$220M Redevelopment To Transform Rhode Island's Superman Building

PROVIDENCE, RI — Rhode Island's long-dormant "Superman Building" will be redeveloped for residential use, state leadership announced Tuesday afternoon. The project is expected to cost $220 million and result in 285 new residential units.

"At the end of the day, it's going to light up a building that has not been lit in almost a decade," Gov. Dan McKee said.

The announcement came exactly nine years to the day after Bank of America moved out of the building at 2 p.m. on April 12, 2013. Since then, the iconic building has sat dark and empty in the middle of Providence's bustling downtown.

"We are proud of the partnership that has come together to bring this iconic building back to life," Commerce Secretary Stefan Pryor said. "This project will bring hundreds of residents downtown, create hundreds of construction jobs, and restore a key feature of our skyline. We thank the multiple public and private sector partners who have made this day possible."

Once redevelopment is complete, 20 percent of the building's 285 apartments will be designated for affordable housing. The building will also have about 8,000 square feet of commercial office space and community space for events, stores and other uses in the massive art deco banking hall.

The governor said the project will help continue Rhode Island's economic recovery from the coronavirus pandemic.

"This project will help to maintain that momentum by reinvigorating downtown Providence, creating good-paying construction jobs, increasing our state’s market-rate and affordable housing supply, and generating further opportunities for the residents and businesses of our capital city," McKee said.

The redevelopment project is expected to create about 1,600 locals jobs, with guarantees of labor agreements for worker pay and at least 20 percent partiicpation of minority or women-led businesses. High Rock Capital, the developers behind the project, also committed to making a $500,000 donation to Crossroads Rhode Island in the 10 years after the project is completed.

"We have finally met a moment both economically and politically where everyone has come together to find a solution to repurpose this historic building in a manner where it will again contribute to Rhode Island’s economy and provide much needed housing for Rhode Islanders," said David Sweetser the principal investor in High Rock Development.

House Speaker K. Joseph Shekarchi applauded the agreement, which includes no new allocations of state funding. In total, the state will contribute $26 million to the redevelopment, or about 12 percent of the overall cost.

The Industrial Trust building first opened back in 1928, built in the opulent art deco style popular in the era. It has long been called the "Superman Building" due to its similarity to the Daily Planet building from Superman comics.

Providence Mayor Jorge Elorza called the redevelopment the next step in the revitalization of Downtown Providence.

"Redevelopment of the 'Superman Building' is crucial to activating Greater Kennedy Plaza as the civic heart of our city and, symbolically, as Rhode Island's skyscraper," Elorza said, calling the plaza the building's "front door."

Here's a look at the project numbers, at a glance:

• High Rock Capital has committed to providing over $42 million towards the project which includes up to $32 million in cash equity, as well as the land and building.

• $26 million in contributions from the State’s existing housing and economic development programs (this is 45 percent less than the developer’s recent financial request to the State)

• $22 million in federal Historic Tax Credits

• $10 million in a loan through the City of Providence Housing Trust through the Providence Redevelopment Agency

• $5 million in a direct contribution from the City of Providence

• $2 million in federal New Markets Tax Credit proceeds

• The Developer intends to seek a Tax Stabilization Agreement from the City of Providence.

• The Rhode Island Foundation is providing bridge financing for the Rebuild Rhode Island Tax Credits which reduces the project’s financing costs.

This article originally appeared on the Cranston Patch