AMSTERDAM — Developers’ plans to transform the former Sonoco Products Company paper mill on Forest Avenue into a bread production facility with a brewpub and restaurant have been met with a mixture of enthusiasm and concern from locals.
The potential cleanup and reuse of a long vacant structure to create jobs and a new attraction in the city was welcomed by some residents. Others worried about the impact to traffic at the nearby Five Corners intersection and on Church Street, as well as potential contaminants at the site now targeted for food and beverage production.
“The traffic speed is horrendous. The safety for folks is horrendous. I just think that you guys ought to think about traffic safety impact before you go and do anything like this,” Cherylann Saul said.
Delmonico’s Restaurant Group is partnering with Boogie Lab USA on the estimated $20 million project that would remediate and rehab the former paper mill site at 58-62 Forest Ave. The property spans about 5.5 acres and features a roughly 39,000-square-foot building.
Amsterdam will submit a $2 million Restore New York grant application to support the project, prompting a public hearing on Tuesday. Additional state and federal funding is expected to be sought in the future to aid remediation of the brownfield site and the full gut rehabilitation of the former mill.
The New York City-based hospitality group is working with the Croatian food tech company and craft bakery to establish its first North American bread production facility at the Amsterdam site.
“They've basically figured out a way to make sourdough in a much faster, economical way by using the spent grains from beer that was usually thrown away,” said Joey Ienuso, who is involved in business development at Delmonico's Group. “When you make beer, your waste product is spent grain … we're going to take that and turn it into bread.”
Opening an on-site brewpub is essential to supply the grains needed to make the bread products. Developers would seek additional grain from other breweries around the region, reducing the waste they generate and their carbon footprint.
Aside from providing needed space for all facets of the operation, Ienuso indicated the Amsterdam site’s proximity to the Capital Region would position the brewpub to be a weekend destination while the central location would make it an ideal distribution hub in the state.
“I really like the idea of keeping this in New York state, because I'm from New York state and it just makes sense that this is going to be our hub,” Ienuso said.
Developers would also bring Boogie Lab’s Double Bread program to the area, donating a loaf of bread to feed those in need for every loaf sold. Project representatives would work with local agencies on the initiative.
“We're not a nonprofit, but there is a lot of altruistic things that this company does by feeding communities,” Ienuso said.
City officials and Ienuso were clear plans are still in the earliest stages with concerns raised by residents to be studied in order to develop mitigation measures as the process progresses.
Resident Dave Dybas questioned the safety of food production at the federal Superfund site that is surrounded by other former industrial sites where there was “significant pollution.”
The former paper mill dating back to the 1800s was most recently operated by Sonoco until the plant closed in 1998. The U.S. Environmental Protection Agency previously identified acetone, benzene, ethylbenzene, naphthalene, toluene and xylene as potential contaminants of concern at the site.
Mayor Michael Cinquanti and Director of Community and Economic Development Daniel Gray noted environmental assessments will be conducted at site to determine the level of remediation required as part of any reuse plans. A $300,000 grant from the state Department of State will fund testing at the Forest Avenue property and two other brownfield sites in the city.
Those findings will dictate next steps on the project with the developers having to evaluate remediation measures should any significant contamination be identified. The state Department of Environmental Conservation, with involvement from the EPA, would oversee site cleanup.
“This is the very beginning,” Ienuso said. “We're still getting through environmental issues and going through the feasibility side of this. This is something we're taking very seriously and taking slowly.”
Similarly, officials said the city is continuing to pursue opportunities with the state Department of Transportation and other agencies to address safety concerns at the Five Corners intersection and along Church Street after hearing from residents worried about increased traffic from tractor-trailers, workers and patrons.
Ienuso added that developers selected the site in part due to its accessibility and its ability to provide a safe environment for anyone traveling to or from the site. He said there may be opportunities for the project to help address existing issues at the close by intersection.
“We are certainly willing to do whatever we need to do to make it safe and to provide an opportunity for a business like this to operate safely. We don't want to create a hazard. We want to make it better,” Cinquanti said.
Developers are likewise open to working with the Friends of the Chuctanunda Creek Trail on potentially providing trail access at the site along the creek at the urging of group co-President John Naple to protect and promote the city’s natural resources.
The potential rejuvenation of the site and anticipated creation of around 100 jobs in the first two years was also met with excitement from some in attendance.
“This is a good opportunity. I think this is one of the good things that's happening to the city. We are due for it. And there's a lot of positive things happening. I want to say thank you to you guys for making this all possible. It’s great to see,” Miguel Gonzalez said.
There is no timeline for the proposed plans at this early stage. Developers previously issued a non-binding letter of intent to potentially buy and restore the former mill site that was acquired by the city through foreclosure in 2016. Cinquanti said a proposed $1 purchase option for the property is expected to be presented to the Common Council to support the grant application.
“We're so excited to have these people interested in our city and so excited that we have the opportunity to turn what has been a blighted property for over 20 years now — a useless, blighted … brownfield site — into a vibrant new business in our city. And we'll make sure the planning that is required to make it safe and secure and clean is done and implemented,” Cinquanti said.
Developers are expected to invest in the project, but the sum will depend on the amount of grant funding ultimately secured to support the plans. Ienuso added that company officials want to become community partners and he expects to become at least a part-time city resident as plans progress.
“No matter where the grants fall, we plan to see the project through,” Ienuso said. “The feedback was fair. I didn't hear anything that sounded unreasonable. I think we can actually help remediate some of the issues that were brought up.”