The developer of the Outlet Shoppes at Rentschler Field in East Hartford announced Monday morning that it has canceled development on the project, blaming it in part of a tough retail environment.
Illinois-based Horizon Group Properties, Inc. was planning on building the $100 million project, which promised to bring 70 retailers, 1,200 construction jobs, and 1,300 permanent jobs.
The company suspended the project in November, two weeks after breaking ground, but has now canceled the development, citing “a tough retail environment and dramatic declines in valuations of already depressed retail-REIT stocks.”
“This was an extremely difficult decision for us, because we believe that the project would be a success, but unfortunately circumstances beyond our control affected our ability to move forward,” Gary J. Skoien, chief executive officer of Horizon Group Properties, said in a statement. “When the project was delayed last November, we needed all the retailers to re-commit to the project with no changes in the economic terms of their leases, and that didn’t happen. We are also aware that some local contractors took advantage of the situation, and while this alone didn’t cause us to stop the project, it added to the high construction costs that exist in Connecticut. This is sad news, not only for us, but for United Technologies, the residents of East Hartford and the state of Connecticut.”