Developers of the Winchester Center complex in New Haven plan construction of up to 950 apartments in three new buildings in coming years as the build-out of the former firearms factory property continues. Image courtesy of Twining Properties
A development team that’s establishing a life science cluster in part of New Haven’s former Winchester Arms factory is ready to add up to 950 apartments to the mixed-use project in the next few years.
Twining Properties is partnering with L&M Development Partners and Goldman Sachs Urban Investment Group on the gradual redevelopment of property at 115 Munson St. as an office, lab and residential complex.
The next steps, set to begin local permitting, would replace surface parking with a pair of new mid-rise apartment buildings, and demolition of a former factory building to make way for a third residential building.
Developer Alex Twining said multifamily housing was a natural choice for the next phase of the development, given strengthening demand for housing in New Haven. The development would consist of 5- or 6-story wood-framed buildings, Twining said, including 20 percent of units reserved for affordable housing. Market-rate rents in New Haven currently average in the low- to mid-$3-per-square-foot range, he said.
Economics of ground-floor retail space remain challenging, but are an important component of the project.
“We do think retail is an important amenity and attractor for everyone. It’s not a direct money-maker, but it’s an indirect activity generator,” Twining said.
The vacant building was originally slated for adaptive reuse, but was determined ineligible due to contamination and will be replaced with new construction, Twining said.
Incentives for Lab Tenants
Developers are simultaneously marketing nearly 100,000 square feet of life science space previously occupied by office tenant Higher One. Owners are offering generous tenant allowances to potential life science tenants to build out their lab infrastructure, said Christopher Ostop, managing director for JLL which represents ownership in leasing.
The target tenant is a biotech startup that has recently received series A venture capital funding and is looking for dedicated space starting around 10,000 square feet, he said.
Addition of the residential and retail space will add vibrancy to the property and increase the desirability of the life science space.
“As our building gets filled up, which could take a year to 18 months, then the apartments will be delivered and that moves the needle as we add cool retail and destinations,” Ostop said.
The property currently contains 160 loft apartments under separate ownership.
Developers have been marketing the life science space in the mid-$30 per-square-foot range to New Haven’s growing biotech industry, including startups led by researchers affiliated with Winchester Center’s neighbor, Yale University’s Science Hill complex.
Yale professor Craig Crews’ latest venture-backed firm, Halda Therapeutics, signed the complex’ first lab lease for nearly 10,000 square feet last fall in a relocation from Branford.
Recent research by PwC’s confirms the recent growth of Connecticut’s health care and life science industry. A half-dozen Connecticut companies received a combined $122 million in venture capital investment during the fourth quarter of 2020, and the state ranked 10th in deal volume nationwide.
Yale Anchors College Street Development
The expansion comes amid steady activity in life science real estate investment, including the imminent groundbreaking of a new lab and incubator facility at 110 College St. by Massachusetts developer Winstanley Enterprises.
In May, Yale University signed a 125,000-square-foot lease as anchor tenant for Winstanley’s new office-lab building, and agreed to support another 48,000 square feet of incubator space in the building which is scheduled to break ground this month.
The property sits next to an office-lab building developed by Winstanley for Alexion Pharmaceuticals in 2016. After Alexion moved its headquarters to Boston and vacated part of the 513,000-square-foot building, Yale leased half of the tower for life science programs.
Given the looming new competition, Winchester Center is promoting quick move-in options, including the opportunity to occupy vacant former Higher One spaces while their own labs and offices are being built out, JLL’s Ostop said.
“They want to hit the ground running and start hiring. If you sign a lease today, you’re operational by Thanksgiving,” he said.
