Newtown and Winn Development are moving forward with a major redevelopment proposal that would convert two prominent Fairfield Hills buildings — Kent House and Shelton House — into a mix of age-restricted and moderate-income housing with new commercial spaces.

A draft lease agreement between the Town of Newtown and Winn Development for the acquisition of Shelton House will go to the Legislative Council for approval following a 7 pm public hearing being planned for Wednesday, June 17. The hearing will precede the council’s regularly scheduled 7:30 pm meeting, during which a vote is anticipated regarding the disposition of the lease. The project is already approved with Winn as Newtown’s redevelopment partner.

According to First Selectman Bruce Walczak, the plan represents one of the most significant redevelopment efforts undertaken at the former state hospital campus since it was acquired by the Town nearly two decades ago.

“This initiative follows extensive public discussion dating back to 2020 when the Town hosted four seminars outlining the benefits of rehabilitating the two buildings rather than demolishing them,” Walczak said. “At that time, demolition of Shelton and Kent was estimated to cost over $6 million, a figure many residents opposed, and is now likely in excess of $10 million.”

That same year, a non-binding advisory question on the referendum ballot showed 55% of voters supported allowing housing on the campus. In response, the Town adopted zoning changes permitting residential use in no more than two buildings at Fairfield Hills.

This cleared the way for a formal Request for Proposals, ultimately leading to the selection of Winn Development, a national developer known for historic restoration projects. Newtown also secured state and federal historic designation for the campus, making the project eligible for historic tax credits and a program involving moderate-income housing credits.

Under the proposal, Shelton House would be converted into approximately 50 one- and two-bedroom, moderate-income apartments, age-restricted to residents 55 and older. Due to the building’s layout, only a small amount of commercial space is proposed for that property.

Kent House, the larger of the two structures, would undergo a more extensive renovation.

Plans call for approximately 125 predominantly age-restricted, moderate-income apartments, along with up to 5,000 square feet of commercial space on the ground floor. Because historic preservation rules limit exterior changes, a large interior entrance hall would serve as the main access point for retail and service uses.

Walczak said potential clients “include adult day care providers, medical and professional services, or other appropriate, community-oriented businesses, with additional commercial space possible depending on demand.”

The project is at a key point in a long and detailed review phase that has included lease negotiations, and will continue with inspections, financing, and multiple Planning & Zoning Commission hearings. Zoning officials will require detailed floor plans, confirmation of adequate commercial space, and parking plans that rely on existing or moderately expanded parking adjacent to the buildings.

The housing units will pay full real estate taxes, with no special abatements, and will contribute additional motor vehicle taxes and local spending. Town officials believe the redevelopment will bring new activity to the Fairfield Hills campus, adding residents who can support on-site programs and amenities.

“Adding residents to the campus will also provide expanding stewardship that is expected to greatly enhance the environment and experiences of all campus visitors and users,” the first selectman said. “Increased foot traffic is also expected to improve safety and visibility on the campus into the early evening, and because the housing is predominantly planned to be age-restricted, the project is not expected to add students to the school system.”

As the review process continues, officials say the redevelopment of Kent and Shelton Houses could become a key component of Newtown’s long-term vision for Fairfield Hills, combining historic preservation with new housing and commercial opportunities that will help the campus achieve its overarching and long held goal of being more self-sufficient from a taxpayer cost perspective.

Any questions about the campus or the ongoing progress of the proposed development can be directed to the first selectman’s office via e-mail to bruce.walczak@newtown-ct.gov.