The Select Board has postponed discussions on the Request for Proposal (RFP) for the former Hawthorne-by-the-Sea property to allow residents more time to provide feedback on the two proposals under consideration.

“These are two applicants that show that they’ll add quite a bit to the community,” said Select Board Member Mary Ellen Fletcher.

The RFP was issued following the winter Town Meeting vote, which approved the Select Board’s plan to lease the property while broader redevelopment discussions continue. The Athanas family announced the restaurant’s closure in November. The short-term lease is intended to prevent the building from sitting vacant as long-range plans are developed.

Town Meeting approved an RFP allowing for a lease of up to 30 months. At the town-wide meeting, Town Administrator Nick Connors said the additional time will help offset costs for utilities, insurance, and debt, adding that no town capital would be spent.

Town Meeting approved a lease of up to 30 months. Town Administrator Nick Connors noted that the additional time would help offset costs for utilities, insurance, and debt, emphasizing that no town capital would be spent.

A five-member evaluator committee was formed, including Select Board Member David Grishman, Connors, Building Commissioner Richard Baldacci, Facilities Director Max Kasper, and Director of Community and Economic Development Marzie Galazka. The group met with representatives from Limited Time Only and a team proposing a Swampscott Center for the Performing Arts to review and discuss their presentations.

“I think in both cases, part of it is a hope and a dream because when they were in there they were seeing the space and the view…and how we can get people down there for that. That’s fantastic. It’s a beautiful space, when you’re looking out into the ocean. When you turn back into the building, it’s expensive and it’s going to take a long time to get – depending on how much investment – to get that work done,” Connors said. “In both cases, there was a dearth of financial information. There were things we would have liked to have had for sure from both of them, and we didn’t, so this was based on what was written and what was said in the room.”

Limited Time Only Proposal

Limited Time Only’s plan, described by Connors as “most akin to the set up of a beer hall.” The RFP,” would serve food from food trucks or mobile concessions in the parking lot initially, with limited interior improvements to allow operations to start quickly.

“They talked about entertainment. They talked about community events using it throughout the day for different groups so that it’s not only used as a place to come and have a beer and a bite to eat, but it could be a place that a senior group meets at or a community group wants to meet at during the day,” Connors said. “One of the highlights of their proposal, for me at least, was when they discussed the idea when they would have a night when it’s Swampscott basketball, so they’re actually connecting with community nonprofits to drive customers and business but at the same time returning that by giving any proceeds.”

Grishman noted the group aims to open by May or June.

“One of the highlights for me was just that they were going to try a number of things, similar to what the Recreation Department is doing at Clarke,” Grishman said. “These guys really had the same idea of pulling together reversible low-risk improvements to the inside of the building to get it up and running quickly. They don’t want to have a regulatory maze of building a brand new kitchen or make extensive renovations to a building. They understand it is going to be a short-term 30 month lease, and they want to get going.”

Limited Time Only proposed a $200,000 investment and $30,000 in rent over the lease term, with an unspecified percentage supporting local causes.

The Swampscott Center for the Performing Arts Proposal 

The Performing Arts proposal envisions a multi-venue use of the space, including live music in the dining room, a kitchen, Mariah’s Cafe and Grab the Bagel in the former fish market space, and an exhibit on Swampscott’s history.

“It’s the idea that there would be multiple different sources of revenue for them and activations so it’s not only used in the evening and it’s not only used in the morning,” Connors said.

The group proposed $300,000 over the 30-month lease and suggested investing $1 million in renovations. Grishman raised concerns about feasibility, noting the proposal would require $1.3 million in sales to break even.

“That risk is on them,” Select Board Vice Chair Doug Thompson said, noting that the proposal does come from someone “who clearly knows how to run” properties like the proposal, with previous projects in Marblehead. 

Select Board Member Danielle Leonard expressed skepticism about the short-term return on a large investment.

“I just can’t wrap my head around why someone would want to sink $1.3 million in 30 months and not have an intention beyond 30 months,” Leonard said. “I’m just really cognizant of what it’s taken us to get to this point.”

Grishman noted too that while the group said in the presentation meeting that they acknowledged this would be a 30-month lease, in the first sentence of their proposal they mentioned “long-term operation” with other phrasings of the space being a “long-term asset.”

Next Steps

The Select Board will have the two RFP options on the agenda for the next meeting, on February 25. Residents are invited to share their opinions at the meeting.

Once the Select Board votes, the town and the chosen proposer will have 30 days to finalize the lease, or either party may withdraw.

“The cadence is still there of us trying to do something quickly,” Connors said.

Connors did also note that there is the option for the town to not go forward with either proposal.

“We’re not required to do anything, so there’s still the opportunity to say ‘Ton of uncertainty, not the right move,’” Connors said. “That, from my standpoint, with budgeting, I would not love to be carrying this building for an extended period without someone going in.”

The short-term lease will run alongside ongoing redevelopment planning. The Advisory Committee finalized its recommendation for a mixed-use and half-parkland concept. The plan envisions two rows of buildings totaling about 25,000 square feet if built at two stories, positioned perpendicular to the road with a 40-foot opening to preserve views into the courtyard and open space. The model includes roughly 28 parking spaces.

The additional time also allows the town to continue negotiations with the Archdiocese of Boston about potentially purchasing the adjacent parking lot owned by St. John’s Church.

Hawthorne Re-Use Advisory Committee Chair Brian Watson offered during the public comment section of the Select Board meeting to participate in discussion around the listed topics, as well as draw additional site plans “as needed to study various alternatives,” especially if “more land is added to the original site.”

“Certain areas around the discussions of plans – especially around the topics of building heights, building uses, building square footages and parking quantities could use further exploration and discussion when you get to it,” Watson said. “When the Select Board begins to evaluate possible site development plans, whether with or without additional land, full discussion could occur on some of those topics.”