HOLYOKE — Five small businesses in the High Street corridor have received a financial boost from MassDevelopment through a program designed to restoring downtowns.

The quasi-public agency awarded a combined $374,000 through its Transformative Developments Initiative, an “accelerator model” for funneling resources into the state’s dilapidated gateway cities to revive foot traffic and commercial opportunities.

The largest grant in the amount of $150,000 went to J3 Realty of Springfield, which is restoring a three-story structure at 215 High St. next to City Hall.

When completed, the building, formerly Davignon Jewelry Store in the 1940s and built in 1915, will be mixed use with two street-level storefronts and four upper-level apartments, supplying more affordable housing in the city. One of the storefronts is already pegged to be a shop for collectible items.

Joseph Jacob, who owns J3Realty, said updating the space will take about a year. Total project costs are more than $1 million for the restoration, and the TDI funds will contribute toward an addition onto the back of the building, expanding the square footage for the apartments.

Another business to receive money is Paper City Clothing, at 330 High St., which got $105,000 to install a sprinkler system at their store.

“When we found out that the building code would require it, we were stuck because of the unplanned expense of $105,000,” said owner Carlos Pena. “We are immensely grateful that the grant allowed us to pay for the sprinklers and now our renovation is almost complete.”

The three other awardees include City Sports Bar, 352 High St., which landed $50,000 to continue a transformation into a family-friendly restaurant; Jearnett Palau Smoothie Bar, 113 Sargeant St., received $14,000 toward its goal of serving as a community hub with wellness workshops and social events; and Wellspring Cooperative gets $55,000 for its shared-use community kitchen on 112 High St.

Holyoke’s partnership with MassDevelopment began in 2022 and will be ending this September, consistent with MassDevelopment’s model of accelerating growth with short-term partnerships. The district features the Holyoke Public Library at its center, and includes the adjoining areas of High and Maple streets.

Since 2022, MassDevelopment has poured $997,000 into downtown in the form of grants, other types of financing, and technical assistance.

There are more than a dozen TDI districts in the state. In conjunction with the funding in Holyoke this month, MassDevelopment also announced over $2.8 million was awarded to 34 gateway city businesses. These include Pittsfield and Springfield in western Massachusetts, as well as businesses in Attleboro, Barnstable, Fall River, Lawrence, Lowell, Lynn, New Bedford, Revere, Taunton and Worcester.

Samuel Gelinas can be reached at sgelinas@gazettenet.com.