While "Big Box" development may be prevalent elsewhere, no such retail stores exist at the moment in Putnam County, Nadel adds. Development of The Highlands is a joint venture between Nadel, local developer Harold Lepler and Hendon Properties of Atlanta. Nadel explains that Home Depot will be housed in its own 140,000 sf building, while Building #2 at The Highlands will contain a Kohl's department store (86,500 sf) and Linens and Things which has leased 37,000 sf of space.
An additional two buildings at the complex, which is located on Route 312 in the town of Southeast nearby I-84 and the Brewster North train station, will house restaurant type users. Building #5 will house another 85,000 sf of retail space.
Home Depot is scheduled to open by November or December of this year, the Kohl's and Linens and Things building should be completed by the spring of 2002, as will the remaining restaurant and retail space at The Highlands, Nadel estimates. The project took nearly five years to obtain all the necessary regulatory approvals. In addition to receiving a zone change from local regulators, the project is located in the New York City watershed and therefore was subject to stringent environmental reviews.
Nadel says that due to New York City watershed regulations, which have been in effect since 1997, developers have found it difficult to obtain approvals in Putnam County. The Highlands became the first development project to be approved under the New York City Phosphorous Offset Program. He explains that while the program requires a minimum pollutant offset ratio of 3 to 1, The Highlands was designed to obtain a 12 to 1 offset ratio of pollutants that are deemed harmful to New York City's reservoirs.
"We are very excited that The Highlands is now underway," Nadel, who is president of Emgee Highlands Corp., a partner in the center, says. "Planning a large retail center like this takes years, but the town and the county have been very receptive to our ideas and we've had enormous interest from both local and national retailers."
Nadel reveals that his firm is in negotiations with two restaurant operators for space at The Highlands. Due to its location nearby I-84, the power center is expected to draw shoppers from Putnam, Northern Westchester County and the Danbury, Connecticut region.
Nadel estimates that once completed, the project will generate annual sales taxes of $7 million, half of which will go to Putnam County. In addition, The Highlands is also expected to contribute significant property taxes to the town of Southeast and the Brewster School District, he adds.
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John Jordan
John Jordan is a veteran journalist with 36 years of print and digital media experience.
