Bethel Scores $4.5M In State Funds For Development Near Train Station

BETHEL, CT — The third round of a new state grant program will inject $4.5 million in funding into a mixed-use development project adjacent to the Bethel Train Station.

The grant for 9-11 Diamond Avenue will convert vacant and underutilized industrial land to a transit-oriented village, according to a statement released Thursday from Gov. Ned Lamont's Office.

The residential component will include approximately 200 units, 20 percent of which will be affordable. Commercial development will focus on complementary businesses and high-priority commercial uses. Infrastructure improvements will support this project and future developments. A greenspace and public nature reserve path will also be included, according to the news release.

The funding is part of the Connecticut Communities Challenge Grant Program, which has awarded more than $95 million in support of projects in 21 cities and towns. This third round sees $23 million being gifted to eight towns and cities, including Bethel.

Hartford expects these awards to create more than 2,300 units of housing; more than 300,000 square feet of office, retail, and restaurant space; and at least 12 new public space projects. The program is also meeting the goal of investing more than half of the funding in distressed municipalities.

Administered by the Connecticut Department of Economic and Community Development, the program was created in 2021 with the purpose of funding a range of revitalization projects intended to spur the growth of new jobs. This third round of grants leverages approximately $105 million in non-state dollars.

"These investments in our communities are good for businesses, residents, and visitors alike," DECD Commissioner Alexandra Daum said. "Creative redevelopment of these sites will encourage vibrancy and build urgently needed housing units and childcare capacity."

This is Bethel's first drink from this particular state trough. The initial round of grants under this program was released in April 2022, and a second round was released in December 2022.