Jul 27, 2016
The NIZ's Magic Hat
It's difficult for the straight laced, and the main stream media to acknowledge the sleigh of hand occurring in the NIZ. Officially, the residential units were not supposed to reap the developer the state tax flow, as in commercial and retail. Reilly is now interested in building a third Strata Flats on the Parking Authority lot at 6th and Linden. The Parking Authority apparently will continue its practice of neglecting the public good, by allowing chosen developers to build on it's surface lots. In this case, the lot served the art and music community. While the first floor of the new building will contain retail, how much of the project can utilize the NIZ financing is the question of this blog post. Supposedly, corporations have rented apartments in Strata 1. That is the explanation for the dark units in a building supposedly full. One must wonder if the tenant is a corporation, are state taxes from that tenant to be used for Reilly's debt service? We do know that the entire NIZ is neither monitored or scrutinized. * Between the ANIZDA in Allentown, and Pat Browne in Harrisburg, there's nobody watching the henhouse.
Between the lines, apparently the commercial demand has waned; Its been a long time since Reilly managed to poach a commercial tenant from somewhere else. I suspect now that somehow the taxes from the residential tenants are being harvested.
* Reilly told the Allentown Parking Authority that $1million in NIZ tax funds would be used annually for the project. Apparently, Reilly now makes these decisions directly, instead of just telling the ANIZDA puppets what to say.