Marco Cartolano
Worcester Telegram & Gazette
Published 5:08 a.m. ET Dec. 8, 2024 | Updated 5:08 a.m. ET Dec. 8, 2024.
WORCESTER — A project would convert the former Waldo Street police headquarters and Worcester District Court building into a mixed-use building with 44 apartments and a restaurant.
City Council will consider an application from the city administration Tuesday to designate the former police station property listed at 57 Exchange St. a certified project under the state Housing Development Incentive Program and a tax increment exemption agreement for the property.
New Bedford-based developer CMK Development Partners, LLC is pursuing the project at the site, which is also known as 1 Exchange Place, according to a communication from City Manager Eric D. Batista.
The project is a proposed $16 million reuse of the property. It would transform the approximately 48,000-square-foot, vacant mixed-use office and retail building into housing and a restaurant.
The units would consist of 26 studio apartments, 14 one-bedroom apartments, three two-bedroom apartments and one three-bedroom apartment. The city negotiated with the developer to include nine affordable units, exceeding the number of affordable units required through the city's inclusionary zoning law.
Four of the affordable units would be studios restricted to 60% of the area median income. Three other studios and two one-bedroom apartments would be restricted to 80% area median income.
"This project is aligned with goals across the state of repurposing vacant office space into residential units," Batista wrote. "It also enables us to reinvigorate another underutilized downtown property with new vitality and feet on the street to support our small businesses."
The developer plans to finalize financing and begin construction in the first quarter of 2025. Other financing sources have been secured pending the HDIP assistance.
The HDIP program is designed to provide Gateway Cities with a tool to develop market-rate housing through tax incentives.
The proposed TIE plan has an annual exemption of 17% over 15 years. The developer has also agreed to comply with the city's Responsible Development Ordinance.
Batista recommends the City Council send the tax incentive items to the Standing Committee on Economic Development.
The property is a complex of three buildings: primarily the old Worcester police headquarters and Worcester District Court building, which dates to circa 1918, and the former Commercial Street fire station, which property records date to 1900. The two main structures are connected by a courtyard.
The property has been home to businesses such as the Citizen Wine Bar, Michael’s Cigar Bar, and several law firms. In 2018, BradyMac Capital Advisory bought the property for $2.5 million.
Tax hearing and Batista's contract
The City Council is also scheduled to address two items that were delayed from the Nov. 26 meeting.
One of the first orders of business is the annual tax classification hearing. District 2 City Councilor Candy Mero-Carlson used her privilege as a councilor to delay the hearing to Tuesday.
The council will also go into executive session, which is closed to the public, to discuss Batista's proposed contract. A vote to advertise, accept and adopt an agreement that was negotiated between the manager and the Standing Committee on Municipal and Legislative Operations was delayed to Tuesday by Mayor Joseph M. Petty.
If the previously negotiated three-year contract went into effect, Batista's starting salary would increase 3.7% to $293,868, starting Dec. 31. He would then get a 3.9% raise to $305,223 starting July 1, 2025, and a 2.9% raise to $314,080 starting July 1, 2026.
The proposed contract would be effective through Dec. 31, 2027.
A new term in the proposed agreement states that at all times, Batista's annual base salary shall be $10,000 above the annual base salary of the next-highest-paid city employee, including Worcester Public Schools employees. There would be a monthly stipend of $1,500 net of all deductions for the cost of Batista's personal vehicle. His severance period would also be increased from six to 12 months.
Councilor orders
City councilors have also filed several orders for Tuesday's meeting:
District 5 City Councilor Etel Haxhiaj has two orders related to sprinklers and the June Washington Heights fire.
One order requests a summary of discussions with the apartment building architecture and engineering team on the installation of fire sprinklers for the buildings that were damaged by the fire. Another requests draft language for a home rule petition to allow the city to opt into state law pertaining to automatic sprinkler systems in buildings that have been rehabilitated or substantially renovated.
Councilor-at-Large and City Council Vice Chair Khrystian King is requesting the city manager conduct an equity audit of all city departments every five years.
Commercial vehicles are the subject to a request ordinance from District 3 City Councilor George Russell. He is requesting an ordinance to ban commercial vehicles from parking throughout the city unless a commercial delivery driver is loading or unloading their vehicle or doing similar commercial activities.
Councilor-at-Large Morris Bergman is requesting a report pertaining to street safety initiatives such as the city Mobility Action Plan and Vision Zero. The report requests the metrics that will be used to evaluate their effectiveness, who will be evaluating their effectiveness, how often there will be evaluations and what type of options are be available if the desired results are not met.
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