May 1 , 2006, Fitchburg, Massachusetts—Downtown revitalization plans took a big step forward in April when The Twin Cities Community Development Corporation announced its plans to purchase 470 Main Street and invest approximately $9 million dollars to develop the upper floors of the building into much-needed housing.

From left to right: Ken Wade, CEO of NeighborWorks America; Congressman John Olver, D-MA; Fitchburg Mayor Dan H. Mylott; LaRayne Hebert, NeighborWorks America New England District Director; James Word, NeighborWorks America, Management Consultant; Marc Dohan, Executive Director Twin Cities Community Development Corporation.

The announcement came at an open house in the 470 Main Street building held by the Twin Cities CDC, TD Banknorth, Congressman John Olver, the city of Fitchburg and NeighborWorks® America, a national intermediary that provides financial support, technical assistance and training for community-based revitalization efforts. So far, NeighborWorks America has contributed $50,000 to this project.

The Twin Cities CDC helped revitalize Cleghorn through the Plymouth Street Initiative and more recently has built homes in the North Street neighborhood. A chartered member of the NeighborWorks network, Twin Cities CDC is a community-based non-profit that provides a range of economic development programs including housing, small business assistance, anti-lead paint initiatives, home buying programs, community organizing activities and youth programs.

To anchor the development, TD Banknorth plans to keep its existing branch and office operations on the first floor of the building and the Twin Cities CDC will move its offices from Kimball Street to Main Street. TD Banknorth Massachusetts President Christopher Bramley said the bank, which approached the Twin Cities CDC with the concept, is “pleased to be working with the Twin Cities CDC in creating mixed income housing for the downtown Fitchburg area. We are thrilled to support this project to promote the economic growth and revitalization in the City and downtown area while supporting the health and well being of individuals and families in offering housing to those who want to live and work in the surrounding area. We realize that thriving communities make good business sense while, at the same time, provide a broader range of individuals with the opportunity to achieve their economic goals and dreams. We are pleased to support the CDC’s efforts in this area and welcome their partnership going forward.”

The renovation of 470 Main Street contributes to the development of quality rental housing in downtown Fitchburg.

The upper floors of the building will be converted into 31 one-and two-bedroom apartments that are expected to rent in the $800- $900 range with the exception of nine units that will be affordable for small families earning between $25,100 and $38,700 per year.

“This is great news for the downtown,” said Fitchburg Mayor Dan H. Mylott. “The bank is staying on Main Street, we are gaining the CDC operation here, and we are taking a pioneering step toward a long-range goal of establishing a residential neighborhood to secure the downtown’s commercial viability,” he added.

Following the adoption of the urban renewal plan, the City Council approved a zoning change to permit residential use of vacant upper stories in the Main Street area. The urban renewal plan is a $22 million, 20-year project run by the Fitchburg Redevelopment Authority.

Marc Dohan, executive director of the Twin Cities CDC, said that financing for the project is not in place, but that he expects to raise the needed funding from approximately ten different sources.

Congressman John Olver, who helped secure a $600,000 U.S. Housing and Urban Development grant to jumpstart the project, said he is sold on the concept because it helps the city meet its goal for downtown and will increase the number and quality of rental housing in the area.  Olver, most senior Democrat on the Appropriations Subcommittee on Transportation, Treasury and

HUD, said, “Today, we celebrate the results of a successful partnership that has fought hard to strengthen a community. It is gratifying to see such wonderful progress on the revitalization of downtown Fitchburg just in the few months since I secured $600,000 through HUD for these efforts. Through the hard work of this community, we are seeing the return of good jobs, strong businesses, effective transportation modes and now quality housing to the Main Street area. Along with Putnam Place, the Riverfront Park and the new transportation center, this project is another cog
in the wheel that is moving the city forward.”

Ken Wade, CEO of NeighborWorks America, an early backer of the project, said “Research shows that access to high-quality rental homes contri-butes to a community’s economic and social health, improving job retention, economic development and higher-performing schools. We’re pleased to support this important community revitalization effort.”

In addition to redeveloping 470 Main Street, the CDC is “working with residents of the neighborhood, a coalition of non profit agencies, and various City departments, including the Police Department to improve police patrols and create more youth services and neighborhood self-development projects, said Emily MacRae, president of the CDC’s board and a resident of Fitchburg. MacRae added that the investment in 470 Main Street is a cornerstone of those efforts.

The building was constructed in 1895 and formerly housed the Safety Fund National Bank, which was purchased by TD Banknorth. The building was designed by noted Fitchburg architect H.M. Francis. Its upper floors served as the executive suite for the Symmonds Saw Company, whose manufacturing building at the time was on the corner of Main and North Street.

Dohan noted that the CDC would not have become involved with the project if it would have made sense for a for-profit developer. “Without public financing and the commitment of TD Banknorth to keep its branch open this project wouldn’t move forward. We plan to seek financing via historical and new market tax credits as well as grants and loans from the city, state and federal governments. Without this backing, there is little doubt that the upper floors of this building, at least, would remain empty,” he said.

The building will remain on the city tax rolls once the process is complete.

About NeighborWorks America
NeighborWorks America is a national nonprofit organization providing financial support, technical assistance and training for communities across the nation, including the NeighborWorks network— a nationwide network of more than 245 community development organizations working in more than 4,400 urban, suburban and rural communities across America. These organizations engage in revitalization strategies that strengthen communities and transform lives. In the last five years alone, NeighborWorks organizations have generated more than $10 billion in reinvestment and helped more than 780,000 families of modest means purchase or improve their homes or secure safe, decent rental or mutual housing.