Wethersfield approves tax‑abatement deal to preserve and renovate 240 senior affordable units at Executive Square

The Wethersfield Town Council on June 1 voted to authorize the town manager and town attorney to finalize a tax‑abatement agreement with Related Affordable LLC to preserve and renovate the 240‑unit senior affordable building known as Executive Square.

Related Affordable’s Sam Schoberg told the council the acquisition would secure long‑term affordability by renewing project‑based rental assistance for 20 years and signing a 40‑year affordability restriction with the Connecticut Housing Finance Authority (CHFA). He said the company expects an approximately $18 million rehab — roughly $75,000 per unit — to update kitchens, bathrooms, HVAC, elevators and to add accessibility upgrades for 10% of units.

"We're supporting the most at‑risk folks, low‑income seniors, who really, aside from these types of properties, don't really have anywhere else to turn," Sam Schoberg said.

Mayor Leser framed the agreement as a local and fiscal priority, saying the deal preserves a large share of the town's affordable housing stock and provides renovated, safer units for current residents. "I think this is a really good deal for Wethersfield and a really good deal for the residents," the mayor said before calling the voice vote.

Key elements described in the presentation and council discussion: - Units and population: 240 one‑bedroom units designated for seniors (62+ or permanently disabled) that currently receive project‑based rental subsidies (Section 8 style), with many residents relying on Social Security income. - Financing structure: Related plans to use CHFA tax‑exempt bonds and 4% low‑income housing tax credit equity; CHFA requires a 40‑year affordability restriction for the financing. HUD will be asked to renew the rental subsidy contract for the maximum 20‑year term. - Renovation scope and timeline: Related estimates roughly $18 million in work (kitchens, baths, full HVAC replacement, elevator modernization, fire system and hot‑water boiler work, exterior lighting and community space upgrades). HUD requires renovations to begin within roughly 30 days of closing and be completed within about 12 months, a schedule Schoberg said Related has met on comparable projects. - Resident protections and relocation: Related described a floor‑by‑floor renovation plan; affected residents would be temporarily relocated (typically to local hotels) at Related's expense and receive individualized relocation coordination, with 90/60/30/14‑day check‑ins. Schoberg said Related will hire a third‑party relocation coordinator and increase on‑site services, including the addition of a wellness nurse and expanded resident programming. - Local operations and benefits: Related said local management staff (existing onsite manager, assistant and resident services coordinator) would be retained where possible and folded into Related's regional management platform; construction activity and hotel stays were cited as local economic benefits. The developer was asked about using local subcontractors and any local‑hiring or union requirements; Schoberg said the primary general contractor under consideration works in the region and the team would comply with local requirements if the town adopts them.

Financial details discussed publicly included an upfront impact fee and a year‑one payment that the developer said would be comparable to or above current collections once the upfront fee is included. A council member later referenced a public summary listing an upfront impact fee (reported in public comment as roughly $600,000) and an initial year payment in the mid‑hundreds of thousands; the precise numbers and final payment schedule will be set in the agreement and related schedules.

Council members pressed for protections and guarantees: construction completion assurances, CHFA/HUD contractual protections, tenant communications and detailed relocation plans. The town manager, finance director and assessor reviewed the draft proposal with Related and worked to ensure the town would be made whole in the early years of the agreement and receive a net financial benefit over the full term, staff said.

Deputy Mayor Rhodess moved the authorization and Councelor Winer seconded. The council then voted by voice; the motion passed with all present signaling assent.

Next steps: The tax‑abatement agreement will be finalized and executed by the town manager and town attorney, contingent on the developer closing, CHFA and HUD approvals and related financing. Related and town staff indicated they will present further specifics (schedules, exact fees and contract language) to the council as the transaction proceeds.

Action on the Executive Square acquisition was approved at the meeting; the acquisition and renovation remain contingent on closing and the state and federal approvals required for the financing and subsidy renewals.