Oct. 22–Tuscan Village proposal passes $1 billion mark with addition of second hotel
By MICHAEL COUSINEAU
New Hampshire Union Leader
October 21. 2018 9:32PM
Developer Joe Faro points to a new Ford dealership in April at Tuscan Village, part of more than $1 billion in commercial and residential projects planned for the former site of Rockingham Park in Salem. (DAVID LANE/UNION LEADER FILE)
Tuscan Village in Salem has added a second hotel to its plans as it pushes past a $1 billion pricetag for the sprawling mixed-use development, according to its developer.
"We've been moving at a pretty rapid pace," Tuscan Brands CEO Joe Faro said in an interview last week.
Faro said the 170-acre development will include not one but two hotels.
Two Hilton-branded hotels are planned, offering about 300 combined rooms, at a total cost of $60 million.
That was news to Salem Planning Director Ross Moldoff.
"We joke we have seen 50 versions of the plan at town hall, and they probably have a couple hundred they've worked on," Moldoff said.
One hotel, which will border a man-made lake, will feature the Tuscan Village Banquet and Events Center as well as a Tuscan Kitchen restaurant.
A group of condos will abut the hotel, sharing hotel amenities and selling for $500,000 each and up.
The hotel will be part of Hilton's Tapestry Collection, which on its website states are "hotels with an individual spirit that offer a genuine sense of place."
Faro said that "allows us to brand it our way" but be under the Hilton name.
A second hotel will be a Hampton Inn, he said.
Faro has said the project will generate 6,000 permanent jobs and $11 million in taxes annually.
Residential, retail and entertainment offerings also are planned or under construction as part of the huge development across the street from the Mall at Rockingham Park.
"Mixed use is kind of like the flavor of the day," said Bob Sheehan, whose Massachusetts firm, KeyPoint Partners, prepares an annual report on the retail health of southern New Hampshire.
"A lot of developers are tending toward that as retail is impacted by online retail," said Sheehan, the firm's vice president of research.
Faro said he couldn't announce retailers he's signed yet. He also has inked "a couple corporate headquarter deals" he can't discuss.
In all, Faro's development includes 2.8 million square feet, including 800,000 square feet of retail.
"We're really complementary to the mall," Faro said. "We've kind of avoided the big-box retailer. Our vision is of a kind of downtown … and interesting experiential retailers."
Being located right off Exit 1 of Interstate 93 and lack of sales tax are "a big driver" for retailers searching for space, Faro said.
Sheehan expressed skepticism about filling all that space.
"Another 800,000 square feet of retail, in my opinion, may be a little too aggressive," he said.
Entertainment options also have expanded this year. Not just an eight-screen movie theater and bowling alley are planned, but also a live outdoor entertainment area, a country music bar, a comedy club and virtual reality option.
"We're very close to a theater deal right now," Faro said.
Nancy Kyle, president and CEO of the New Hampshire Retail Association, said: "I think Joe Faro has a great vision for building communities."
Moldoff said plans include a parking garage that can handle around 2,000 vehicles, but the project is still short of meeting town parking requirements, though talks continue.
He welcomed the corporate headquarter tenants.
"It's going to give the place a lot of character and give it a lot of an economic boost," Moldoff said, including workers who will spend money in Salem.
"I think that's very positive for the project and the town," Moldoff said.
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