Date: 1/4/2023
SPRINGFIELD – The eighth round of American Rescue Plan Act (ARPA) funding to business and economic development projects includes monies to minority and/women-owned small businesses in the city as well as nonprofit organizations, and $3.27 million to three projects, two of which that would transform currently vacant buildings.
Mayor Domenic Sarno made the announcement of the grants at a press conference on Dec. 21. This round of funding will be the next to the last, Sarno explained, with one more such announcement coming later in January.
The grants announced total about $1.7 million to the small businesses and nonprofits.
The three other grants are part of the Build Back Springfield projects.
DM Renaissance Development received $2.1 million for the redevelopment of the former Kavanaugh Furniture Store on State Street into a mixed-use complex with apartments for the Mental Health Association Association.
Carlou Reality, LLC received $500,000 for the redevelopment of the building at 1252 Main St., at the corner of the Court Square (Elm Street) area. The five-story building was used for both offices and apartments in the past and was built in 1880. According to its real estate listing, the first floor was used as both a bar and bagel shop and the second and third floors were offices. There is a penthouse apartment on the top floor.
Develop Springfield received $670,000 for the Innovation Center at 276 Bridge St. for job creation and business support initiatives.
Sarno said his administration “adhered to all of the strict guidelines.” There have been 20,000 applications and request for funding and the mayor noted all ARPA funds must be allocated by 2024 with the projects completed by 2026.
Chief Development Officer for Springfield Tim Sheehan said, “The awards may be coming to an end but the projects are just starting.”
Don Mitchell of DM Renaissance Development said the project at the Kavanaugh building includes 30 apartments to be administrated by the Mental Health Association as well as create new retail space. “This project could not happen without gap funding through ARPA.”
He added the renovation would create 30 to 40 construction jobs.
The businesses that received funding included: White Lion Brewing, $250,000; Dewey’s Jazz Lounge, $250,000; Souper Sweet Sandwich Shop $75,000; Beaute Within, Inc. $50,000; Mom & Rico’s, $29,000; A Brighter Future Child Care, $25,000; MGB dba Elegant Affairs, $22,625; Yaritza Paula, $15,000; Liberty Mediterranean Giant Grinders, $10,000; Hanna’s Diner, $10,000; Kenia Hair Center, $10,000; Imperial Aquatics, $10,000; Pine Point Variety LLC, $10,000; and 413 Multi-Service, $5,500.
Ray Berry Jr. of White Lion Brewery explained the funding will be used to continue the brewery’s investment in equipment and expansion of employees.
According to a statement released by the Sarno Administration, “With today’s announcement, the city’s small business program has awarded, in total, approximately $6 million to 65 small businesses, with the majority of awards going to those most impacted by the pandemic. Of the small businesses which have been awarded funding, 60, or 92 percent, are minority owned businesses.”
The nonprofits that received funding were Catholic Charities Agency, $300,000; New North Citizens Council, $214,000; Revitalize CDC, $200,000; Central City Boxing and Barbell, $150,000; Art for the Soul, $50,000; and the Greater Springfield Convention and Visitor’s Bureau, $19,005.
Ethel Griffin of Revitalize CDC said the funding would allow the housing renovation program to grow and to serve more senior citizens and veterans.
To date, over $11.6 million has been allocated to 42 nonprofit organizations in the city.
Also, more than 2,276 ARPA household applications have been processed and approved totaling approximately $3.2 million awarded to residents and seniors.
Sarno said the city will stop taking applications for small businesses, new businesses, and nonprofit organizations as of Dec. 31, 2022, and the household assistance will stop taking applications for this program as of Jan. 15.