New York Developer Buys Providence Gas Buildings
Friday, August 10, 2012
After standing vacant for several years, the former National Grid building located in downtown Providence at 100 Weybosset Street is finally starting to see some development. Remodeling, renovation and construction work has begun on the former Providence Gas Company headquarters—the buildings are slated to be converted into rental units.
The property, which includes multiple buildings covering almost an entire city block, was recently sold to Providence Capital, LLC, for a price of $2.7 million. In recent weeks, Premier Land Development began work on several of the units included in the sale. The total purchase includes two office/retail buildings and a parking garage, and over 80,000 square feet of space in total.
The new owner has plans to to turn at least two of the buildings into residential units—over $5 million in renovations are planned. A redesigned, expanded lobby with espresso bar and lounge, as well as an enclosed glass roof deck are among the most significant improvements proposed. The developer appears to be aiming for luxury style apartment living without the huge price tag—as the housing market continues to struggle and more tenants seek cheaper living arrangements, there has been a significant increase at the national level in rentals of so-called Class B rental properties. Now, even buildings that once might have rented their units at luxury rates are considering lowering their prices to attract new renters.
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLASTThe property, which sits at the corner of Weybosset and Dorrance in the heart of the city’s financial district, has not been available for lease for over twenty years. Given the relatively small number of rental units in downtown Providence, the addition of new rental space figures to be a significant boon to the downtown economy. The National Grid building has, for several years, stood out as among the largest vacant units in the downtown area. As the city continues to try and attract new business to the area, development of this property and others like it will be vital.
The space is not without its history. A smaller retail unit at the corner of 88 Dorrance Street was once home to the Philip Wolfe Haberdasher clothing store. And the 100 Weybosset property was for decades the headquarters for the Providence Gas Company, before National Grid acquired it, and then began to gradually move their operations elsewhere.
The $2.7 million selling price likely would have been regarded as well below market value only a few years ago—in 2008, the downtown properties were assessed at a value of $6.4 million. Vincent Geoffroy—who is listed as the owner—is also the president of New York-based Sherle Wagner, known mostly for their bath furnishings and architectural lines.
Geoffroy was unavailable for comment.
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