing). 

(2)  Allow private renovation and some new construction that helps the economics of a project. 

(3)  Demolish the building and market a prepared site for redevelopment.

(4)  Demolish the building and keep the site in public ownership for future use.

(5)  Public renovation of the building for public use. 

(6)  The long shot: rehabilitate Higgins to replace the Lamagana Center and clear the current center for Strand Parking.

             The Higgins property is important to Thompsonville improvement efforts.  Hopefully, a plan of action will be a priority in 05-06

             Visits to Enfield businesses this June demonstrated that all business activity operates in an international business environment.  The demand for raw materials, i.e., steel by China, keeps commodity prices high for local businesses.  Competition from Eastern Europe, India, China, and Mexico requires local businesses to invest in technology to keep competitive.  The improvements in technological know-how in those same countries force local companies to impose cost containment strategies or find new business opportunities to remain viable.

             The sale of the Casual Corner chain is a blow to Enfield.  We do not know the potential job loss details yet.  But two facts are clear, Casual Corner is the largest component of the Retail Brand Alliance business and that many Enfield residents are employed at RBA.  Our hope is that RBA will grow Brooks Brothers and others to retain an excellent and loyal workforce.

             There is progress to report from the Community Development office.  Two bids have been received for general contracting services for the North School renovation.  The first phase of the project came in at $164,665.  The owner will be seeking permits in the next few weeks.  The CD office has been beating the bushes to get contractors interested.

             Peter Bryanton, the CD Director, found a backlog of housing rehabilitation projects upon his arrival in Enfield.  The rap on the Town was that it was slow to complete rehab projects, and therefore, built surpluses in the rehab account.  He has managed to expedite production and, in fact, is working closely with DECD to apply for a new round of rehab funding.  Our state CD program rep is very pleased with Enfield's progress and superior compliance with a very complex body of regulations.

             The CD staff is attending training on the rules involved with CDBG program operations.  They must stay current on lead paint procedures, new environmental study requirements, and wage requirements.  Over the years, the rules governing the use of CD funds have added additional costs to projects to the point where the CD dollars buy less.  The advantage of these funds is being lost due to the cost associated with the regulations.

             The Yankee Bait and Tackle project is making progress.  The second floor has been gutted and the owners are expanding their kayak lines.  They are making exterior building repairs.  A long neglected property is showing signs of new life.

             A town level economic development office must work closely with regional and state peers.  The Enfield ED office reaches out on a regular basis for assistance and advice.  You should know that the professionals at the State Department of Economic and Community Development, Connecticut Economic Resource Center, MetroHartford Alliance, and Connecticut Economic Development Association are always there and helpful.

             For example:  CERC worked closely with an out of state prospect likely to move to Enfield.  Northeast Utilities has visited Enfield businesses whenever requested.  CEDAS is a great discussion forum for important issues, e.g., eminent domain.  MetroHartford is the lead in the CEDS and is a close Enfield partner.  These resources help expand the local capability

  Respectfully submitted,

                       Raymond L. Warren, Director of Economic Development