2003 Section 108 Project Summary - Pennsylvania

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Economic Development

Markle Building Improvements
BORROWER: HAZLETON
STATE: PA
COMMITMENT AMOUNT: $500,000

The City of Hazleton was awarded a $500,000 Section 108 loan guarantee as part of the financing for the redevelopment of the Markle Building, which has been vacant for 10 years. The City named the Hazleton Redevelopment Authority (HRA) as its designated public agency to borrow the guaranteed loan funds. The HRA will re-lend the guaranteed loan proceeds to the Hazleton Development Corporation, which will renovate the 11 floor, 102,000 square foot Markle Building into an extended stay hotel, office, and retail space. These new building uses will result in the creation of 110 jobs, of which at least 51% will be made available to low and moderate-income persons.

Township Revolving Loan Fund
BORROWER: BRISTOL TOWNSHIP
STATE: PA
COMMITMENT AMOUNT: $3,910,000

The Township of Bristol, PA has been awarded a $3,910,000 loan guarantee under Section 108 to finance a business loan pool fund. The Bristol Township Economic Development Committee (BTEDC) will review applications and the Township's Community Development Office will administer the program. The project is expected to result in the creation of at least 112 new full-time equivalent jobs. Guaranteed Loan Funds will be used to carry out an eligible economic development activity and pay for eligible issuance costs. The activities will meet the criteria for the national objective of benefit to low- and moderate-income persons through the creation or retention of jobs.

Riverview Corporate Center
BORROWER: MONTGOMERY COUNTY
STATE: PA
COMMITMENT AMOUNT: $3,000,000

The County of Montgomery was approved for a $3,000,000 loan guarantee under Section 108 to make a loan to a private developer for economic development activities. Lubin Studios Associates, L.P., will develop 4.6 acres of a 63-acre parcel creating commercial office space on the banks of the Schuylkill River in West Norriton Township. The project is expected to create 150 new jobs of which 51% will be available to low and moderate-income persons. The County was also awarded a Brownsfield Economic Development Initiative grant in the amount of $2,000,000, which were used for site preparation and asbestos abatement.

Public Facilities

Buttonwood Gateway Project
BORROWER: READING
STATE: PA
COMMITMENT AMOUNT: $3,000,000

The City of Reading, PA has been awarded a $3,000,000 loan guarantee under Section 108 to finance site preparation and infrastructure improvements to the Buttonwood Business Park, a 13.5-acre industrial park located in the Buttonwood-Gateway Redevelopment Area of Reading. The Reading Buttonwood Gateway Group LLC will develop the Park and also construct 42,000 and 40,000 s. f. buildings. The project is expected to result in the creation of at least 150 new full-time equivalent jobs. Guaranteed Loan Funds will be used to carry out an eligible economic development activity which will meet the criteria for the national objective of benefit to low- and moderate-income persons through the creation or retention of jobs. A Brownfields Economic Development Initiative (BEDI) grant of $1,000,000 was awarded to the City in September 2000 to assist with environmental remediation of the site.

South Side Works Parking Garage #2
BORROWER: PITTSBURGH
STATE: PA
COMMITMENT AMOUNT: $6,500,000

The City of Pittsburgh (the "City"), through its Urban Redevelopment Authority ("URA"), will utilize Section 108 to finance site preparation and construction costs of public facilities improvements that will support the 123-acre South Side Works Redevelopment Area. The South Side Works is located on the former LTV Steel Plant and is within both the Federally-designated Enterprise Community and the recently approved Neighborhood Revitalization Strategy Area. The project will be divided into three parts. First, the URA will construct two bridges and three one-block extensions and it will clear underground obstructions for Parking Garage #3. Second, the URA will extend Sidney Street from Hot Metal Street to 33rd Street, along with development of two additional parcels that will total 3.4 acres. Third, the URA will develop and own a 367-space Parking Garage #2. Collectively, these improvements will support 336 units of rental housing, 300,000 sq. ft. of office space, and 250,000 sq. ft. of retail, restaurant, and entertainment space that will feature a 10-screen cinema. A HUD Economic Development Initiative (EDI) grant of $1,000,000 will be used in conjunction with the Section 108 loan. The overall project is projected to create over 840 jobs and will support over $60,000,000 in public and private development.

Berks Food Industry Park
BORROWER: BERKS COUNTY
STATE: PA
COMMITMENT AMOUNT: $10,000,000

Berks County will promote business growth by utilizing $10,000,000 in Section 108 loan guarantee assistance to acquire and improve property for an industrial park dedicated to the food industry, called the Food Industry Park project. The total project will be 400-500 acres to accommodate a number and variety of potentially large users. The site is in close proximity to an interstate highway which links the local area to the Northeast and Middle Atlantic markets. The project includes site acquisition, engineering costs, and installation of public improvements such as water, sanitary sewer, storm sewers, roadways, etc. The Food Industry Park would be designed and developed to accommodate a variety of facilities, including food processing, cold storage and general warehousing, manufacturing of packaging materials and containers, a regional wholesale farmers market, and an advanced food technology center. The County estimates that the project will generate approximately 1,500 new jobs and that the total cost of the project will be in the range of $36 million.

South Side Works Parking Garage #3
BORROWER: PITTSBURGH
STATE: PA
COMMITMENT AMOUNT: $4,500,000

The City of Pittsburgh, through its Urban Redevelopment Authority, is undertaking the construction of a parking garage using $4,500,000 in Section 108 loan guarantee assistance. The South Side Works Parking Garage #3 will provide 830 additional parking spaces for the redevelopment area located on the 123 acre site of the former LTV Steel Plant. The project site is located in the South East Redevelopment Area and the Pittsburgh/Allegheny Enterprise Community which is in the recently approved Neighborhood Revitalization Strategy Area. A HUD Brownfields Economic Development Initiative grant awarded in 2002, in the amount of $1,500,000, will be used in conjunction with the Section 108 loan. The redevelopment activities in this area address the elimination of slums or blight on an area basis.