Hackett Hill fire station work on tap
By TED SIEFER
New Hampshire Union Leader
Saturday, Mar. 19, 2011
MANCHESTER ? After more than a year of at times contentious negotiations with the Board of Mayor and Aldermen, a local developer says he's ready to break ground next month on a fire station on Hackett Hill Road, as well as the first phase of a 1.2 million-square-foot industrial and office park.
The aldermen helped developer Richard Danais of Danais Realty Group clear what he hopes will be a final hurdle when they voted to approve a contract for the fire station with a different builder and a price tag that is potentially $72,000 higher than what they approved last fall.
The higher estimate could cut into any profit the city might yield from the $2.8 million sale of 12 city-owned plots to Danais for the business complex. As part of the deal, Danais has agreed to build the new fire station.
Mayor Ted Gatsas insisted on hammering out a set of "adjustments," presented to the aldermen on Tuesday, that would keep the cost close to the original amount, $2.38 million, rather than the new contract bid of $2.46 million.
"I did some calling around to contractors that are out there selling kitchen equipment, and I think it can be done for less," Gatsas, a former business owner, said at the meeting.
The Manchester Fire Department will also be seeking state and federal grants to defray some of the costs.
Danais, for his part, expressed cautious optimism that the station could be built below the estimate.
"We feel we can accomplish this number -- not without some difficulty, but I think we've made some reasonable adjustments," Danais said.
The price tag for the station rose because too much time had elapsed since the deal was first approved, and the project had to be rebid. Earlier this month, Seaver Construction emerged as the lowest bidder, replacing Eckman Construction as the designated contractor.
The approval of the new contract came after aldermen voted last month to pay Danais's company $225,000 to cover costs associated with delays in building the fire station and rerouting an access road.
Several aldermen were skeptical of the potential cost savings of the "adjustments" in the new contract.
"I certainly don't get that warm fuzzy feeling with this package right here," said Alderman Ed Osborne at the meeting. "I have a funny feeling we'll be short $10,000 here and $10,000 there, and we'll be coming back here."
But a majority of the aldermen voted to approve the new contract on the grounds that not doing so would further delay the project and lead to even higher costs.
"Why are we micromanaging our fire chief?" said Alderman William Shea. "Why are we worrying about furniture and things that obviously aren't that essential to a fire station?"
With the purchase agreement with the city expected to close by the end of the month, Danais said he hopes to start construction on the fire station in mid-April and to complete it in the fall.
He also plans to build the phase of the office, industrial and distribution complex, even though the economic recovery remains fragile.
"I'm going to be as low risk as I can," Danais said. "I have people I'm speaking to (as potential tenants). This is not being built as spec space. We're going to follow the market. As the market gets busier, we'll get busier."