Demolition is underway today of the old diner on the Riverside traffic circle.
The demolition will make way for the first new construction in Riverside since the adoption of a revitalization action plan and new zoning by the Town of Southampton.
A company led by builder Paul Pawlowski of Mattituck plans to construct an 8,000-square-foot, two-story building that will house medical offices and future workforce apartments.
Southampton Town was awarded a $1 million “Restore New York Communities” grant to support the demolition of the diner as well as the former Peconic Paddler building at 89 Peconic Avenue, where a developer is planning to build a 100-unit boutique hotel. The grant money will also assist with the reconstruction on both sites.
The construction of the 10,000-square-foot Grangebel Hotel will require connection to a sewage treatment facility, which Southampton Town is planning to build. It is not expected to be available until 2020 at the earliest. Hotel developer Fredette Svendsen and Southampton officials have asked Riverhead Town to allow a temporary hookup to the Riverhead Sewer District treatment facility. The Riverhead Town Board is considering the request, which was presented at a work session last month; no decision has yet been made.
The offices planned for the site of the diner on the traffic circle will not require connection to a sewage treatment facilities, according to officials.
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