Redeveloping the Hospital Site
The recent acquisition of the hospital site by Bedford, facilitated by a $2 million settlement from University Hospitals, along with a donation of the 12+ acre site itself, presents a unique and significant opportunity to shape the future of Downtown Bedford. This prime acreage holds the potential to address long-standing desires of residents and create a dynamic, thriving district that seamlessly integrates with the existing fabric of Bedford.
Connectivity and Liveability
Understanding the site, development feasibility, and the aspirations voiced by the community is crucial in formulating a feasible and impactful development plan. Residents emphasized the need for diverse housing options, including affordable units, alongside recreational opportunities, vibrant restaurants and bars, and flexible event spaces, underscoring a desire for a more dynamic and engaging downtown core, one that caters to a broad spectrum of needs and interests.
The development plan for the hospital site is a carefully considered response to the needs and aspirations of the Bedford community, grounded in a realistic assessment of market conditions and feasibility. By prioritizing connectivity, embracing affordable housing, introducing unique amenities like a brewery, strategically planning for future development, and thoughtfully integrating the new district with the existing neighborhood, we aim to create a vibrant, sustainable, and desirable destination that will enhance the quality of life for all Bedford residents for years to come.
Stock image concept of brick townhomes.
New Townhome Development
Addressing the community’s strong desire for diverse housing options, our plan’s residential development plan is anchored by affordable townhomes throughout the site, offering several key benefits. Firstly, it provides density while maintaining a suburban aesthetic and charm. Secondly, it allows for the inclusion of affordable housing units without concentrating poverty, as the development is adjacent to a robust stock of single-family homes, as well as downtown’s vibrant economy. Thirdly, it begins to set the stage for attracting higher-income residents who look for dense, non-single-family housing, which should inject spending power into the local economy and bolster the overall success of the new district over the years to come. Finally, these townhomes serve as a transitional element, gradually easing the shift from the higher-density development of Downtown Bedford to more traditional single-family tract housing.
Additionally, the old hospital building will be renovated and repurposed, adding 6 1-bedroom market-rate apartment units, perfect for young professionals, and 10 hotel rooms that will serve to accommodate the local businesses and any inbound visitors they may have, as well as Metroparks patrons looking to make a vacation out of their adventures.
Stock image concept of outdoor brewery seating.
Brewery / Beer Garden Concept
Complementing the residential component, our plan envisions the development of a brewery centrally located in the district, addressing the community's desire for food and beverage options and a new amenity in the form of an event space. A brewery in this location is likely to be highly attractive to corporate entities in the Auto Mile and Downtown, employees from the adjacent office building, and visitors to the Bedford Reservation, who often seek a place to unwind after outdoor activities.
Across the brewery is an open-field park that, while providing an additional amenity for all residents and visitors, serves as a great space for brewery patrons to allow their dogs and kids to play or for the library across the street to set-up regular programming for its own patrons.
A.I. concept rendering of new multimodal streetscape.
Street Redesign & Bike Path
A central tenet of our plan involves prioritizing enhanced connectivity and the creation of a more pedestrian and cyclist-friendly environment. The introduction of new streets will lay the groundwork for thoughtful lot design and comprehensive master planning. The incorporation of a dedicated walking path in front of the planned park, along with a bike trail traversing the site, positioned away from the central road, aims to mitigate traffic hazards and encourage greater foot and bicycle traffic throughout the new development. This focus on connectivity will not only improve safety but also foster a greater sense of community and accessibility while bringing new visitors to the planned district.
Financing Model
These redevelopment efforts will certainly bear significant costs. The project will be helped along due to the former hospital system’s donation of the site, eliminating a typically significant cost item. Nonetheless, there is significant work to be done in terms of demolition and remediation in order to prepare this site for its newfound future. Most buildings will need to be leveled, parking lots will have to be torn up, and utilities will need to be extended. A strategic financing approach is required, utilizing tax credits generated by the affordable housing, and partnering with governmental entities and non-profits to seek out additional grants and soft debt.
The project’s strong cash flow projections allow for a significant loan amount to cover gaps remaining after the utilization of the suggested financing methods. In addition, a TIF district on the development would allow for another large piece of debt to cover that gap, creating a balanced budget. We expect the developer of this district will contribute significantly as well, with that contribution divided between a cash contribution and deferral of their development fee.
As previously described, our project is anchored by the presence of affordable townhomes, and that proves true in the numbers, as they dominate square footage and revenue. The hotel rooms in the repurposed hospital building generate strong revenue as well, with the brewery and market-rate apartments in the hospital building also being significant contributors. Income is rounded out by parking charges.
The redevelopment of the hospital site is, no doubt, a massive catalyst for the resurgence of downtown Bedford. The results have the potential to transform the district and the city as a whole. TIF revenue created through an agreement by the city and a developer would be expected to generate $5+ million in bonds that would be used to fund the project. Between the brewery, hotel, and multifamily projects, the project is expected to generate upwards of 150 temporary construction jobs (generating $381,000 in income tax revenue), 15 permanent jobs, 110 new residents, $85,000 per year in permanent income tax revenue and $563,000 per year in property tax revenue. In total, this development would generate $5.3 million in revenue for the city over a 30-year period.
While these are already substantial first-order outcomes, downtown should experience a ripple effect from this development, where new residents become patrons of local businesses, Bedford puts the tax revenue to good use, funding programs and infrastructure, and people who would have never spent time in downtown Bedford are now frequent visitors. This initial transformation will be a triumph in and of itself, but it is truly only the beginning of what is to come for Bedford.
