HARRISBURG-LANCASTER-LEBANON-YORK | South Central, PA | Regional Development Thread - Page 138

Young Gun · #**2741** Posted **Aug 22, 2011, 4:31 PM**

Quote:

Originally Posted by MidtownMike

Looks like this project might actually come to fruition:

http://www.pennlive.com/midstate/ind...will_host.html

And I know that Ralph Vartan has secured financing for the 1500 project...a little birdie I know who is in the know tells me it will become a reality. That's good news.

I'm on their mailing list. Seems to be doing well. Arent' they ground breaking soon?

I would be gungho about buying into the project if it wouldn't kill my other projects I have going at the moment.

*** edit.... I take that back a look at their Facebook page. Looks to have 4 floors of steel up already.

Young Gun · #**2742** Posted **Aug 22, 2011, 4:40 PM**

In other news... The replacement project for the Aloft hotel is now underconstruction too. It will be a 5 story office building. I am sure not exactly what we would have liked there, but it is raising the street wall and it much better than what it is replacing. (Office building replacing 2 story homes)

Better yet it's extending the commercial area more solidly into the 400 block of Second street. Hopefully it will jump to the 500 and 600 (where I'm located) blocks eventually

I'll take photos and post shortly.

MidtownMike · #**2743** Posted **Sep 1, 2011, 12:48 PM**

"Northern Gateway" project might come to fruition:

http://www.pennlive.com/midstate/ind...orthern_g.html

This article is filled with contradictions. I would be surprised if they break ground on Friday (9/2/11).

I will say that this project would work nicely with the courthouse/1500 project that are currently underway. I hope I'm wrong about it never materializing.

Young Gun · #**2744** Posted **Sep 15, 2011, 8:27 PM**

Quote:

Originally Posted by MidtownMike

"Northern Gateway" project might come to fruition:

http://www.pennlive.com/midstate/ind...orthern_g.html

This article is filled with contradictions. I would be surprised if they break ground on Friday (9/2/11).

I will say that this project would work nicely with the courthouse/1500 project that are currently underway. I hope I'm wrong about it never materializing.

Great news to hear. I'll definitely have to ride up to visit when they start it.

Too bad about the southern Gateway however. Everything that flooded on the south end of town last week probably would have been saved.... (excluding Shipoke I guess)

I found this statement to be interesting

"It isn't a lack of funding that put the project on an indefinite hold, Reed said. Alackof interest from Thompson is what nixed the southern gateway, he said."

from the final paragraph from this link

ATLonthebrain · #**2745** Posted **Sep 16, 2011, 8:11 PM**

I have to say, the Maclay Street Bridge (both the sidewalks and roadway itself) is in TERRIBLE shape, and needs some help..every time I drive over it when I'm home, I think to myself (why the hell hasn't the City done something about the condition of this bridge..it's been needed for YEARS, all the way back to when Reed was in office).

As great as I think the Southern Gateway project could have been, and may still be, for the City's future, it seems that it's a significant investment at a time when this postage stamp size city is (and has been for a while) in such dire straits financially.

And, it's always easy for one administration to point fingers at another. It happens at every level of government, it seems. Reed is no longer the Mayor, for good or for bad.

Young Gun · #**2746** Posted **Sep 21, 2011, 6:20 PM**

Quote:

Originally Posted by ATLonthebrain

I have to say, the Maclay Street Bridge (both the sidewalks and roadway itself) is in TERRIBLE shape, and needs some help..every time I drive over it when I'm home, I think to myself (why the hell hasn't the City done something about the condition of this bridge..it's been needed for YEARS, all the way back to when Reed was in office).

As great as I think the Southern Gateway project could have been, and may still be, for the City's future, it seems that it's a significant investment at a time when this postage stamp size city is (and has been for a while) in such dire straits financially.

And, it's always easy for one administration to point fingers at another. It happens at every level of government, it seems. Reed is no longer the Mayor, for good or for bad.

I think you could also argue the other point. The northern part of the city is already beginning to feel revitalization, (the court house, 1500 project, Northern gateway) If downtown also grew you would have two vital areas along a connected artery (Northern Gateway) growing and returning tax dollars to the city. If the Thompson administration had shown interest in the Southern Gateway most of the entire cost could have been picked up outside the city. With a little creative financing (perhaps private investment) the city could have possibly pulled off the project with near zero commitment.

Seems like the Southern Gateway is a wonderful dream (give it that next level of maturity) that at the moment is a little too grand for the city. Perhaps the next administration will have the boldness/vision/and financial ability to pull it off. Seems that much of the preplanning has already been paid.

Young Gun · #**2747** Posted **Oct 3, 2011, 7:12 PM**

As seen on Beyond Second. com

The new building that will occupy the corner lot of State and Second that was to be the new Aloft hotel.

Young Gun · #**2748** Posted **Oct 25, 2011, 9:04 PM**

The new office/retail building on the corner of State and 2nd. I took this last 20 October

EastSideHBG · #**2749** Posted **Oct 25, 2011, 11:15 PM**

Wow, that's a pretty decent addition there! Any idea on who the tenants will be?

Young Gun · #**2750** Posted **Oct 26, 2011, 8:32 PM**

Quote:

Originally Posted by EastSideHBG

Wow, that's a pretty decent addition there! Any idea on who the tenants will be?

Anchor tennant is a law firm, I forget the name. I don't believe that the rest have been announced yet. I believe they still have some room open.

I think it will still be quite an imposing building (like the new building on Reily and Third), but not the tall building that was envisioned as the Aloft hotel. If I had to make a bet, I would say that it occupies the same footprint as the Aloft concept, maybe they just lopped off the top 11 floors?

And hey at least it will mainly hide the parking garage from view from the street.

EastSideHBG · #**2751** Posted **Oct 26, 2011, 10:57 PM**

Ah okay, thanks! And very true re: your points!

Young Gun · #**2752** Posted **Oct 27, 2011, 2:52 PM**

Quote:

Originally Posted by EastSideHBG

Ah okay, thanks! And very true re: your points!

Very nice write up by floor9.com

Quote:

The Furlow Building is being restored. Midtown Harrisburg has evolved past “taking root” and into “sustained growth”. The 1500 Project is moving full speed ahead. Even the old glass factory on Third is being restored. Downtown’s entertainment district is as strong as it was ten years ago. And although the infamous Southern Gateway project is dead (probably because that’s a terrible name), the Northern Gateway project is about to begin.

Someone forgot to tell the city that we’re teetering on the verge of financial disaster.

see link for full article.

EastSideHBG · #**2753** Posted **Oct 27, 2011, 10:05 PM**

/\
Whoa, I had no idea he was still around and doing the site!

Young Gun · #**2754** Posted **Oct 28, 2011, 5:04 PM**

Quote:

Originally Posted by EastSideHBG

/\
Whoa, I had no idea he was still around and doing the site!

There had been a hiatus recently, but he seems to be back in force.

futhermore I am really loving "The Burg" magazine. Speaks a lot about project around the city.

Young Gun · #**2755** Posted **Nov 1, 2011, 4:54 PM**

BTW Buchanan Ingersoll & Rooney are the anchor tenants on the 2nd and State Property.

hbg4life · #**2756** Posted **Dec 13, 2011, 9:56 PM**

Just curious, I've been following this forum for a while and was curious if there were any updates on the buildings that are happening in midtown? What is going on with that purposal for the building on 2nd St, where Tom Sauyers club is? Any clue would be appreciated.

Young Gun · #**2757** Posted **Dec 20, 2011, 5:03 PM**

Quote:

Originally Posted by hbg4life

Just curious, I've been following this forum for a while and was curious if there were any updates on the buildings that are happening in midtown? What is going on with that purposal for the building on 2nd St, where Tom Sauyers club is? Any clue would be appreciated.

I'll have to go back to my emails on the 1500 project, the condos being built across from the future federal courthouse. A recap of the projects that I am aware of in the midtown area are as follows,

1841 3rd street is being built into I believe it is 31 units,

SAM's museum is moving forward.

Historic Harrisburgs building is under renovations.

There is a building on Market street that is being turned into about 50 luxury apts.

As for 211 2nd Street I believe it is stalled waiting on tenants. The credit market demands pretty much full occupancy before money flows nowadays

The old post office on Market is being repurposed.

Sorry I don't have more info on these at the moment, I have read various updates on them through The Burg magazine, Penn Live, and through contacts I have in the commercial real estate market, but I don't have all of those peices around me at the moment. As I find more info on these in the coming months I'll add the information to the thread.

If there are other projects that you would like to know about post them and I'll do my best.

EastSideHBG · #**2758** Posted **Feb 12, 2012, 3:26 PM**

It's so sad to think about all of the wasted potential with this building...just like most things in Harrisburg, actually.

Posted: Sun, Feb. 12, 2012, 3:01 AM

PhillyDeals: Office-space speculators make a capital killing

Joseph N. DiStefano
Email Joseph N. DiStefano

Money's tight for Pennsylvania. But last month, a state agency went to Wall Street and borrowed $107 million to enrich a California hedge fund, a Wall Street bank, and other speculators in a Harrisburg office building.

Result: Investors who bought bonds tied to the city's Forum Place at deep discounts are being paid full price to turn them in, giving them millions in profit.

But state officials say that's still a good deal for taxpayers - because the new arrangement will allow state workers to park their cars at a discount.

Our story opens in 1998, when the Dauphin County General Authority, one of the many local financing agencies that keep politicians and their bankers, lawyers, and advisers busy, raised $86 million - through bonds sold to Merrill Lynch, PaineWebber, First Union mutual funds, and Wilmington Trust - to buy Forum Place.

But in 2001, Forum's main tenant, PennDot, moved out. As rent stopped, cash for bond payments dried up. (The firm that arranged the financing, Dolphin & Bradbury Inc., was fined $800,000 by the Securities and Exchange Commission for not warning investors.)

As the bonds defaulted, investors cut their losses and sold at discounts approaching 50 percent. Most were bought by an arm of Saybrook Fund Advisors L.L.C., Santa Monica, Calif. Citigroup bought bonds with a face value of $12 million.

Saybrook found the building poorly managed. Comanaging partner Jon P. Schotz told me his firm went straight to work "fixing things the way we wanted, as opposed to the way those chuckleheads did."

Soon, Pennsylvania agencies were moving back to Forum Place. The authority's finances slowly mended, Schotz told me. "It would take them 10 years" to replace the lost bond payments, he said. "Maybe 15."

Investors didn't want to wait. They sued to make the authority pay faster. Commonwealth Court said no.

Saybrook kept recruiting tenants. In 2009, the state signed a 25-year lease to fill Forum Place.

A lease that long "happens very rarely," Glenn Blumenfeld, partner at Tactix Real Estate Advisors L.L.C., which represents Sunoco Inc. and other big office tenants, told me. "Generic office space is easily replicated. If you're leasing for 25 years, why don't you just buy it?"

Read more: http://www.philly.com/philly/busines...#ixzz1mBK74eki
Watch sports videos you won't find anywhere else

Young Gun · #**2759** Posted **Feb 21, 2012, 6:58 PM**

one reason for leasing was in agreement with Harrisburg. Land/buildings that the state owns they do not have to pay rent on. (I guess they are considered a non-profit? haha) This was eroding Harrisburg's already precarious tax base.

EastSideHBG · #**2760** Posted **Mar 10, 2012, 7:11 PM**

A song that sucks just about as much as the town does LOL But nah, glad to see some folks are finally reppin' da 'burg in a big way!

• Video Link

Custodian says Pa. capital will skip debt payments

By MARC LEVY
The Associated Press

HARRISBURG, Pa. (AP) — With money for its payroll growing short, the state-appointed financial custodian of the troubled Pennsylvania capital said Friday that Harrisburg will not make looming installment payments of nearly $5.3 million on two series of general obligation bonds, which would be the city’s first default on its debt.

“The problems the city faces did not develop overnight and I am working hard to address these problems while maintaining the core functions of Harrisburg’s city government,” Unkovic said. “This action will enable the city to continue operating and providing services while taking important steps to recover fiscal stability.”

The payments are due Thursday. The bonds are covered by insurer Ambac Assurance Corp, and a missed payment could mean steep interest costs. Ambac spokesman Michael Fitzgerald said that the New York-based company will pay valid claims on general account policies, which includes Harrisburg.
City officials have warned twice in the last two years about missing such bond payments, only to make 11th-hour arrangements to pay. But this is the first time under state control that Harrisburg is issuing such a warning.

“It’s a much more deliberate default,” said Matt Fabian, managing director of the Concord, Mass.-based municipal bond research firm Municipal Market Advisors.
A decision to skip the bond payment typically draws close scrutiny from the nation’s municipal bond investors and money managers, since municipalities have historically taken great pains to make timely payments on bonds for civic projects such as roads.
However, Fabian said Harrisburg’s default shouldn’t have a big impact on investors, in light of Harrisburg’s series of defaults on debts tied to a massive municipal trash incinerator. But the warning comes at a time when two California cities, Stockton and Mammoth Lake, are having financial difficulties and it could raise the concerns of institutional investors, Fabian said.

http://www.timesherald.com/article/2...WS03/120309558