Miles Group to build 500 units

The development group looking to build up to 500 condos of Lynn Harbor has obtained its first municipal permit in order to establish a construction and sales office on the site.

The Miles Group earlier this week began re-siding the exterior of the former Atwill Furniture Restoration building and gutting the interior, marking the first visible sign of change in that area of the waterfront. A sign posted on the building announced the group's arrival.

Michael T. Miles of Lynn, who heads the group that includes John O'Brien, John Granese and Thomas Costin Sr., said Wednesday that work crews are creating the office so the project can get under way in earnest.

"People will start seeing a bulldozer and some other equipment down there within the next week. We want the site to look nice, so we'll be removing all the trash, ragweed and brush. The bulldozer will scrape the first few inches of soil so that we get all the ragweed roots," Miles said.

According to Miles, several major state permits are still required prior to construction due to the size of the project.

"That will be the next step," he said. "In a project like this, the state has to approve everything but the interior of the units."

Miles said plans have not been finalized for the site, other than a general agreement that it will be called Harbourside and encompass 500 units, most of those 2-bedroom models with 1,400 feet of living space.

"We might end up building two 10-story towers, or four 5-story buildings. We're not sure yet, and that won't come into play until the end of the approval process," he said.

The only local approval still outstanding involves the Conservation Commission because the project is on the coastal waterfront and includes a boardwalk, public roadway and parkland.

"The Conservation Commission will ask to show what goes on in the first 100 feet from the water, but that issue is already covered by the state as well," said Miles, adding that the city would also conduct a site-plan review.

The annual property tax from the condominiums is expected to exceed $2 million, according to Miles.

"The city is going to have a party every year with that, especially since we won't be requiring much in the way of services," he said. "We're not designing these units for families, so I have some consideration of what happens to (School Superintendent) Nick Kostan, because I don't want to over impact the schools."

Miles said the project also translates to 400-500 additional customers for the Lynn Water and Sewer Commission, which provides drinking water and sewer service, and to additional revenue from excise taxes gleaned from automobiles driven by the condominium owners.

"My rough guess is that this project will come in around $100 million before it's done," he said. "The approval process alone - getting all the permits from the state and federal governments - will exceed $2 million. Lots of people have no idea how much just getting permits cost for a project like this."

A survey team again took bearings at the 5-acre site this week because the developers are waiting to take title to 2,300-square-feet of land amid the primary construction area.

"That little piece of land had to be re-taken by the city and turned over to us. We already paid for it, but there was a title issue," Miles explained.

In return for a necessary waterfront easement provided by the city, the Miles Group agreed to build an extension of the park at the Heritage State Park Visitor's Center near Central Square in the city's downtown business district. The Miles Group owned the land where the park will be located, and gave it to the city as part of the agreement.

"By summer we will be putting that project out to bid," said Miles. "The park has been mostly designed."

Ward 6 Councilor Dave Ellis, chairman of the City Council's new Lynnway Development Committee, said the condominiums represent the largest residential construction project in recent Lynn history.

"This is a major undertaking," he said. "The survey was done this week to verify the exact boundaries so that their people can come in and start clearing the land. The project is moving forward because once they open the office, they'll have a presence at the site."

Miles said the Atwill building is undergoing extensive renovation as a construction office and sales center "because we are going to be there for quite a while."