Rentschler Project Gets Huge Boost

August 12, 2005
By DAN UHLINGER, Courant Staff Writer

EAST HARTFORD -- Calling their decision historic and unprecedented, town council members authorized Mayor Timothy D. Larson Thursday to sign tax-abatement agreements designed to help bring ING Group and Cabela's to the new $2 billion development planned for Rentschler Field.

ING, a global financial services company, and Cabela's, the country's largest direct marketer of outdoor merchandise, are negotiating incentive packages with state officials, and the town tax agreements were critical, Larson said.

"This is such a complex real estate deal, and transactions are still going on. This is only one leg," Larson said, referring to the tax agreements.

ING's lease from Aetna in Hartford expires in 2007 and the company needs to find a new office facility for its 2,000 employees. ING could not find a suitable site in Hartford and decided earlier this year to construct a four-story, $90 million building at Rentschler.

ING issued a statement that Larson read at the council meeting.

"ING will be working aggressively over the coming weeks with the state, town and developer to resolve important remaining site development issues in the hopes that we can translate our vision into reality," the statement said.

Cabela's wants to build its first tourist destination superstore in New England at Rentschler. The store would be a 200,000-square-foot building on 25 acres. The site would include a 10-acre lake.

Dan Matos, the developer whose company was chosen by United Technolgies Corp. to develop Rentschler, said the superstore could draw 3 million to 4 million customers annually and generate $80 million to $100 million in sales.

Dennis Highby, president of Cabela's, said East Hartford was an ideal location for a destination superstore.

"Spending time outdoors hunting, fishing, hiking and camping is a big part of the history and culture of Connecticut and the Northeast, and we know that we will complement and benefit the community," he said.

If negotiations with the developer and state continue successfully, Cabela's would commit to a minimum of 20 years at the location, Highby said. The store would employ more than 450 workers and could open by fall 2007.

The store would have a museum, aquarium, restaurant and other amenities and serve people interested in hunting, fishing, camping, hiking and other outdoor endeavors. It also would sell gifts and furnishings.

ING and Cabela's would be the first tenants at the 650-acre development proposed earlier this year by the Matos Group. The proposal calls for a mixed-use development of technological research offices, hotels, medical and sports facilities, housing and retail.

Michael Walsh, town director of finance, said the 650 acres currently generates $564,000 in tax revenue. At full development, the taxes are estimated at $57 million.

Walsh said that under the ING tax abatement agreement the town would collect $11.5 million over 15 years and about $6.5 million in taxes would be abated.

Under the Cabela's agreement, the town would collect $12 million over 15 years and about $6.6 million would be abated.

The tax abatements for both companies total $13.2 million, and the state would reimburse about $2.1 million of that figure to the town.

Courant Staff Writer Dan Uhlinger is scheduled to discuss this story on New England Cable News each hour today between 9 a.m. and noon.