Brockway Square in Homer – to be built on the site of the former Brockway Carriage Works factory – has been canceled, a month after applying for a $1 million grant.
Jamie Yaman, principal broker for Yaman Real Estate, proposed a commercial kitchen, community center and year-round farmers market at 41 James St. in the village of Homer’s wishlist for the $10 million Downtown Revitalization Initiative.
“We’ve decided to not move forward with the project,” Yaman said. “The numbers just didn’t make sense.”
Part of the structure was built in 1909, with major renovations and additions in 1959 and 1995. After Brockway left, it became a soap factory, village Historian Martin Sweeney has said.
Yaman had considered two options for the site: a $5 million to $7 million renovation for commercial and light industrial space; or a $15 million to $20 million residential and commercial space.
However, the cost to get the space to be modern and usable were significantly higher than initial estimates, he said. It was also more difficult to finance the project, due to the current lending environment.
The anticipated income from the residential and commercial components of the building did not align with the costs it would take to make them happen, he said. The mixed-use space was going to be used as a performance and rehearsal venue, or rental classrooms for educators.
“While we explored grant opportunities and were confident we could secure up to 40% of the project cost through grants, the site did not qualify for environmental or historic tax credits — a key piece that often makes similar redevelopment projects financially viable in other markets,” Yaman said in a letter to investors.
Projects like this are successful in markets where income assumptions are 30% to 100% higher than what was projected for Homer, he said.
Seven Valleys Health Coalition’s interest in the red brick building in front of the Brockway Square building has not been affected by the project cancellation, he said. He will continue to serve as an adviser for that project.
The space would be best for a manufacturing or industrial operation in the future, as it is zoned for that purpose, Yaman said.
“It happens,” said acting Mayor Pat Clune. “We will continue to keep our eyes open for opportunities. It’s too bad this didn’t work out, but we will keep going.”
“There is nobody more disappointed than I am that this vision couldn’t be brought across the finish line,” Yaman said in his letter to investors. “This is one of the only times I have had such a clear and impactful vision for a development project that, despite best efforts, I was unable to make work.”
