East Hartford Pulls Tax Breaks for Concourse Park

The town ended a 27-year tax incentive agreement for a planned $120 million apartment complex.

Updated on Oct. 15, 2026 in Commercial

East Hartford Pulls Tax Breaks for Concourse Park

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East Hartford has revoked the 27-year tax incentive package for the proposed 402-unit Concourse Park apartment development. This decision follows a failed negotiation over rising construction and interest costs for the $120 million project.

Why it matters

The collapse of the tax incentive signals a major roadblock for the site, as rising inflation and interest rates pushed development costs beyond original projections. The town and developer reached an impasse over who would cover these unexpected financial gaps.

The project represents a $120 million investment that was set to replace a site currently generating $128,000 in annual property taxes. Developer Jasko Zelman 2 previously acquired the land from the town for a nominal price of $1.

The players

East Hartford

This is a town in Connecticut that serves as the local authority governing the land and tax incentive agreements.

Jasko Zelman 2

This is the development firm that was responsible for the planned Concourse Park project.

Capital Region Development Authority

This entity provided $10 million in financial aid to support the now-stalled housing development.

The details

The development plan, which aimed to bring 402 upscale apartments to East Hartford, stalled after the town council refused to absorb millions in additional costs. Despite extensions to the construction deadline, the project failed to move forward as the developer and the town could not agree on financial responsibility.

June 2022: Development partnership proposed the apartment plan.
2025: Jasko Zelman 2 purchased the former Showcase Cinema site.
June 2026: Original deadline established for the start of construction.
October 9, 2026: The Mayor officially declared the tax incentive withdrawal.

Trucks
Oct. 9
East Hartford Freightliner Facility Expansion to Be Reviewed

Roadmap

The withdrawal of incentives reflects a broader trend of development deals faltering as historical interest rate environments shift the math on multi-family housing projects. This positions the town to potentially restart the land development process without the existing subsidy burdens.

Residents should anticipate that the former Showcase Cinema site will remain undeveloped for the foreseeable future due to the severed agreement. The cancellation eliminates the potential for new housing stock in the area while keeping the current property tax revenue level for the town.

The takeaway

This collapse highlights how volatile economic conditions can render pre-approved municipal tax deals unfeasible. Developers and local councils often face difficult choices when original financial models are disrupted by unexpected market inflation.