Healthcare leader signs Connecticut’s biggest lease of 2020

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Summit Development, and its joint venture partners Crestline
Investors and Rizzo Companies, has signed a 220,000 s/f lease with Nuvance
Health Systems at The Summit at Danbury.

The deal is the biggest lease
in state this year and will allow Nuvance to consolidate
offices in Connecticut and bring 500 jobs from locations in New York.

The lease with is for 12 years and includes an option to expand up
to 300,000 s/f at the former Union Carbide headquarters building redeveloped by
the JV as an office, residential and educational complex.

“The turnaround of this property that had been a beacon in Danbury
for nearly 40 years has gone beyond what we could have imagined,” said project
Michael Basile project manager, noting the property was acquired in foreclosure
for $17 million with a handful of tenants.

“We have invested $20 million in improvements, and we have been
blessed with robust commercial activity that has brought 12 new leases since
our October 2018 acquisition, increasing occupancy from 20 percent to 41
percent,” added Basile. “The Nuvance lease will bring office space occupancy to
80 percent and with their proposed further expansion we will be at 100
percent.”

Renamed The Summit at Danbury, the redevelopment included a
restaurant and a new road for improved access. Work is also set to get
underway on creating 200 apartments following zoning approval from the city of
Danbury.

The JV is also working out an agreement with the state to build a new school funded 80 percent by the state. The $75 million Danbury Career Academy for middle and high school students has been approved by the State and could serve as a model for others, according to Summit Development president Felix T. Charney.

Nuvance will occupy 220,000 s/f of office and lab space

“Assuming the final bonding for the academy is approved in January,
we will have filled all but 120,000 s/f of the 1.2 million we acquired in
foreclosure,” said Charney. “To accomplish this required a shared vison of all
involved and a willingness to, quite literally, think outside the box. I am
proud to have been a part of a true team effort.”

Nuvance Health was created by the merging of Health Quest and
Western Connecticut Health Network. The health group operates seven hospitals
in Connecticut and New York, including Danbury Hospital and Norwalk Hospital,
and Putnam Hospital and Vassar Brothers Medical Center in New York. Its
executive headquarters, back offices, labs and clinical facilities will be
consolidated at The Summit.

 Crestline’s James Delaune said:
“We are delighted that Nuvance has chosen The Summit as its new home. Our team
has worked hard to restore visibility of this iconic Danbury property. Having
Nuvance as the new anchor tenant will assure The Summit’s prominence as
Danbury’s premier office and medical address.”

“The announcement of the agreement between The Summit and
Nuvance Health is some of the best economic news we have seen this year. As
Connecticut enters the holiday season, this is great news that we should all be
celebrating,” said Governor Ned Lamont. “Summit Development has made a lasting
commitment to Danbury and to the State of Connecticut through their investment
in this property, and their new partnership with Nuvance Health, a healthcare
institution which provides world-class care. This announcement is only the
beginning, as I know it will serve as a catalyst for additional growth and
development in Danbury.”

“The Summit at Danbury is positioned to be our city’s biggest asset,” said Mayor Mark Boughton, who is leaving office to become the Commissioner of the State Department of Revenue Resources. “Nuvance Health’s decision to move its regional and New York-based offices to the Summit is great news for our entire city. In this highly challenging time, the success of The Summit is a bright spot and an encouraging sign for the future. The Summit is progressing quickly not only in attracting office tenants, but adding residential apartments, a variety of retail and restaurant spaces and the first of its kind public school career academy to teach career skills. The Summit will have it all. Our city is excited to welcome Nuvance and all of the new workers, residents, students and visitors that the campus is attracting.”  

The 1.2 million square feet former Union Carbide complex in Danbury is being redeveloped as a live, work, play community.

Designed by the architectural firm of Kevin Roche John Dinkeloo,
the unique building was constructed as Union Carbide’s corporate headquarters
in the early 1980s at a cost of $450 million. In 2002, Dow Chemical acquired
Union Carbide and sold the building in 2006. In 2009, a new owner purchased the
1.2 million-square-foot hilltop building at 39 Old Ridgebury Road just off
Interstate 84 Exit 1 just east of the New York State line in 2009. Converting
it to multi-tenant office space and renaming it The Matrix, it enjoyed some
leasing success. However, following the death of the owner six years later in
an auto accident, the complex began losing tenants and eventually slipped into
foreclosure.

When completed, The Summit
at Danbury
will have 600,000 s/f of Class A office space; 75,000 s/f of
conference and event space; and 30,000 s/f of core services and amenities
including Market Place Kitchen & Bar, Platinum Fitness, conference space
and pool; 400 residential apartments; and a public school.  

A team of Gerry Leeds, Maureen O’Boyle ,
Jim Fagan , Brian Scruton , Adam Klemick and Kathleen Fazio at Cushman & Wakefield assisted with the Nuvance lease.

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