Latest news with #HighRock
Yahoo
2 days ago
- Business
- Yahoo
Superman Building owner seeks new tax break. Will it be enough to complete its renovation?
The owner of Providence's long-vacant "Superman Building" says a tax break being considered by lawmakers is "the last piece of the puzzle" needed to restart construction and turn the defunct office tower into snazzy new apartments. The tax break sought by Providence Mayor Brett Smiley and building owner David Sweetser's High Rock Development would exempt construction materials on the Superman Building redevelopment while allowing the owner to claim the maximum $15 million tax credit under the Rebuild Rhode Island program, the state's primary development incentive. Current law doesn't allow property owners to get a sales tax exemption while claiming the full $15 million Rebuild credit. The Senate Finance Committee was slated to vote on the legislation, S1002, on May 27 but rescheduled the vote until Thursday so that it could be amended. It was not immediately clear what specific changes were in the works. An identical House version of the bill, H5741, received a hearing in early April and has not moved since. Although the legislation doesn't mention the Industrial Trust Tower, or Superman Building, by name, there's little doubt that the state's art deco skyline landmark and tallest building was the inspiration. The only projects that qualify for the new break have to include housing units with at least 20% of them reserved for residents making no more than 80% to 120% of the area median income. The deal struck by Sweetser and state leaders back in the spring of 2022 specified that at least 20% of units would be deed-restricted for people making between 80% and 120% of the average median income. The original 2022 deal between Sweetser, Gov. Dan McKee, then-Mayor Jorge Elorza and House and Senate leaders included a roughly $65 million public financing package, of which $26 million would come from the state, $15 million from Providence and $24 million from the federal government. (This does not not include the 30-year city property tax treaty.) Rhode Island Commerce estimates that the sales tax exemption would give High Rock an additional $4.6 million in savings. In exchange for those state and local incentives, High Rock promised to transform the former bank headquarters into a mixed-use residential tower with 285 rental apartments. Over the following three years, High Rock has pulled construction permits, displayed model units and began demolition work on the art deco landmark, but work eventually stalled with little idea of what it would take to complete the conversion. "Since 2022, construction inflation has only increased the costs of financing this worthy project," Nicholas Hemond, lobbyist for High Rock, wrote in a May letter to the Senate Finance Committee. "This legislation, together with existing programs at the local, state, and federal level, is the last piece of the puzzle towards getting this project back on the track to completion as was contemplated in 2022." High Rock in 2022 said the redevelopment of the Superman Building would cost $285 million and has not publicly updated that estimate to reflect inflation and other cost increases since then. Outside the Senate Finance hearing room, Smiley told The Journal that the last update he had received from High Rock suggested there was still at least a $10 million financing gap for the conversion project. "That's not to say that if this passes the hammers start swinging tomorrow, but we've been told by them that this is a piece of the puzzle," Smiley said. "This is sales tax on construction materials that will never be received if the project never moves forward, so I think it is a financially responsible way to provide a little assistance." The bill is also supported by state construction unions and the business-backed Providence Foundation. Before seeking the sales tax exemption, High Rock was pursuing federal grants for transit-oriented developments. It is unclear if those are still in the funding mix. "There are many complicated layers to financing this project, but this piece would go a long way towards developing this meaningful project for the City of Providence and the State of Rhode Island," Hemond wrote in support of the legislation. "We hope to see you all at the ribbon cutting when the project is done and life returns to the City's center piece forever." This article originally appeared on The Providence Journal: Superman Building owner seeks new tax break. Will it be enough?
Boston Globe
30-04-2025
- Business
- Boston Globe
Stalled redevelopment of R.I.'s iconic ‘Superman' building leaves downtown Providence in limbo
Get Rhode Map A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State. Enter Email Sign Up It hasn't had a tenant since Bank of America Advertisement In 2022, owner High Rock Development and its principal, David Sweetser, Instead, three years after Advertisement The project, originally pegged at $220 million, has ballooned to at least $308 million. Meanwhile, the value of the building has dropped 58 percent since Newton, Mass.-based High Rock purchased it in 2008, to just $13.5 million. It's a scenario playing out in commercial spaces around the country. In Boston, office towers are Many projects around New England are still moving forward. But Superman has always been more of a challenge, said 'With the turmoil in the financial markets, investors are re-examining where they invest, and they will back away first on the most uncertain projects — like Superman," Godfrey said. The empty Superman building has been vacant for 12 years since Bank of America moved out in 2013. John Tlumacki/Globe Staff Located at 111 Westminster St., the Superman building towers over the city center, 400 feet away is Superman's vacancy 'is devaluing the other properties around it,' said Mayor Brett Smiley. 'It is making it harder for the other downtown businesses to stay in business because there's nobody buying lunch, dropping off their dry cleaning, looking for a place to get their dog groomed.' Advertisement The Superman building is located in the center of Providence #g-Providence_snapshot-box , #g-Providence_snapshot-box .g-artboard { margin:0 auto; } #g-Providence_snapshot-box p { margin:0; } #g-Providence_snapshot-box .g-aiAbs { position:absolute; } #g-Providence_snapshot-box .g-aiImg { position:absolute; top:0; display:block; width:100% !important; } #g-Providence_snapshot-box .g-aiSymbol { position: absolute; box-sizing: border-box; } #g-Providence_snapshot-box .g-aiPointText p { white-space: nowrap; } #g-Providence_snapshot-Artboard_1 { position:relative; overflow:hidden; } #g-Providence_snapshot-Artboard_1 p { font-family:georgia,'times new roman',times,serif; line-height:22px; opacity:1; letter-spacing:0em; font-size:18px; text-align:left; color:rgb(0,0,0); text-transform:none; padding-bottom:0; padding-top:0; mix-blend-mode:normal; font-style:normal; font-weight:regular; height:auto; position:static; } #g-Providence_snapshot-Artboard_4 { position:relative; overflow:hidden; } #g-Providence_snapshot-Artboard_4 p { font-family:georgia,'times new roman',times,serif; line-height:14px; opacity:1; letter-spacing:0em; font-size:14px; text-align:left; color:rgb(0,0,0); text-transform:none; padding-bottom:0; padding-top:0; mix-blend-mode:normal; font-style:normal; font-weight:regular; height:auto; position:static; } #g-Providence_snapshot-Artboard_4 .g-pstyle0 { opacity:0.75; } #g-Providence_snapshot-Artboard_4 .g-pstyle0 { padding-bottom:1px; } .diptextpic_cap_cred { font-family: "BentonSansCond-Regular", "Arial Narrow", "Helvetica", sans-serif; font-size: 10px; letter-spacing: .5px; text-align: right; margin: 10px 10px 0px 0px; font-weight: 200; color: black; display: block; width: 100%; } .theme-dark .diptextpic_cap_cred { color: #fff; } #g-Providence_snapshot-Artboard_4 { display: block; /*Show the mobile version by default*/ } #g-Providence_snapshot-Artboard_1 { display: none; /*Hide the tablet and desktop versions*/ } @media (min-width: 700px) { #g-Providence_snapshot-Artboard_1 { display: block; /*Show desktop version once screen width hits 700px*/ } #g-Providence_snapshot-Artboard_4 { display: none; /*Hide the mobile version*/ } } One Financial Plaza Superman building US District Court City Hall Kennedy Plaza Track 15 One Financial Plaza Superman building US District Court City Hall CHRISTINA PRIGNANO/GLOBE STAFF. Image: Google Earth Bob Burke, the owner of French restaurant Pot au Feu, used to work on the 18th floor in the 1970s and 1980s, when the building was 'a symbol of prosperity and pride.' Now, he said, it's 'an eyesore, derelict, rundown.' 'Every year we have to watch the building suffer more abuse in the name of the owner getting more and more money,' said Burke. Providence Mayor Brett Smiley looks out his City Hall office window at the still-vacant Superman Building. John Tlumacki/Globe Staff The redevelopment's survival currently hinges on a low-interest loan of up to $236 million from the US Department of Transportation. A letter obtained by the Globe sent by the DOT seven days before President Biden left office said the agency made a 'preliminary determination' that the project was eligible for the Railroad Rehabilitation and Improvement Financing program. But President Trump's Department of Transportation says the project is under 'eligibility review,' looking for 'any major statutory, regulatory, financing, or timing issues that would prevent the project from receiving assistance.' It's unclear when the Trump administration will make a decision. Bill Fischer, High Rock's longtime spokesman, said conversations between the developer and the DOT are 'productive and ongoing.' 'We're really in a holding pattern,' said R.I. Commerce Secretary Liz Tanner, whose agency negotiated the 2022 deal. 'We still have confidence the Trump administration is going to do right by businesses and development, but there's just a lot of uncertainty right now,' Tanner said in early April. 'The last few weeks, what's happening federally is making us wonder whether we're going to be able to get it to the finish line or not.' But the project delays started long before Trump. Advertisement David Sweetser, principal at High Rock Development, which owns the Industrial Trust building, announces a plan to redevelop the property into housing on April 12, 2022. He has declined interviews with the Globe since. Matthew Healey for The Boston Globe High Rock declined repeated requests for an interview with Sweetser. Fischer also refused to be interviewed or answer basic questions about when construction might begin and end, or how large of a financing gap remains. If federal dollars are awarded, the 'last piece of the puzzle' would be a sales tax relief bill pending in the state Legislature, lobbyist Nick Hemond wrote to lawmakers in early April. The legislation would allow developers to be reimbursed for sales tax on construction materials, even if they've received the maximum $15 million from Rebuild Rhode Island, a state subsidy. The sales tax relief is worth $4.6 million to the Superman project. Governor Dan McKee, who won praise for inking the deal three years ago, declined to be interviewed. He But 'They've got to find another way to fill the gap,' he said. The project's fiercest champion at the State House, Senate President Dominick Ruggerio, The value of the Superman building has dropped 58 percent since High Rock bought it in 2008, to just $13.5 million this year. John Tlumacki/Globe Staff Joe Paolino, a one-time Providence mayor who owns properties near Superman, suggested officials sit down with the heads of banks to cut a deal with High Rock. 'This is not a bailout,' said Paolino. 'This is trying to save an iconic, historic structure.' The project could either be of 'tremendous value' to the city, Smiley said, or a 'tremendous liability' if it doesn't happen. Providence provided a Advertisement The state promised $26 million from a host of taxpayer-funded programs. Providence also pledged a $5 million grant and $10 million low-interest loan. The project also relies on $24 million in federal tax credits. Despite that, 'we just haven't seen the level of effort needed to get this project off the ground,' said state Representative In exchange for the subsidies, the developer agreed to make 20 percent of the apartments affordable for middle-income tenants. Some work started in 2023, when Sitting on the rooftop deck of his downtown home, developer Buff Chace said he knows that Sweetser's heart is still in the project, but it's a complicated one. 'Imagine 500 people permanently move into that building,' he said. 'That's what downtown needs. Downtown's future depends on it.' Some nights, when the sun is going down and an orange glow hits the limestone on the Superman just right, Chace snaps a picture. 'I'll send it to David, and say: 'Keep going,'' Chace said. Alexa Gagosz can be reached at
Boston Globe
07-03-2025
- Boston Globe
Needham middle school teacher arrested on child porn charges
Ciccolella is a social studies teacher at High Rock Middle School, according to Also on Friday, Ciccolella was placed on administrative leave, barred from school grounds, and his access to digital files was removed, Needham Public Schools Superintendent Dan Gutekanst said in an emailed 'Law enforcement has no reason to believe that any High Rock or Needham Public Schools students were involved or harmed in any way,' the statement said. Advertisement Ciccolella has been a teacher in Needham since 2008, Gutekanst said. 'The safety and wellbeing of our students is always the district's top priority, and we will cooperate with all law enforcement agencies as the investigation continues,' Gutekanst wrote. 'Due to the disturbing nature of the charges, we encourage families to speak with their children and reassure them that they are safe at school.' The district will be offering counseling services to students and staff, the statement said. According to After a months long investigation, investigators went to Ciccolella's home on Spyglass Hill Thursday with search and arrest warrants and took him into custody at 8:45 p.m., prosecutors said. Ciccolella allegedly used an online messaging application called Media Lab/Kik to view and distribute sexually explicit images of children ages 3 to 12, Ryan's office said. Investigators seized multiple pieces of evidence from Ciccolella's residence for analysis, authorities said. Ciccolella's arrest was a joint effort between the criminal investigations unit and patrol division at the Ashland Police Department, the Massachusetts State Police's Internet Crimes Against Children Task Force, and the Metrowest Drug Taskforce, prosecutors said. Advertisement Tonya Alanez can be reached at
