Newport City Council Presses Pause On Casino Redevelopment

NEWPORT, RI — The massive, $100 million redevelopment project planned for the former Newport Grand Casino has been put on hold, at least for now. On Wednesday, the City Council approved a six-month moratorium on all decisions relating to development in the Mixed-Use Innovation District.

Carpionato, the project's developer, said in a statement that the "unfortunate" move by the council "hurts this $100-million project, the Innovation District and the surrounding neighbors."

"There is a misperception among some in Newport that this project was on a fast track, however, that is simply not true," Gregg Perry, a spokesperson for the Carpionato Group, said. "Indeed, we never expected this project to be approved and permitted overnight ... The real issue here is that development is happening in Newport, and apparently there are some people who are nervous about that progress, but singling out one area of the City for a moratorium like this is the wrong way to go about addressing those concerns. In terms of next steps, all options are on the table."

In July, Carpionato unveiled the plan to completely redevelop the former casino, which has sat empty since it closed its doors last year. Under the plan, the 52,000 square foot development would include two hotels, two six-story apartment buildings, 65,000 square feet of retails shops and parking. The developer pitched the area as a way to draw tourism to Newport in the off-season, generating its own traffic rather than simply benefiting from the existing seasonal population.

Several members of the public spoke out in favor of the ordinance, saying too much development is overwhelming the city.

"I'm concerned about the gentrification in my hometown. I want to buy a home and raise my kids here," said Varina Gunn, a lifetime Newport resident. "I think Newport is the best place on Earth. I want to live nowhere else but here, but I would like to own a home. And that hasn't happened yet for me."

Erin Donovan-Boyle, the executive director of the Newport County Chamber of Commerce, echoed Lawrence's sentiment.

"Passing a moratorium will not stop the development at the former Newport Grand site or prevent others from moving forward," she said. "Our biggest concern is the unknown, unintended consequences of this ordinance."

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