Lehigh Valley’s 2011 Economic Development Priorities The Lehigh Valley Economic Development Corporation continues to successfully collaborate and bring together Lehigh Valley leaders to present to the Commonwealth and other funding sources a unified list of Lehigh Valley priority economic development projects. 2158 Avenue C, Suite 200, Bethlehem, PA 18017 | t 610.266.6775 / 800.LV.1.SITE | f 610.266.7623 | lehighvalley.org
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Lehigh Valley's 2011 Economic Development Priorities
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Lehigh Valley’s 2011 Economic
Development Priorities
The Lehigh Valley Economic Development Corporation continues
to successfully collaborate and bring together Lehigh Valley
leaders to present to the Commonwealth and other funding
sources a unified list of Lehigh Valley priority economic
development projects.
2158 Avenue C, Suite 200, Bethlehem, PA 18017 | t 610.266.6775 / 800.LV.1.SITE | f 610.266.7623 | lehighvalley.org
Introduction
Redevelopment Assistance Capital Program Projects
City of Allentown City of Bethlehem City of Easton Lehigh County Northampton County
Comprehensive Economic Development Strategy Program
City of Allentown City of Bethlehem City of Easton
This document represents the priorities of the Cities of Allentown, Bethlehem, and Easton as well as Lehigh and Northampton Counties. LVEDC through significant regional effort, compiles and presents this report to the Lehigh Valley’s State and Federal Legislators, the Pennsylvania Department of Community and Economic Development, and the Pennsylvania Governor’s Office.
Printed: May 2011.
TABLE OF CONTENTS
The mission of the Lehigh Valley Economic Development Corporation (LVEDC) is to promote economic prosperity by helping to attract, expand businesses and jobs for the Lehigh Valley region. Sometimes attracting private-sector investment to a project requires public-sector in-vestment. LVEDC partners with the cities of Allentown, Bethlehem, Easton, and Northampton and Lehigh counties to identify salient economic and community development projects, rank them and then work together to secure state and federal funding for these local economic de-velopment priorities. The “Priority Projects” process has been in place since 2003 and has helped to secure funding for some of the Lehigh Valley’s most important community assets, business developments and urban redevelopment projects such as Coca-Cola Park, the Ben Franklin Technology Incuba-tor, The Fowler Center of Northampton Community College, Riverport, SteelStacks Performing Arts Center, and the Simon Silk Mill Redevelopment, to name a few. It has also allowed the Lehigh Valley to address all economic development projects from a regional and collaborative approach, which has improved the success of garnering Commonwealth of Pennsylvania and Washington, D.C. support. This united effort has identified 120 economic development projects as priorities for Redevel-opment Assistance Capital Program Funding (RACP). Pennsylvania DCED has funded more than 40 of those projects, placing more than $100 million of public investment to work in the Lehigh Valley. These projects have resulted in hundreds of jobs and leveraged hundreds of millions of dollars in direct and indirect investment. We are grateful for Commonwealth’s confi-dence in these Lehigh Valley projects. Some of the projects identified as priorities by this process and that secured funding in 2010 are: Redevelopment of the Simon Silk Mill Phase II, Lehigh Riverfront Project in Allentown, Majestic Bethlehem Center, redevelopment of Martin Towers, Avantor office relocation and the new arena project in Allentown. LVEDC continues to successfully collaborate and bring together the Lehigh Valley’s economic and community development leaders to present to the Commonwealth and other funding sources a unified list of Lehigh Valley priority projects. This document contains a list of the 2011 state priority projects. And this year, LVEDC is publishing a separate list of priority pro-jects for funding under the Federal Department of Commerce’s Economic Development Ad-ministration grants through the Comprehensive Economic Development Strategy or (CEDS) process. There is little question 2011 will be a difficult financial year for the Commonwealth. The state budget deficit and proposed changes to economic development funding will require that LVEDC and our local economic development partners to do more with less. Pennsylvania’s fiscal reality makes it even more vital that the Lehigh Valley be unified to secure state funding for regional economic development priorities and help to attract greater private-sector invest-ment for development.
LEHIGH VALLEY REGION’S 2011 ECONOMIC DEVELOPMENT PRIORITIES
INTRODUCTION
REDEVELOPMENT
ASSISTANCE
CAPITAL PROGRAM
PROJECTS
South 10th Street Industrial/Manufacturing Corridor
The Martin Tower Complex was acquired in May 2006 by local developers with deep roots in the Lehigh Valley with the intent to redevelop the property. The Complex, including a 650,000 square foot 21-story high-rise completed in 1972, was developed by the Bethlehem Steel Cor-poration as its sole-occupant corporate world headquarters. Today, the building, due to its age, design, code compliance deficiencies and extensive environmental issues remains obso-lete and no longer viable for its originally intended purpose. The “project” consists of the pres-ervation and adaptive reuse of the 21-story Martin Tower into a mixed-use facility containing office, retail and residential uses, in conjunction with various amenities including a complete fitness center, public spaces, interior and exterior recreation areas, convenience store and meeting rooms.
STATUS OF PROJECT/TIMELINE
Demolition and abatement of several buildings will begin in Spring 2011 with construction of
the tower expected to begin in Fall 2011. The project currently has a RACP commitment of
$9,075,000.
FUNDING
The City of Bethlehem and Martin Tower are requesting an additional $3 million in RACP
funding.
TOTAL PROJECT INVESTMENT/COST: $70 million for Tower
Project involves implementation of parking solutions including the construction of a new park-ing garage adjacent to the existing parking garage at the south end of Main Street in Down-town Bethlehem behind the Main Street Commons. The existing structure will be connected to the new garage once built. The garage will contain approximately 400 parking spaces and will support the existing needs of the Central Moravian Church, Moravian book Shop, Hotel Bethlehem and other businesses along the southern end of Main Street.
STATUS OF PROJECT/TIMELINE
The rehabilitation of the existing garage was completed in 2010. The expansion of the deck is still in the design phase with a construction start date of late 2011.
FUNDING
City of Bethlehem is requesting an additional $1.5 million in RACP funding. The remaining
funds will be generated through City and Parking Authority borrowing.
The 13th St. Silk Mill Project includes the acquisition and redevelopment of several underuti-
lized commercial and industrial properties along N. 13th Street (former Simon Silk Mill and
Moon Properties). Proposed redevelopment is for a mix of commercial, residential, and open
space/community uses with a creative arts focus.
2010 EDA application for this project was deemed competitive but approval was denied.
STATUS OF PROJECT/TIMELINE
The Facilities Analysis and Program Development are complete. Funding: EPA $ 200,000 (brownfield cleanup grant) EPA/County 477,000 (sub-grant and sub-loan for environmental clean-up) RACP 5,000,000 (acq., infrastructure const., and demo. of Francis Bldg.) EPA 40,000 (environmental assessment grant) DCED 1,115,000 (environmental remediation and planning) Preserve America 150,000 (planning) EDA 1,200,000 (infrastructure design and construction) - pending Total $ 8,182,000
FUNDING
Financial Request: $1 million for additional environmental cleanup and infrastructure. Acquisition: $ 3,500,000 Site and facilities analysis 600,000 Design of infrastructure 300,000 Environmental 2,000,000 Phase I rehabilitation of Bld. K 6,000,000 Construction of infrastructure 2,500,000 Future construction $65,000,000 Total: $79,900,000
F.L. Smidth currently owns a 12.52 acre parcel in Catasauqua along the Delaware and Lehigh Heritage Trail Corridor adjacent to the Lehigh River. The property, along Front Street, makes up 3% of the Bor-ough of Catasauqua. F.L. Smidth is actively marketing the property for sale. The Borough is inter-ested in having the property redeveloped to help generate needed tax revenue and to help with the revitalization of the community. They have signed a Letter of Intent and are investigating redevelop-ment opportunities and acquisition costs. Catasauqua has been part of the Lehigh Valley Borough Business Revitalization Program for the past five years and has been very proactive about revitalization of their business district. They are developing a plan for the area and are being proactive in discussing development opportunities with the community. The property is a brownfield as soil investigations have been done on the site and identified raised lev-els of lead, arsenic, and Benzo(a)pyrene. A Special Industrial Area cleanup plan was approved for the site that outlined a need for capping and deed restrictions to the site. The Lehigh Valley Land Recy-cling Initiative (LVLRI) has been involved in the project and has provided funding of approximately $100,000 for ground water and soil testing. They are also developing an estimate for the reuse of a 65,000 square foot rolling mill building. This is a significant project for the Borough, Lehigh County and the Lehigh Valley Land Recycling Initiative (LVLRI). The best reuse for the site has been determined to be multi-use with municipal, townhomes, apartments, retails and mixed-use units along Front Street. Redevelopment efforts could result in $453,000 in new taxes for the Borough.
STATUS OF PROJECT/TIMELINE
F.L. Smidth is actively marketing the property. The Borough of Catasauqua is considering redevelop-
ment opportunities and purchase options for the property. LVLRI, DEP, EPA and FEMA have been
involved in redevelopment discussions with the Borough. The Borough should be voting on purchase
options in the next few months.
Lehigh County has recently involved the support of the Regional Housing Coordinator to help investi-
gate additional partnerships and creative financing opportunities. Lehigh County has provided a Main
Street Planning Grant to help develop a plan for the property. The Borough has funds available to pur-
chase the parcel and is looking for additional partners to help develop the 12.52 acres.
FUNDING
Property acquisition is under discussion. The purchase price discussed with the Borough of Catasau-
qua is $900,000. Additional brownfields funding is under discussion. Lehigh County has offered to
fund the Act II plan to help bring closure to the environmental concerns on the site.
The City Central land development (formerly the Martin Tower complex), located in the City of Bethle-hem, consists of 53 acres of land and encompasses the 21-story Martin Tower constructed in 1970 with a gross floor area of 664,450 square feet. In addition to the Tower, the property includes three peripheral buildings: 1) the U-shaped Annex, a 253,452 square foot building adjacent to the Tower (connected by a common corridor) was constructed in 1958; 2) the Printery Building, a one story indus-trial building containing 95,000 square feet with an office area, loading dock and printing reproduction area; and 3) the Central Heating and Refrigeration Building (known as the CH&R Building) is a one-story plus mezzanine level industrial plant building used to generate hot and cold water which heated and cooled the Tower. In total, the former Martin Tower complex contains over one million square feet of building area – all of which has been completely vacant since the last tenants moved out in February 2007. The conditions of the property apply to the respective characteristics of blight as defined in the Urban Redevelopment Act, which resulted in the City of Bethlehem declaring the entire property a Redevelopment Area in 2008. The City Central land development plan is centered around the adaptive re-use and redevelop-ment of the Tower and surrounding 53 acres as a mixed-use residential, retail and commercial prop-erty. A committee made up of members from Lehigh County, the City of Bethlehem and the Bethlehem School District have been involved in the evaluation of financial opportunities for the project, including the development of Tax Increment Financing (TIF) District. A TIF has not been approved and is not currently planned. The developer has received a loan of $900,000 from Lehigh County through the County’s EPA Revolving Loan Fund. The loan is being used for clean-up of the Printery and CH&R buildings. The clean-up is scheduled to begin in May 2011.
STATUS OF PROJECT/TIMELINE
The current owners purchased the property in 2006. An updated Master Development Plan is being finalized for review with the City of Bethlehem. The site has received a historic designation and His-toric Tax Credits are possible for the Tower. A tax assessment appeal was approved resulting in the reduction of taxes annually of $312,492.55. RACP funding of $1,250,000.00 has been approved by the Office of the Budget, with additional RACP ($7,825,000) funding pending. A TIF is not currently approved for the project. The clean-up of the Printery and CH&R Buildings should begin in May 2011.
FUNDING
Estimated Project Value: The investment for the proposed redevelopment of Martin Tower is approxi-mately $90 million. The planned redevelopment of the peripheral land will exceed $200 million in total value. RACP Funds: $9,075,000 ($1,250,000 approved) TIF Funds: $10,000,000 Requested by not approved. Conventional Financing: To be determined Owner Equity: To be determined TOTAL PROJECT INVESTMENT/COST: $200,000,000.00
Effective wastewater plans are important to the successful growth of Lehigh County. This is especially important in Western Lehigh County where several of the municipalities have ex-perienced heavy growth in commercial and residential projects. The Lehigh County Authority (LCA) provides the majority of the wastewater services for the region. The Lehigh County Authority has developed a 10-year capital plan consisting of $83 million in projects. The Lehigh County Authority would be responsible for $72 million and plans to apply for grants and loans through Pennvest, the Commonwealth Financing Authority (CFA) and other infrastructure funders to move forward with the projects. LCA hopes to re-ceive 50% of the $83 million through grants and loans to help finance the projects. Wastewater capacity is depleted in Western Lehigh County. An agreement was reached with a large local user to borrow capacity for a new manufacturing prospect. LCA has convened the services of a local facilitator and community group to discuss opportunities for the devel-opment of additional wastewater capacity in region. The local signatory communities are pre-paring to embark on numerous projects associated with its wastewater treatment and convey-ance infrastructure to obtain the additional capacity required to meet its short and long-term capacity needs. The projects are interrelated, very large in scope and will require support from LCA staff, consultants, surrounding communities and regulatory staff.
STATUS OF PROJECT/TIMELINE
Additional funds are needed to allow the Lehigh County Authority to provide additional capac-
ity, particularly with wastewater to allow expansion of current businesses and development of
new businesses to occur. The Lehigh County Authority has developed a 10-year Wastewater
Capital Plan which includes $83 million in projects. The Lehigh County Authority will be re-
sponsible for 50% of the $83 million and will solicit grants and loans for the project.
FUNDING
Lehigh County Authority: $72 Million - LCA will be responsible for the total project and
hopes to receive 50% of the total project through grants and loans.
Pennvest: $TBD
Current CFA Requests: $TBD
TOTAL PROJECT INVESTMENT/COST: $83,000,000.00 over 10-years
The region is working on the recruitment of a major food manufacturer in Western Lehigh County. The total project cost of the facility is estimated to be $110,000,000. The prospect has significant water and wastewater requirements. As a result of wastewater capacity issues in Western Lehigh County, the Lehigh County Authority has made arrangements with their signatories including Upper Macungie, Lower Macungie, Lowhill, Weisenburg, Alburtis and Macungie to reallocate some wastewater capacity to help the region recruit this new major employer. Additionally, a major user in the area has agreed to loan capacity to the prospect, should they decide to come to Lehigh County. In addition to local teams, the Governor’s Action Team and the PA Department of Community and Economic Development are involved in the process. The development of a 250,000 square foot facility would result in 165 permanent full-time jobs and another 175 in part-time construction and engineering positions. This prospect would add significant revenue to the region and would be a major new employer in the Lehigh Valley.
STATUS OF PROJECT/TIMELINE
The prospect is expected to make a final decision on a location in the early 2011. The short-listed sites are shovel-ready and the communities are working with the prospect to help streamline the process. The prospect has the funds committed for an expansion on their cur-rent facility or a relocation to a new facility. If local sites are selected the construction should begin in mid-2011. The goal is for a new facility to be operational in mid/late 2012.
FUNDING
The total project is estimated to be $110,000,000. This includes the development of a
$30,000,000 facility. The Governor’s Action Team and the PA Department of Community and
Economic Development are involved in the project. The prospect has the funds committed for
an expansion on their current facility or relocation to a new facility.
The Comprehensive Economic Development Strategy (CEDS) refers to the planning proc-
ess and document generated from it which sets forth the Lehigh Valley’s economic devel-
opment vision, goals, strategies, and priorities for the future. CEDS work in the Lehigh
Valley is accomplished by the Lehigh Valley Economic Development Corporation
(LVEDC) and other organizations who participate in various ways on project implementa-
tion.
The CEDS is viewed as the economic development plan for the Valley, with desired out-
comes and action steps aimed at:
• Creating better jobs and incomes.
• Diversifying the economy and strengthening economic sectors.
• Exposing new market potentials and business opportunities.
• Protecting resources and environment.
• Developing and improving infrastructure.
• Enhancing the quality of life.
The main purpose of this section is to list the economic development projects that are of major
importance in the Lehigh Valley and are potentially eligible for federal funding under the Public
Works and Economic Development Act of 1965, CFR 13, Chapter VIII “Public Works and Eco-
nomic Development Assistance.” The projects listed here are consistent with the goals and ob-
jectives of this plan. These projects need to be consistent with the goals of the United States
Department of Commerce’s Economic Development Assistance funding program which are:
“EDA will provide Public Works investments to support the construction or reha-
bilitation of essential public infrastructure and development facilities necessary
to generate private sector jobs and investment, including investments that sup-
port technology-led development, redevelopment of brownfield sites, and eco-
industrial development.” (13 CFR, Chapter VIII)
COMPREHENSIVE ECONOMIC
DEVELOPMENT STRATEGY (CEDS)
Allentown Metal Works
Hill’s Street Imports S. 10th Street
Bridgeworks
Bridgeworks Enterprise Center
Project Name Bridgeworks Enterprise Center
Project Location S. 10th Street and Harrison Street, Allentown, PA
Submitted by Allentown Economic Development Corporation
Contact Information Matthew Tuerk
Date Submitted April 5, 2011
Project Categories:
Construction/Development
EDA Eligible
PROJECT DESCRIPTION
The Bridgeworks Enterprise Center (BEC) is a 76,000 square foot former Mack Trucks plant on 2.5 acres of land. The building was built in 1923 and features a sawtooth roof. In 1988, the Allentown Economic Development Corporation (AEDC) invested nearly $2 million in the conversion of the building to a multi-tenant light manufacturing incubator, but made few energy efficiency upgrades.The site is zoned I-3 (heavy industrial) and is adjacent to another industrial site to the North. It is located in Lehigh County, PA Census Tract 14.01 that has seen median household income decline by 18% since 2000. The site is presently in Allen-town’s Enterprise Zone, making it eligible for a variety of state incentives. At the BEC, AEDC operates a business incubation program that has graduated over 30 companies and created 300 jobs. The focus of the program is on light manufacturing that can provide high-quality jobs to Allentown residents. Allentown proposes to invest in environmentally sustainable build-ing upgrades to the BEC, reducing the cost of operating the incubation program and provid-ing a model for industrial site reuse. This would enhance the site for use by manufacturers interested in becoming part of the Bridgeworks Manufacturing Neighborhood, a cluster of rein-vigorated industrial buildings connected to low-income transition communities, and home to Allentown’s green manufacturing cluster.
STATUS OF PROJECT/TIMELINE
Include timeline for expected date of construction, shovel-readiness. Also include amount and source of funds already commit-
ted to the project.
Final Design and permitting for Phase 1 of the Project, the creation of the Collaborative Entrepreneurial Work Space, is antici-
pated to be completed in the fall of 2011 with construction following immediately thereafter. Phase 1 also includes HVAC, light-
ing and insulation improvements for the area of the building associated with Phase 1.
Phase 2 of the project is the Clerestory replacement of the entire glazed portion of the sawtooth roof structure, which will signifi-
cantly reduce heat loss/gain while maintaining the excellent natural light associated with the building. Preliminary design for
Phase 2 was completed last year and final design and construction are scheduled for 2012.
Phase 3 of the project is the creation of the shared Machine Shop and Manufacturing Education area that will also include the
HVAC, lighting and insulation improvements for the area of the building associated with Phase 3. Phase 3 is will be largely
funded by a National Science Foundation Grant that AEDC has already applied for in cooperation with the Da Vinci Science Cen-
ter. Final Design and construction is anticipated in late 2011 into 2012.
AEDC has currently committed a minimum of $20,000 towards this project
NSF, Surdna and Century applications have all been submitted and are awaiting responses.
PROPOSED PROJECT BUDGET
Include all sources/amounts of additional funding, include total project cost.
The total project cost is estimated to be $10,900,000 and will include the following uses of funds:
Property Acquisition $2,000,000
Selective Demolition and Remediation $800,000
Rail Service restoration $1,900,000
Redevelopment and Building Improvements $6,200,000
Other than the RTAP grant of $1,400,000 mentioned above no funds are currently committed to this project, however, the fol-
lowing sources of funds are contemplated:
EPA Brownfields funding $1,000,000
EDA $1,500,000
TIF District $3,000,000
Private Financing $4,000,000
Enterprise Zone Tax Credits may also apply to this project
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
Does your project do any of the following? (Check all that apply.)
X Support long-term, coordinated and collaborative regional economic development approaches.
X Support innovation and competitiveness.
Encourage entrepreneurship. X Support strategies that link regional economies with the global marketplace.
X Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or disas-ters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation. X Support the economic revitalization of brownfields.
Allentown Metal Works
Project Name Allentown Metal Works
Project Location S. 10th Street, Allentown, PA
Submitted by Allentown Economic Development Corporation
Contact Information Matthew Tuerk
Date Submitted April 5, 2011
Project Categories:
Construction/Development
EDA Eligible
PROJECT DESCRIPTION
The Allentown Metal Works site is comprised of 7 buildings totaling over 260,000 square feet on 19 acres of land. Most of the buildings are over 100 years old, single-story manufac-turing facilities, dominated by a 121,000 square foot principal site. The existing structures were in use for manufacturing as recently as 2010. The site is zoned I-3 (heavy industrial) and is adjacent to another brownfield site to the South and by the Little Lehigh Creek to the North. It is located in Lehigh County, PA Census Tract 14.01 that has seen median household income decline by 18% since 2000. The site is presently in Allentown’s Enterprise Zone, making it eligible for a variety of state incentives. It is also adjacent to the Barber’s Quarry Branch, a retired freight rail line that the Common-wealth of Pennsylvania recently committed to resurrecting as part of its RTAP. Allentown pro-poses to invest in the redevelopment of this site for use as a modern manufacturing facility. Working with the Allentown Economic Development Corporation and the Lehigh Valley Eco-nomic Development Corporation, Allentown would prepare redevelopment plans for the site that would include selective demolition of obsolete buildings, environmentally sustainable building upgrades to the principal manufacturing site, and returning freight rail service. This would prepare the site for use by manufacturers interested in becoming part of the Bridge-works Manufacturing Neighborhood, a cluster of reinvigorated industrial buildings connected to low-income transition communities, and home to Allentown’s green manufacturing cluster.
STATUS OF PROJECT/TIMELINE
Include timeline for expected date of construction, shovel-readiness. Also include amount and source of funds already commit-
ted to the project.
The initial Phase of the Project, the reinstallation of the Barbers Quarry Branch is currently scheduled to begin construction this
summer. This phase will bring freight rail service back to this site and will leverage existing infrastructure by coupling the heavy
load capacity of the railroad with the existing 100-ton and 25-ton cranes that exist at the facility. This Phase of the project has a
commitment of $1,400,000 from the State of Pennsylvania through the Rail Transportation Assistance Program.
The second Phase of the Project involves the demolition and associated environmental remediation of selected obsolete buildings
along with construction of approximately 60,000 sf of modern industrial buildings. Additionally, improvements to the buildings
that are to remain are proposed including primarily energy efficiency improvements such as replacing the heating system, adding
insulation and replacing the lighting. This Phase is dependent upon site control which could be secured in the third quarter of
2011 with construction beginning in mid 2012.
.
PROPOSED PROJECT BUDGET
Include all sources/amounts of additional funding, include total project cost.
The total project cost is estimated to be $10,900,000 and will include the following uses of funds:
Property Acquisition $2,000,000
Selective Demolition and Remediation $800,000
Rail Service restoration $1,900,000
Redevelopment and Building Improvements $6,200,000
Other than the RTAP grant of $1,400,000 mentioned above no funds are currently committed to this project, however, the fol-
lowing sources of funds are contemplated:
EPA Brownfields funding $1,000,000
EDA $1,500,000
TIF District $3,000,000
Private Financing $4,000,000
Enterprise Zone Tax Credits may also apply to this project
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
Does your project do any of the following? (Check all that apply.)
X Support long-term, coordinated and collaborative regional economic development approaches.
X Support innovation and competitiveness.
Encourage entrepreneurship. X Support strategies that link regional economies with the global marketplace.
X Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or disas-ters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation. X Support the economic revitalization of brownfields.
Hill’s Import Project Name Hill’s Import
Project Location S. 10th Street, Allentown, PA
Submitted by Allentown Economic Development Corporation
Contact Information Matthew Tuerk
Date Submitted April 5, 2011
Project Categories:
Construction/Development
EDA Eligible
PROJECT DESCRIPTION
The Hill's Import site is comprised of 4 buildings totaling over 270,000 square feet on 12 acres of land. Most of the buildings are over 75 years old, all single-story manufacturing facili-ties, dominated by a 163,000 square foot principal site. The existing structures have most re-cently been used for warehousing, although some of the space is suitable for manufacturing. The site is zoned I-3 (heavy industrial) and is adjacent to another brownfield site to the North and by another industrial site to the North. It is located in Lehigh County, PA Census Tract 14.01 that has seen median household income decline by 18% since 2000. The site is presently in Allentown’s Enterprise Zone, making it eligible for a variety of state incentives. It is also a Keystone Opportunity Zone as designated by the Commonwealth of Pennsylvania, exempting it from property tax and net corporate income tax. Allentown proposes to invest in the redevelopment of this site for use as a modern manufacturing facility. Working with the Allentown Economic Development Corporation and the Lehigh Valley Economic Development Corporation, Allentown would prepare redevelopment plans for the site that would include se-lective demolition of obsolete buildings, and environmentally sustainable building up-grades to the principal manufacturing site. This would prepare the site for use by manufactur-ers interested in becoming part of the Bridgeworks Manufacturing Neighborhood, a cluster of reinvigorated industrial buildings connected to low-income transition communities, and home to Allentown’s green manufacturing cluster.
STATUS OF PROJECT/TIMELINE
Include timeline for expected date of construction, shovel-readiness. Also include amount and source of funds already commit-
ted to the project.
The Project involves the demolition and associated remediation of the low ceiling buildings located on the eastern portion of the
site while preserving the 80,000 sf high-bay overhead crane served building located on the western portion of the site. A new
100,000 sf modern building is proposed to replace the demolished, functionally-obsolete structures. The project would also
improve truck access to the existing 80,000 sf building which is currently limited by the existing building configuration. The pro-
ject is dependant on the property owners cooperation or willingness to sell and could be initiated in 2012. No funds are cur-
rently committed to this project.
PROPOSED PROJECT BUDGET Include all sources/amounts of additional funding, include total project cost. The total project cost is estimated to be $11,800,000 and will include the following uses of funds:
Property Acquisition $3,700,000
Selective Demolition and Remediation $1,100,000
New Building Construction $7,000,000
No funds are currently committed to this project, however, the following sources of funds are contemplated:
EPA Brownfields funding $1,500,000
EDA $1,500,000
TIF District $2,500,000
Private Financing and/or Owner Equity $6,300,000
Enterprise Zone Tax Credits may also apply to this project
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
Does your project do any of the following? (Check all that apply.)
X Support long-term, coordinated and collaborative regional economic development approaches.
X Support innovation and competitiveness.
Encourage entrepreneurship. Support strategies that link regional economies with the global marketplace.
Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or disas-ters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation. X Support the economic revitalization of brownfields.
Lehigh Structural Steel
Project Name Lehigh Structural Steel
Project Location Lehigh Landing, Allentown, PA
Submitted by Allentown Economic Development Corporation
Contact Information Matthew Tuerk
Date Submitted April 5, 2011
Project Categories:
Construction/Development
EDA Eligible
PROJECT DESCRIPTION
The Lehigh Structural Steel site is comprised of 9 buildings totaling over 236,000 square feet on 20 acres of land. Most of the buildings are over 50 years old, all single-story manufac-turing facilities. Most of the existing structures have most recently been used for manufactur-ing. The site is zoned I-3 (heavy industrial) and is situated on the Lehigh River Waterfront, with a brownfield site to the North and additional brownfields and industrial sites to the South. It is located in Lehigh County, PA Census Tract 4 that has seen median household income decline by 11% since 2000.The site is presently in Allentown’s Enterprise Zone, making it eligible for a variety of state incentives. It is also a Keystone Opportunity Zone as desig-nated by the Commonwealth of Pennsylvania, exempting it from property tax and net corpo-rate income tax. Allentown proposes to invest in the redevelopment of this site for use as a modern manufacturing facility. Working with the Allentown Economic Development Cor-poration and the Lehigh Valley Economic Development Corporation, Allentown would prepare redevelopment plans for the site that would include selective demolition of obsolete buildings, and environmentally sustainable building upgrades to the viable manufacturing sites. This would prepare the site for use by manufacturers interested in becoming part of a riverfront manufacturing neighborhood, a cluster of reinvigorated industrial buildings connected to low-income transition communities, and home to Allentown’s green manufacturing cluster.
STATUS OF PROJECT/TIMELINE
Include timeline for expected date of construction, shovel-readiness. Also include amount and source of funds already commit-
ted to the project.
Significant environmental testing and characterization of this site has been completed along with a
complete property and boundary survey. Development plans are in the conceptual stage.
Phase I includes acquisition, selected demolition, clean up and installation of infrastructure and may
commence as early as 2012. Phase II includes construction of the buildings and would occur following Phase I and continuing
through 2014.
$5 million is committed from the City of Allentown in the form of RACP funds from the State of Penn-
sylvania.
PROPOSED PROJECT BUDGET Include all sources/amounts of additional funding, include total project cost.
The total project cost is estimated to be $13,100,000 and will include the following uses of funds:
Property Acquisition $5,000,000
Selective Demolition, Remediation and Infrastructure $2,600,000
New Building Construction $5,500,000
In addition to the RACP funding mentioned above for this project, the following sources of funds are
contemplated:
RACP $5,000,000
EPA Brownfields funding $1,000,000
EDA $2,500,000
Private Financing and/or Owner Equity $4,600,000
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
Does your project do any of the following? (Check all that apply.)
X Support long-term, coordinated and collaborative regional economic development approaches.
X Support innovation and competitiveness.
Encourage entrepreneurship. X Support strategies that link regional economies with the global marketplace.
X Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or disas-ters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation. X Support the economic revitalization of brownfields.
Hamilton Street – 600, 700 & 800 Project Name Hamilton Street – 600, 700 & 800 Blocks
Project Location Allentown, PA
Submitted by Allentown Economic Development Corporation
Contact Information Matthew Tuerk
Date Submitted April 5, 2011
Project Categories:
Construction/Development
EDA Eligible
PROJECT DESCRIPTION
The 600, 700, & 800 Blocks of Hamilton Street represent a total of 49 structures on either side of one of the most prominent intersections of Allentown's Central Business District: 7th & Hamilton. Each block contains a combination of buildings that are either totally or partially vacant, assessed and determined to be blighted, and/or occupied but underutilized. The Cen-tral Business District is bounded by dense and diverse residential neighborhoods to its north and south. Each block is within the B-2 Zone permitting almost any type of development, bar-ring heavy industrial or manufacturing uses. The buildings range from two stories up to nine with varying footprints and square footage. The area is also located in the core of a newly designated and funded Main Street Program by the State of Pennsylvania. The southwest corner of 7th & Hamilton possesses anchor tenants in Wachovia/Wells Fargo and the Lehigh/Carbon Community College, Donley Center. The southeast corner of the intersection main-tains more offices for Wachovia/Wells Fargo as well as street frontage for part of the Lehigh County Government Center. Despite its location in Allentown's Enterprise Zone; creating op-portunities for state financing and assistance, the 600 & 700 blocks have struggled to produce any influential or significant impact on the overall vitality of the city's downtown. The 800 block has successfully leveraged public financing to spur significant privated developments such as the Butz Corporate Center and the PPL Plaza/Office building. The connection from the 700 to 800 block remains weak. Allentown proposes to develop a project(s) that will regain the underutilized portions of these three blocks. A recently completed SDAT project in Allen-town highlighted the need to revitalize this critical district in the city. Specifically by enacting project(s) that would create opportunities for residential units, regional entertainment, and stronger retail storefronts and small businesses operations. The area is poised to take advan-tage of unique and collaborative financing incentives available at the state and local levels. The developments would require intense public/private partnerships and strengthen the sur-rounding underserved communities by creating jobs and new economic opportunities.
STATUS OF PROJECT/TIMELINE
Include timeline for expected date of construction, shovel-readiness. Also include amount and source of funds already commit-
ted to the project.
Timeline – The comprehensive development of this area will continue to maintain a rolling timeline. Elements that support the
Entertainment, Arts, residential and business components within this priority area will be addressed and supported as they are
viable. Aspects of each are currently under way and will further commence nearing the end of 2011 and into 2012.
$400,000 is currently committed through State HRA dollars for the redevelopment of 809-813 Hamilton Street
PROPOSED PROJECT BUDGET Include all sources/amounts of additional funding, include total project cost.
Until a comprehensive development plan is created for downtown, a total project cost will not be available.
RACP dollars are earmarked for downtown projects.
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
Does your project do any of the following? (Check all that apply.)
X Support long-term, coordinated and collaborative regional economic development approaches.
X Support innovation and competitiveness. X Encourage entrepreneurship.
X Support strategies that link regional economies with the global marketplace. Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or disas-
ters).
Enable BRAC-impacted communities to transition from a military to civilian economy. X Advance the goals of link historic preservation.
Support the economic revitalization of brownfields.
Majestic Bethlehem Center
Majestic Bethlehem Center
Majestic
Project Name Majestic
Project Location Northampton County
Submitted by Bethlehem
Contact Information Joseph Kelly
Date Submitted April 4, 2011
Project Categories:
Planning Study
X Construction/Development
X EDA Eligible
Non-EDA Eligible
PROJECT DESCRIPTION
Majestic Bethlehem Center is being developed by Majestic Realty Co., one of the oldest and
largest privately held developers, owners and operators of commercial real estate in the
United States. The 441 acre property that Majestic acquired in Bethlehem represents
nearly 25% of the former Bethlehem Steel Plant. Majestic Bethlehem boasts the availability
of rail service, intermodal rail service, and excess trailer storage and truck staging areas.
Transportation of goods by rail allows the supply chain a much lower carbon foot-print than
truck transportation. Rail produces one-fifth of carbon emissions that trucks do. Bethlehem
Intermodal Logistics Center will reduce truck trips and therefore greenhouse gases. It will
become the first intermodal logistics center to join the U.S. Environmental Protection
Agency SmartWay Program, a brand that represents environmentally cleaner, more fuel
efficient transportation options. At full build out, the intermodal logistics center will be 8.2
million square feet of industrial space. It will create approximately 2,700 direct full-time per-
manent jobs.
In order to complete the Logistics Center, the sanitary pump station that services most of
the remaining Bethlehem Steel lands, including the Majestic Bethlehem Center, parts of Le-
high Valley Industrial Park VII, the IESI-BFI landfill and Calpine’s gas turbine power plant
needs to be replaced. The lift station and related pressure lines currently have insufficient
capacity.
STATUS OF PROJECT/TIMELINE
Demolition and environmental work on the site is complete. Construction is expected to begin
this summer on the site.
Majestic Realty has invested $30 million in the project thus far. The Commonwealth of Penn-
sylvania has granted $9.25 million of Redevelopment Assistance Capital Program funds.
Northampton County invested $13 million to build Commerce Center Boulevard, a road and
rail grade separation project that makes the property fully accessible from Route 412 and In-
terstate 78.
PROPOSED PROJECT BUDGET
The project is requesting $1 million in EDA funding for infrastructure on the property. The to-
tal construction budget for the project is estimated at $500 million.
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
X Support long-term, coordinated and collaborative regional economic development ap-
proaches.
Support innovation and competitiveness.
Encourage entrepreneurship.
X Support strategies that link regional economies with the global marketplace.
Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or
disasters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation.
X Support the economic revitalization of brownfields.
Pi: Partnership for Innovation Project Name Pi: Partnership for Innovation
Project Location 521 E. Fourth St., second floor, Bethlehem, PA 18015
Project development: 350,000 4,700,000 RACP Design: 900,000 Site preparation: 1,900,000 Construction of parking deck and intermodal facility: 6,900,000 Construction management: 1,200,000 Financing: 250,000 Contingency: 1,000,000 Building construction: 8,400,000
TOTAL PROJECT INVESTMENT/COST: $ 23,900,000
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
X Support long-term, coordinated and collaborative regional economic development ap-
proaches.
X Support innovation and competitiveness.
X Encourage entrepreneurship.
Support strategies that link regional economies with the global marketplace.
Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or
disasters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
Advance the goals of link historic preservation.
Support the economic revitalization of brownfields.
13th
Street Silk Mill Property Redevelopment
Project Name 13th Street Silk Mill Property Redevelopment
Project Location 13th Street and Bushkill Drive, Easton, PA
The 13th St. Silk Mill project includes the acquisition and redevelopment of several un-
derutilized commercial and industrial properties along N. 13th Street (former Simon
Silk Mill and Moon Properties). Proposed redevelopment is for a mix of commercial,
residential, and open space/community uses with a creative arts focus.
2010 EDA application for this project was deemed competitive but approval was de-
nied..
STATUS OF PROJECT/TIMELINE
The Facilities Analysis and Program Development and asbestos abatement are complete.
Funding: EPA $ 200,000 (brownfield cleanup grant) EPA/County 477,000 (sub-grant and sub-loan for environmental clean-up) RACP 5,000,000 (acquisition, infrastructure construction, and demolition of Francis Bldg.) EPA 40,000 (environmental assessment grant) DCED 1,115,000 (environmental remediation and planning) Preserve America 150,000 (planning) EDA 1,200,000 (infrastructure design and construction) - pending
Total $ 8,182,000
PROPOSED PROJECT BUDGET
Financial Request: $1 million for additional infrastructure.
Acquisition: $ 3,500,000 Site and facilities analysis 600,000 Design of infrastructure 300,000 Environmental 2,000,000 Phase I rehabilitation of Bld. K 6,000,000 Construction of infrastructure 2,500,000 Future construction $65,000,000 Total: $79,900,000
TOTAL PROJECT INVESTMENT/COST: $ 79,900,000
FUNDING PRIORITIES/CRITERIA FOR EDA ASSISTANCE
X Support long-term, coordinated and collaborative regional economic development ap-proaches.
X Support innovation and competitiveness.
X Encourage entrepreneurship.
Support strategies that link regional economies with the global marketplace.
X Respond to sudden and severe economic dislocations (e.g., major layoffs, plant closures or
disasters).
Enable BRAC-impacted communities to transition from a military to civilian economy.
X Advance the goals of link historic preservation.
X Support the economic revitalization of brownfields.
This project consists of the redevelopment of a blighted and structurally unsound mill
complex on the city’s South Side. This 4 AC parcel is in an excellent middle class
neighborhood adjacent to an elementary school. The complex encompasses a full
square block that is prime real estate for development of a mixed-use development of
single family, townhouses and neighborhood services.
Financial Request: $3 million RACP.
Total Project Investment: $12 million.
STATUS OF PROJECT/TIMELINE
Funds will be used for acquisition and demolition of the property to provide a develop-able 4-acre site. An RFP would then be sent out to interested developers for subdivi-sion and construction.