The city will receive $1.35 million in new state aid to assist in the redevelopment of the former Bresee's complex and to construct the Veterans Memorial Walkway in Neahwa Park.
The announcement of two Capital Assistance Program grants was made by Mayor John Nader and Assemblyman Bill Magee, D-Nelson, during a media conference at City Hall on Wednesday morning.
The city is slated for $1 million for the former Bresee's and $350,000 for the long-envisioned walkway, Nader said.
"I'm elated that Assemblyman Magee has helped us to secure this all-important funding," said Nader, who was flanked by a poster depicting Bresee's Department Store in its heyday.
The mayor, referring to the project for the first time publicly as the "Bresee's block project," said the $1 million will be used for actual construction work on or around the site of the former Bresee's Department Store. The complex of interconnected buildings was once the heart of downtown commerce and lies between Wall Street to the north, Main Street to the South, Dietz Street to the east and Chestnut Street to the West.
"This is a major commercial block," Nader said.
A comprehensive approach to the Bresee's block could turn it into a gateway to all of downtown, he said.
The city has already received a $1 million City-by-City grant for the project, bringing total state funding procured to $2 million.
Bloomfield/Schon & Partners of Ohio was selected in May by the Otsego County Development Corporation to redevelop the 75,000-square-foot downtown landmark.
The city is leasing the former Bresee's complex at 155-161 Main St. from OCDC for $1 after city and OCDC officials engineered a transfer-of-title agreement with National Emergency Medicine Association last year.
The complex's former owner, Maurice Ramos, donated it to NEMA, a nonprofit medical education organization, in exchange for a tax break. Ramos had unsuccessfully tried to sell the building, which has largely sat vacant for the last 10 years and has significant roof damage and other structural problems.
OCDC is a private, nonprofit economic development corporation.
OCDC President Douglas Gulotty previously said it could eventually be a $4.5 million to $7.5 million renovation/preservation project.
Nader on Wednesday said the project's scope could go beyond the footprint of the former Bresee's.
The city is seeking the revitalization of the entire Wall Street area, he said.
City and OCDC officials in the past said it is possible Wall Street could be turned into a one-way street.
"It's very ambitious," Nader said, when questioned on if the project was becoming too large. "We're going to continue to search for other funding sources."
Bloomfield/Schon is also prepared to leverage the project with private funding, Nader said.
"(Bloomfield/Schon) has started their engineering review of the building," said Community Development Director and OCDC board member Joseph Bernier.
The city is expected to hear from the company within the next few months on what it feels is feasible for the site in terms of marketing potential.
"I don't think we have a timeline yet," Bernier said.
Kenneth Schon of Bloomfield/Schon has said it is his company's goal to involve the community in shaping the future of the site.
The company has not offered any specific proposals for the site, but city and OCDC officials are expecting the renovation to include retail, residential and office space.
