Developer Seeks Tax Financing for Broad Street Project

Mixed-use development promises to transform vacant downtown property with residential units and commercial space

BRIDGEWATER - April 9, 2025 - A proposed mixed-use development at the former Friendly's property on Broad Street could transform a long-vacant downtown Bridgewater and is seeking Town Council approval for a tax increment financing agreement.

Bob Cormier, a Bridgewater native and partner on the project, presented his proposal for the 70-86 Broad Street property to the Town Council on April 8, requesting a 15-year tax increment financing (TIF) agreement to make the project financially viable.

"This site has been deteriorating for 20 years. Nobody has lifted a finger to change its course the way we have in the last 18 months," Cormier told the council. "I'm at my limit at this point of listening to the opinions of bystanders for two decades on this site."

The project consists of 77 residential units, primarily one-bedroom apartments, and 6,300 square feet of commercial and retail space across three buildings. The development targets young professionals, BSU employees, graduate students, and seniors looking to downsize.

Cormier explained that the TIF is necessary to secure financing in today's challenging market with high interest rates and construction costs. The agreement would provide a partial tax abatement on the improved value of the property for 15 years.

"A TIF is one mechanism to help address that," Cormier said. "I will disagree. A TIF and a DIF should not be spoken about in the same sentence. They achieve two very different things."

Under the proposed agreement, the property would generate $105,000 in annual revenue in the first year compared to the current $14,000. After 15 years, the property would be taxed at its full assessed value, projected to generate over $320,000 annually.

"The abatement that we're asking for is about $2.6 million. If you average, it's probably a little bit lower," Cormier said. "I'd have to pull that or more out of the project to be able to get the same financing."

The developer emphasized that the project would generate significant one-time revenue through permit and utility fees totaling approximately $773,000. He also projected additional revenue through excise and meals taxes.

"We're going to generate an 833% increase in revenue at year 15 and a 2,285% increase in revenue at year 30," Cormier said. "The comments that this proposal is costing the town money I cannot get behind."

The redesigned project incorporates feedback from previous public meetings and now conforms to all technical and design elements within the form-based code. Changes include mansard roof lines, brick accents, and high-quality landscaping.

"We've decreased the number of bedrooms by 16% from 120 to 101," Cormier said. "Everyone wanted less density, which I can completely understand. We increased the commercial space by 10% from 5,700 to 6,300."

For the commercial spaces, Cormier plans to target a tap room brewery, a food collective with common seating, and wellness-focused businesses like Pilates or physical therapy.

"The goal is to have businesses that feed off and complement each other and they're not repetitive for the businesses that we have downtown," he said. "I'm only engaging with high quality businesses that are committing to serving and growing within our community in the long run."

Several residents spoke about the project during public comment. Carlton Hunt of Austin Street urged the council to have the Finance Department complete a financial impact analysis of the proposed TIF agreement.

"The loss of legitimate tax revenue for 15 years is a negative physical impact, especially in this financially challenged era," Hunt said. "The Town needs to hear from our Finance department on this proposed agreement."

Mike Manta of Vernon Street spoke in support of the TIF, noting the difficulty of financing development projects in the current economic climate.

"I'm in the development space and I fully understand how difficult it is to get projects financed today," Manta said. "Here we have a local person investing in the community, proposing a beautiful project and telling you exactly what is needed to get done with this quality."

Marilee Kenney Hunt of Austin Street (and Councilor At-Large candidate) suggested the town consider a District Improvement Financing (DIF) instead of a TIF.

"Given our town's current situation, that is not affordable. Our town needs full tax income from every source," Cunningham said.

Jim Wilder of Curve Street (and Councilor At-Large candidate) supported the development, saying, "This town needs to invest in downtown. This is an empty property for 10 years producing nothing but 14 grand a year."

When asked what would happen if the TIF isn't approved, Cormier outlined three possibilities: investors could pull out, they could wait for a change in the town's position, or they might pursue a lower-quality development.

"Build it fast, build it cheap, strip the brick out, fire it up, lower the rents, get it rented. This now becomes a smash and grab," Cormier said of the third option. "I want nothing to do with that."

Councilor Johnny Loreti requested that town staff, including the town attorney, review the agreement before the committees meet to discuss it. The Town Council voted to refer the TIF proposal to the Budget and Finance Committee, Finance Committee, and Community and Economic Development Committee for review before their next meeting on April 22.

Watch the complete meeting courtesy of BTV and the Town of Bridgewater.