A group of Danbury City Council members are recommending that the former Tuxedo Junction building, which the City owns, be sold to Savings Bank of Danbury. The bank is looking to construct a 35,000 square foot office building at the corner of Main and White Streets, also buying the Regional YMCA of Western Connecticut Escape to the Arts facility.
The facility would house the bank’s non-branch, back office operations. The Y and Tuxedo buildings would be demolished and replaced with a new four story structure.
The Tuxedo Junction building, which has been vacant since 2015, was purchased by the City in 2017 for about $395,000. According to Vision Appraisal, it's worth $606,000.
If the ad hoc committee's recommendation is approved by the full City Council, the proposed disposition of the property would go to a public hearing. The sale would need two thirds vote of the Council. Negotiations on the sale price are expected after an official appraisal is completed.
Councilman Ben Chianese opposed the sale of the Tuxedo Junction building, though supports the corner of White and Main Streets being developed by Savings Bank of Danbury. He wants the City to put the municipally owned parcel out to bid again. But Mayor Joe Cavo says the building needs $600,000 to $1 million worth of work in order for it to be occupied by a tenant. Danbury officials say the building has fallen into disrepair since the City took ownership.
Former Mayor Mark Boughton attended the ad hoc committee meeting and noted that he is providing free consulting services to Savings Bank of Danbury.
Savings Bank of Danbury will continue to use its location at 220 Main Street as its headquarters. CEO Martin Morgado says they've been looking for the right location for this proposed expansion for some time. He added that the new location will enable them to consolidate operations and provide dynamic meeting space and operations facilities. Morgado hopes to gain all necessary approvals and have the new building opened by the end of 2023.
Savings Bank of Danbury is the oldest continuously operating business in the City, dating back to 1849. The last significant building project in Danbury for the bank was in 1999 with the construction of their location at 35 West Street. At that time, the Bank had 65 employees and $362 million in assets. Today, Savings Bank of Danbury has over 200 employees and $1.4 billion in assets.