Norwich City Council approves tax abatement for $26 million Hale Mill renovation

A $26 million project to convert the historic former Hale Mill into a hotel received a boost from the city Monday night, with unanimous support from the City Council for a 15-year phase-in of property taxes. Following a public hearing at the start of Monday’s meeting, the council approved an ordinance to provide a 15-year phase-in for property taxes on the planned improvements to be done on the granite mill in the heart of the Yantic former mill village. Gabi Benhamo, owner and developer for Mill Development LLC of Woodside, N.Y., who did not attend Monday’s meeting, said in April the plan calls for an estimated $26 million renovation of the vacant mill into a 164-room boutique hotel with a restaurant, indoor pool, salon and 500-seat banquet hall. He said construction is ready to start as soon as the council approves the funding.

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