Aug 7, 2012

Monopoly Allentown Style

Earlier this year I reported how J.B. Reilly had plans to acquire the entire block on the south side of Hamilton Street. Two holdouts at this point have been both the jean and wicker stores on Hamilton Street, otherwise, his conquest has been on course. Recently, he closed on three buildings containing 16 units on S. 8th Street. I can tell you that neither the apartments, nor it's tenants, will give Mr. Reilly pride of ownership. What motivates him to become a reluctant landlord? Is this to be Four City Center? I don't think so, it will be challenging enough to rent his three other planned office buildings. We have been told that the NIZ was not specially designed for Mr. Reilly, and that other developers were welcome to apply. However, it's becoming apparent that they will have to buy their parcel from J.B..

16 comments:

Anonymous said...

Seriously someone needs to investigate this issue. Also how is Lehigh Valley Health Network involved in this? Aren't they billing themselves as a corporate partner (sponsor) and opening up their private email system to solicitations by The Brooks Brothers? Haven't they started acting out of character for a tax free organization with at least a partially charitable mission? No wonder Allentown is in the toilet.

Anonymous said...

It would be very difficult to believe these special tax incentives have not been attractive to this developer.

Anonymous said...

I heard the wicker store agreed to sell. JB is going to build a parking lot on this parcel.

michael molovinsky said...

anon 9:58, i haven't heard that the wicker store agreed, but i doubt that reilly would use hamilton street frontage for a parking lot.

Anonymous said...

How many acres of the 130 acre NIZ has Reilly purchased? Maybe four or five?

There is plenty of NIZ land for you to get your hands on Molovinsky.

michael molovinsky said...

dear A-Hole 12:30, i usually don't publish such antagonistic comments, but just for the giggle, here's my answer. remember that projects must be approved by the board, do you think that they would approve a project by me? also remember that they didn't even tell the merchants that private parties were eligible. so far, there's only two approved developers, reilly and butz. your reply not welcome

Anonymous said...

Mike NIZ projects are required to have the prior approval of the City Director of Planning before submission to the NIZ board for consideration.

Looks like 2 strikes against you.

The Banker

Anonymous said...

All the properties purchased by Really, are they on or off the tax roles once he takes title? Anyone know?

michael molovinsky said...

@ 4:11, properties in the NIZ do pay property taxes, however, all state income and sales taxes derived from all properties in the 130 acre zone go toward the arena, EXCEPT, an approved project, such as reilly's, then those state taxes goes toward his mortgage loan.

Anonymous said...

Jealous?

michael molovinsky said...

@7:38, you and the other anonymous moron 12:30 can't conceive of someone just caring about what's best for allentown. As we proceed with the most expensive minor league hockey arena in united states, anybody who disagrees with the NIZ being the key to revitalization must be jealous?

AuH20 said...

MM...the Morning Call is AWOL on this. Please keep us informed. Thank you!

Anonymous said...

Michael - The property taxes I am referring to are for the period between acquisition and full development.

That is as opposed to when the properties are fully developed and ostensibly are on the tax roles.

The troll posts are typical of a bully mayor, health care system and developer. No secret there, just typical MO.

michael molovinsky said...

@9:32, in theory the local property taxes should be paid regardless. you do raise a good point. is the NIZ authority paying property tax on the square arena block or are they a tax free entity? i suppose it would take an Right To Know to get that answer.

ironpigpen said...

It will be the most expensive minor league hockey rink in all the world, not just the United States.

The Morning Call has already admitted that no other minor league rink has ever topped $ 100.0 million dollars.

Therefore, with all due respect, I don't think that would be very sporting of you to sell Chairman Pawlowski's transformative Palace of Sport so short, Mr. Molovinsky.

I am currently working on a report to see how Pawlowski's Palace of Sport (which is reputed to have the price tag of $ 158.0 million U.S. dollars) stacks up against the ELITE hockey rinks in Europe.

The O2 World Arena in Berlin was built in 2008 for 165.0 million Euros (about $ 204.0 million U.S. dollars today) ...

Of course, the O2 World Arena in Berlin seats 14,200 for ice hockey contests whereas the Phantoms' Assisted Living Hockey House will only hold 8,500 spectators for AHL games ...

www.goironpigs.com

Anonymous said...

LVHN's in this up to their dirty hospital eyeballs!