"Today's groundbreaking is representative of the kind of economic development that's energizing our state," said Raimondo. "The Rebuild Rhode Island program is spurring investment and construction, which will lead to more jobs and more places to live as more people come to Rhode Island to live and work. The tax credits are part of our ambitious economic toolbox, which has already catalyzed an investment from the private sector that's 10 times the amount provided by the state."
"After careful planning, it is good to see this project breaking ground. I commend Governor Raimondo, Mayor Elorza, and all the community partners who helped make it a reality. This transit oriented development should add even more vitality to the neighborhood," said U.S. Senator Jack Reed. Due to the project's proximity to the Northeast Corridor, Reed worked at the federal level to ensure open communication between the developers and Amtrak so that the project could move forward in accordance with appropriate guidelines.
"My focus as mayor has been a creating stronger and more vibrant neighborhoods throughout the capital city by focusing on meaningful investments," said Mayor Elorza. "The groundbreaking of this project is welcomed as it signals employment and housing opportunities for local families. We are thankful for Governor Raimondo's leadership and partnership for helping to make this project possible."
In just the first year of implementation of the new Commerce programs, Rhode Island has brought in over a million square feet of new development and hundreds of new jobs. Rhode Island has so far invested about $40 million into the Rebuild Rhode Island tax credits to support projects worth approximately $400 million. That's a nearly 10-1 leverage ratio, over a thousand construction jobs, and the beginning of building a vision for Rhode Island's future.
This Commons at Providence Station project would not have been able to move forward without the Rebuild Rhode Island Tax Credits awarded by the Commerce Corporation. As the developer noted earlier this year, "It's because of the Rebuild RI Program that this has been made possible."
An economic tool activated when a real estate project cannot raise sufficient funding or is at risk of locating in another state, the Rebuild Rhode Island tax credit program can fill a financing gap with redeemable tax credits that cover up to 20 percent-and in some cases 30 percent-of project costs. Approved projects can also be exempted from sales tax on construction materials, furnishings and equipment. Qualifying projects include commercial office, industrial, residential, mixed-use development, ground-up construction and historic rehab; a minimum project cost of $5 million and certain project-size minimums may apply.
"The Providence Commons project is the latest in an extensive list of benefits for Rhode Islanders created as a result of the economic incentives we have rolled out over the past 12 months," said Commerce Secretary Stefan Pryor. "We are extremely pleased that John M. Corcoran and Company and Trilogy Development are creating a community that will spark investment activity and produce infrastructure and housing necessary for the state's modern growing workforce. As more businesses set up or expand their operations in Rhode Island, we will need more great housing options to support their talent."
"Providence station and its surroundings have long been a hub of activity, bringing in residents, workers and commuters from all across the region," said Kevin Chase, president of Trilogy Development LLC. "This project will inject new life into the neighborhood and produce housing to support Providence's growing workforce and wider economic community. We're thrilled to be on board as partners with Trilogy Development and the state."
"Rhode Island is on the move and the Rebuild RI program, a key part of our targeted investment strategy, is having a direct impact on our state's economy," said Darin Early, President of the Rhode Island Commerce Corporation. "The 15 projects approved thus far will create one million square feet in new real estate development, creating jobs and new economic activity across our state"
The completed project will have 169 units with 170 subsurface parking spaces and will feature a yoga room, gym and roof deck with views of the statehouse. The transit-oriented project is adjacent to the Providence train station with easy access to the MBTA and Amtrak trains and will cost an estimated at $54.1 million.
Corcoran is a 50-year-old real estate company located in Braintree, Massachusetts, that currently manages 10,000 multifamily apartment homes across Massachusetts, New Hampshire and Rhode Island. Trilogy Development is a Providence-based real estate development, advisory and investment firm located in Providence.