A shuttered former supermarket in Providence, Rhode Island, is getting a new lease on life with electric vehicle manufacturer Tesla moving in.
Offering 78,000 square feet, the new location for Tesla is expected to serve as a showroom and service center. Tesla signed a 10-year lease for the space in February 2023, which was to be completely customized for the manufacturer. The lease agreement is expected to draw customers and jobs to the area, revitalizing a property that has sat dormant for years. For its economic impact on the region, it has earned a 2024 CoStar Impact Award for lease of the year in Providence, as judged by real estate professionals familiar with the market.
According to the nomination, "the land poses legacy environmental concerns, is adjacent to a school and an Amtrak right-of-way, and is set back from the primary road. Despite these challenges, the potential to develop a major regional hub for a fast-growing American car company was deemed too significant to overlook."
The project "positions South Providence as the Southern New England hub for distributing Tesla vehicles, parts and services," the nomination states.
About the Project: Electric vehicle and clean energy company Tesla has leased 78,000 square feet in a former supermarket for a showroom and service center at 77 Reservoir Ave. in Providence, Rhode Island.
What the Judges Said: Gregory Arakelian said the deal was a sign of economic growth for Providence with a serious company choosing to be there. Meanwhile, Leeds Mitchell IV said the lease would help revitalize the area through job creation, site improvement and consumer traffic.
They Made it Happen: Michael Friedman, broker, director of sales and leasing, Paolino Properties; Steve Menty, associate, Atlantic Retail; Bryan Anderson, partner, Atlantic Retail; Joseph Paolino Jr., managing partner, Mashpaug Partners