Callahan Construction Managers

Callahan Construction has embarked on numerous projects in Connecticut over the years focusing on mixed-use developments, along with affordable and market-rate housing. While every market has been impacted by broader economic forces occurring at the federal level, a groundswell of activity in the Nutmeg State points to continued resiliency in segments like affordable housing, where smart reuse and economic incentive packages are having an impact.

Connecticut Leading the Way

On a national level, affordable housing is lacking in almost every major metro area. State and local leaders are grappling with ways to create more activity in historically tight real estate markets, and Connecticut continues to serve as a model for using existing buildings along with creating smart development packages to spur activity and investment. There are some key trends worth noting that showcase how Connecticut is leading the way:

• Adaptive reuse of former schools and vacant office buildings is helping affordable housing projects kick off in places like Groton and Stratford;
• Focusing on transit-oriented communities that attract residents and developer activity are fueling new projects in Clinton and Hamden, as well as an exciting project that Callahan is overseeing in downtown Newington at The Spark on Cedar;
• Initiatives to spur affordable housing development are moving forward in Connecticut, with leaders focusing on areas that have led to affordable projects stalling or getting cancelled in other states; for example, zoning incentives and legislation that prevents towns from banning affordable housing are being considered.

Ground Up and Adaptive Re Use Are Options in Connecticut

Looking ahead at projects in the pipeline or close to kicking off, we expect that Connecticut will continue to leverage adaptive reuse to push residential projects forward. In addition to the sustainable impact of reusing versus knocking down and building new, existing structures in an formerly industrial economy like New England are typically located near transit hubs or other intersections of people and commerce.

We also expect that projects incorporating an affordable component will see increased incentivization from lawmakers and strong support from the developers that want to bring those properties to market. Connecticut leaders have found ways to leverage tax incentives and other resources to spur much-needed affordable housing activity, and we expect this will only accelerate in the coming years.

State and Local Agencies Help Spur Construction

Finally, it seems likely that lawmakers will continue to look for ways to streamline projects from concept to reality, especially if it adds needed housing stock to statewide inventory. The Spark on Cedar development is a fantastic example of the project team of Anthony Properties, Perry Reid Properties, the Town of Newington, and the Connecticut Department of Economic and Community Development (DECD) working together to bring a project to fruition, and we at Callahan look forward to being part of similar projects in the year ahead