Town Loses Amerbelle, but Two Other Mills may be Restored

On the day Vernon lost its last remaining link to the big-time mill town it once was, the Town Council endorsed plans by the administration that could help bring two of the old buildings back to life.

Citing the sagging economy and increasing pressure from low-cost foreign imports, Amerbelle Textiles announced it was closing Tuesday after nearly a century-and-a-half in business.

Meanwhile, on Tuesday night, the council approved a tax abatement schedule for a $17 million project to renovate the Old Talcott Mill and essentially restore it completely to its original look for apartments and some commercial use and approved a plan to let Ken Kaplan, the owner of Manchester-based Kaplan computers, be assigned delinquent tax liens for the 200 and 161 West Main St. parcels. The Hockanum Mill is located on the 200 parcel and the adjacent land is across the driveway.

Mayor George Apel said that as of June 1, $133,103 is owed on the 6.75-acre 200 West Main St. property, owned by West Main Development LLC.

The property at 161 West Main St. measures 1.59 acres and as of June 1, $11,284 is owed by the same owner, the mayor said.

The taxes date back to the 2006 Grand List, Apel said.

Kaplan is interested in acquiring the parcels and anchor a development with a 35,000-square-foot computer technical center "to warehouse computers and peripherals," Apel said. Kaplan said he would be storing equipment and building systems.

On Tuesday Kaplan said other businesses he owns or businesses owned by associates of his would be housed on the property for a total of about 100,000 square feet of commercial buildings.

Apel said there are "obstacles" are associated with the properties, such as environmental concerns, state and federal historic restrictions, and the deteriorating nature of the structures. But assigning the tax liens and executing an option agreement with is recommended "to return the properties to the tax base and to move this project forward."

The agreement calls for Kaplan to "purchase" the town's rights to the property for 100 percent of the taxes levied against 161 West Main St. and 50 percent of the taxes levied against 200 West Main St. at the time of the closing.

The tax abatement for the Talcott Mill is designed for 25 years and only waives increases on the assessment at the time of the closing. If the project is completed in 2014, 100 percent of the increased assessment will be abated for five years, then 75 percent in years six through 10, half in years 11 through 15, a quarter in years 16 through 25. After that, the full assessment dictates taxes.

A full detail on what happens i the project takes longer is attached.

The owners havoc already committed about $1.5 million of their own capital to the project. Grants could pay for some of the project, since it is considered a historic property.

The plan of the put in 96 apartments - mostly studio and one-bedroom units, though some two-bedroom units would be built, project officials said.

About 10 percent of the project would be devoted to commercial and complex office space.