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February 16, 2022

Distribution center proposed for Parker Street property in Manchester

Graphic | Town of Manchester

The proliferation of distribution centers in north-central Connecticut could continue as the town of Manchester recently received a new proposal for a 42,780-square-foot commercial distribution facility at 700 Parker St.

Jimmy Vindici Jr., an associate for The Silverman Group, the developer that owns the property, said a tenant hasn’t yet been named..

SL 1055 Crossroads LLC recently filed an application with the town’s Planning and Zoning Commission to build the facility on a roughly 4-acre lot on Parker Street. The developer describes the property on its website as being in close proximity to Interstate 84 and next to several industrial buildings.

The move continues a trend of increased growth in Connecticut for warehouses and distribution centers, which Director of Planning and Economic Developmen Gary Anderson called a “high demand market right now.”

The developer “is confident enough in the market that … they feel like it’s worth filing the plans without a tenant in place,” Anderson said.

Based in Basking Ridge, New Jersey, the Silverman Group purchased 700 Parker St., for about $13 million in 2019, according to property records. The real estate company also owns various other industrial properties throughout town, including the 60,192-square-foot commercial building at 80 Utopia Road.

Manchester already has the nearly 2 million-square-foot Winstanley Logistics Center, at 1339 Tolland Turnpike that houses distribution facilities for Amazon and Ahold Delhaize, owner of Stop & Shop. Other industrial growth can be seen in East Hartford, where a developer is proposing to build manufacturing, distribution, and research and development facilities.

There are a number of reasons why distribution centers have become so popular in Connecticut, business experts said. Connecticut is centrally located between the New York and Boston metropolitan areas, and has convenient access to highways. Connecticut also has lower property costs than New York or Boston, another reason to build in the state.

The state has recently become a hub for Amazon, which has opened a handful of distribution and fulfillment centers in north-central Connecticut.

Connecticut Business & Industry Association President Chris DiPentima said Amazon’s takeover is indicative of a larger trend: the growth of the warehousing logistics industry, which involves the storage and movement of goods. According to CBIA data, warehousing logistics was one of the few industries that had higher employment numbers after the onset of COVID-19 than it did before.

Some residents said they would welcome another distribution facility because it would benefit the town economically.

“That area of Parker Street is more industrial anyway, so if it brings jobs and pays taxes, then absolutely by all means,” Siobhan Covill said.

“Distribution centers contribute to the local towns in so many ways,” James Brassard said. “The tax base is a huge benefit for the town.”

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