CitySquare, a $565 million, multi-phased project in the heart of downtown Worcester, is one of the largest public-private development projects in the Commonwealth outside of the Boston area. Upon completion, the project is anticipated to create more than 2.2 million square feet of commercial, medical, retail, entertainment, and residential space. The private partners for the CitySquare project are Opus Investments, a real estate arm of The Hanover Insurance Group (a Worcester-based insurer), and Leggat McCall Properties.
The approximately $470 million private investment will be supported by $94 million public investment in the project area, which was designated a District Improvement Financing (DIF) District in 2005. This designation, the first of such in the Commonwealth, enables the City to utilize tax revenues generated from property within the DIF project area to fund public infrastructure and public project elements in support of this major and pivotal redevelopment project.
Over the past two years, the City of Worcester has been diligently working with the developer, CitySquare II Development Co. LLC (“CSII”), to complete the abatement and demolition of the former Worcester Common Fashion Outlets mall as well as portions of the adjacent parking garage. As a result, private development is ongoing within the project, and includes the construction of a 214,000 square foot building for Unum (Paul Revere Life Insurance), and the renovation of an 860-car parking garage. This construction has resulted in an $85 million investment and the creation of more than 300 construction jobs. Unum recently moved into its new office building in January 2013, retaining 700 jobs and creating 50 net new jobs.
In addition, Saint Vincent Hospital is in the midst of constructing a 66,000 square foot cancer center. The new center represents a $21 million capital investment by Vanguard (parent company of Saint Vincent Hospital) and is expected to open in April 2013.
Lastly, the physical infrastructure surrounding CSII has undergone considerable changes. As a public component of the project, a new roadway network has been constructed, creating an east–west connection through the downtown. Front Street and Mercantile Street are now open and accessible to vehicular and pedestrian traffic.
It is anticipated that the CitySquare project will require between eight and ten years for full build out. This project will leverage significant additional private investment in future phases, which are envisioned to consist of new construction for office, residential, retail, entertainment, and hotel opportunities. Click here for more info
For specific information on public documents related to CitySquare click here or contact Heather Gould, at 508 799-1400 x233, GouldH@worcesterma.gov