One Cottage Street in Easthampton symbolizes community spirit and innovation through the unique coexistence of Riverside Industries (RSI), its program participants and staff, and tenants within the repurposed mill building. RSI received the property as a gift from J.P. Stevens in 1976 with the intent of becoming a permanent base of its operations. RSI’s commitment to preserving the historic property, honoring that original gift intent, and ensuring its own viability has never been stronger.

RSI began implementing a new strategic framework earlier this year focused on growth in three key areas — people, programs, and place. The new strategic plan incorporated input from many key stakeholders, including tenants in the building. Before learning of rental rate increases, tenants were informed of a shift in RSI’s relationship to One Cottage Street meant to reduce its cost to operate the facility.

RSI has invested $3.5 million in capital projects over the past few years to further reduce operating costs. A donor-funded solar array was installed this summer that will reduce RSI’s net energy costs by 18%. RSI has funded the installation of a new energy-efficient boiler operation system, gutters, and an upgraded fire suppression system throughout the building.

Much of the building’s budget shortfall is in annual operations. This is due to inflation and stagnant rental rates. RSI has always absorbed any remaining cost to operate the property, while rental income consistently lagged. That deficit has grown to around $300,000. RSI provided the following services to tenants for free: utilities, renovations and repairs, janitorial services, moving services, property taxes, free Wi-Fi, trash and recycling, snow removal, installation and storage of individual air-conditioning units, compressed air, and storage space.

Even in the face of certain financial loss and despite increased operating expenses, RSI kept tenant rental rates low for decades. For instance, during the COVID pandemic RSI offered a 15% discount on rental rates while its own operations were halted due to health restrictions.

As a health and human service nonprofit, RSI cannot continue the tradition of subsidizing rental rates for tenants. It is outside the scope of its mission, puts its program funding at risk, and hinders RSI’s ability to re-invest in the building. Moreover, this rental rate increase creates equity among the 100-plus tenants in the building; 33 of whom already pay between $12 and $15 per square foot.

With One Cottage Street on a solid financial footing, RSI will be in a stronger position to ensure the 175-year-old building is a safe and sustainable hub of activity in downtown Easthampton for many more years. With this overarching goal in mind, RSI pledges to:

■Cultivate an environment within the building that nurtures and empowers RSI’s dedicated staff, positioning the organization as an employer of choice and a beacon of excellence in the health and human services industry. RSI will continue to invest in employee recruitment, retention and training.

■Elevate One Cottage Street into a cornerstone of its mission, amplifying its impact on program participants and the wider community, better utilize the building to enhance RSI’s program delivery, better address the evolving needs of RSI’s program participants, and ensure they receive the highest quality of care and support. RSI’s staff and clients should be proud to enter its program spaces.

■Increase visibility and accessibility of RSI’s programs, One Cottage Street, and the vibrant community of tenants within the space. RSI will publicly highlight the vibrant ecosystem within the building and create innovative opportunities for collaboration among tenants and RSI program participants.

RSI’s staff and volunteers remain steadfast in their commitment to the organization’s mission, despite calls for lower rent for artists. RSI has an obligation to deliver its stated mission: empowering people with intellectual and developmental disabilities to maximize their opportunities for acceptance, independence, personal growth, and employment throughout their lives.

As with any profound decision that leads to change, it does not occur without some discomfort. However, this change is necessary to ensure the long-term success of One Cottage Street and RSI. The strategic decisions that have led to this transformative moment are in alignment with RSI’s mission and in the best interests of its staff, clients, and their caregivers.

RSI’s leaders and the new property management partner, NAI Plotkin, now welcome other stakeholders, city officials, local and statewide arts organizations, private funders, and art patrons to also take up the issue of creating affordable artist workspaces. Surely new partnerships can be forged resulting in additional financial resources for artists in Easthampton.

Markus R. Jones is senior director of Development & Strategic Operations at Riverside Industries Inc. in Easthampton.