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Wednesday, August 16, 2023

Dixie Cup Developer Wants Tax Break to Convert Factory Into 422 Apartments


Blogger's Note:
Wilson Borough resident Armando Moritz-Chapelliquen, who fought against converting the old Dixie Cup factory into a warehouse, remains quite concerned about the redevelopment of that site. To that end, he attended Monday night's meeting of Wilson Area School Board to learn what Skyline Development plans. His report is in detail below.

Bascially, Skyline wants a tax break known as a TIF so it can redevelop the site into 422 1 and 2-BR apartment.

My chief concern is the developer itself. I'll be sharing more soon.

Also, I see no reason for any tax break when there are people willing to buy this property without one. Why on earth would we subsidize a developer to increase the tax burden on property owners to pay for the education of students coming from two bedroom apartments?

22 comments:

Anonymous said...

Without judging the merits of this proposal; I'm curious as to what developer you think would want to buy, remediate and develop this brownfield site without some kind of tax break.

Anonymous said...

Any tax break for this is OUTRAGEOUS. Lamont, are you listening? I don't care who the developer is. Outrageous.

Vladimir Ill-itch said...

No. Raze it and make a park/green space that complements the bike path.

Bernie O'Hare said...

1:23, Nat Hyman has offered to buy this before, and without a tax break. I believe he was willing to pay what the previous developer, who wanted a LERTA, would get.

The project is a bad idea. Two bedroom apartments mean children, and this will increase school attendance at Wilson. The apartment dwellers will not pay the increased cost to the school district. That will instead be borne by property owners. Except for the Dixie Cup. They get a tax break.

Anonymous said...

Agreed! It is an eyesore.

Anonymous said...

There already is a park like a 1,000 feet north of the site, which would be accessible via the bike path.

Anonymous said...

I agree with you Bernie, tax breaks like this are not necessary in this situation.

However, and I am reading between the lines here, it appears Mr. Moritz-Chapelliquen is against anything happening with the site. Any development proposal will add to traffic since there is 0 traffic related to the site now. No one would be interested in commercial office/retail development given those market trends, so it's either warehouse, residential, teardown/park space or let it continue to rot.

Everyone loves a park but who will pay for it? Existing residents hate apartments for the reasons you cite. Everyone hates warehouses but they generate tax dollars without children.

So what's the lesser of evils here? Warehouse. it's on 22 so traffic impact should be manageable - make the developer pay for improvements to the 22 interchange and deal with it.

Or just let it rot.

Problem is, when you fight a bad option you may get a worse one in its place. This is that.

Anonymous said...

Another example of neo-feudalism. The ultra rich want to keep property ownership from the lower class by forcing people to rent instead of owning, giving them generational passive income for doing NOTHING.

We must resist the buildings of rental apartments at every turn.

Bernie O'Hare said...

Armando can speak for himself, but I believe he'd love to see the site redeveloped. He has some good ideas and I hope the developer listens.

Bernie O'Hare said...

10:23, I would like to see it redeveloped into residential 1 BR apartments, with room for some retail. If the developer did that, a TIF would be more palatable bc it would not flood the schools. I oppose tax breaks, especially for out of state developers that appear very suspicious to me.

Bernie O'Hare said...

10:26, I made a choice long ago to live in apartments. That is what I love. I do not like the headache of owning a home. Many people today feel that way as well. If there was a demand for ownership, the developer would be proposing condos. There simply is no demand for that these days. You're stuck in the '50s. Yes, I lose equity, but historically, you makle more money investing in mutual funds than in owning real estate.

C said...

I'd like to debate the merits of turning some of those units into condominiums in order to give people the ability to own something. Pride in ownership.This would then transfer some of the school tax liability to the condo owners. My grandfather worked there for 40 years, that building is amazing with very good bones

Anonymous said...

Dumb.

Anonymous said...

The best idea?? Tear down Dixie Cup and build a Traditions of America style development for 55 and older residents with integrated park and bike trail. Plenty of tax revenues generated, almost no service delivery and no kids in the schools.

Anonymous said...

I have a vague memory as a young child in the 1960s watching Planter's mascot, Mr. Peanut, dancing in the dark under spotlights in front of the giant Dixie Cup on the roof of the building. Did I smoke too much pot in the '70s or do I vaguely remember an actual event? Like some sort of promotional gig?

Armando said...

Thanks for sharing this Bernie. Folks in the area should be well-informed about this proposal before any decisions get made. In that regard, I appreciate the current developer presented in as much detail as they did Monday night without expecting any formal action.

10:23, I definitely want to see the site developed. At the same time, I disagree that warehouses would be preferable to residential, especially when considering the fact that the Dixie Cup site is between the Wilson Area and Easton Area High Schools. As you mention, increased traffic is inevitable given the current (lack of) activity at the site. The question then becomes, what uses would the surrounding community consider worth the trouble?

After advocating against the LERTA last year, I conducted a survey to find an answer to this question. Perhaps unsurprisingly, the most favored uses were "Community Facilities", "1 Bedroom & Studios", and "Recreation" spaces. My general impression from the full results is that respondents want to see something that benefits the surrounding community in more ways than just tax revenue. If you want to see the survey in full, LehighValleyNews.com did a write up when I presented it to Northampton County Council back in February (https://www.lehighvalleynews.com/easton/2023-02-03/the-dixie-cup-building-has-sat-vacant-for-years-how-one-neighbor-is-taking-matters-into-his-own-hands).

Regardless of your preferred use for the site, I would strongly encourage folks to be engaged in the TIF decision-making process. As with the LERTA last year, the leverage the School Board, the Borough, and the County (and their respective constituents) have is in whether to approve this benefit or not. If you live or work around the site and would like to get involved, let's chat.

Anonymous said...

After the games Mcclure played over getting virtue signaling voters used in the upper Mt. Bethel case, this should be rejected. Enough of picking the good developers vs. the bad developers. The county should stay out of it. McClure is bored with the mundane duties of the county and sees himself as the mayor the county and economic development his baby.

There is no need for any more tax benefits for developers. The LV has become a cheap suburb of NY and a coveted place for these speculators to hit and run. No more taxpayer handouts subsidized by homeowners.

The only reason many young people don't by homes is the cost not the choice. Your opinion is Flawed. There are always some that want to be transient but if the valley had not been raped by an influx of higher paid people, homes should not have cost so much. There is a need for lower cost senior housing as well, but you won't see it built. not because there is not a need, but the builders know there is a market for more costly units that give them more profit. Capitalism is not about social responsibility; it is all about profit margins.

Anonymous said...

According to the World Economic Forum, one day we will own nothing and be happy about it.

Anonymous said...

I agree that homeowners get ripped off when it comes to school real estate taxes. Even though apartment owners pay taxes, and theoretically each tenant pays a portion of those taxes in their rent, it's not nearly equal to what a homeowner pays towards educating a kid.

Anonymous said...

Easy answer, no.

Anonymous said...

Your example is anecdotal, and to be honest, I truly DON’T believe you chose you make your landlord rich instead of building equity in your own home. You’re buying into the propaganda that was developed by ultra-rich real estate developers that have an incentive to keep you renting. Millennials and Gen Z has never said that they preferred renting, they say they can’t AFFORD starter homes because the cost of owning one has gone up incrementally in comparison to their wages.

Bernie, you’re not seeing the bigger picture you keep yourself comfortably numb in this Lehigh Valley echo-chamber, but we’re seeing the effects of late-stage capitalism, and it’s not looking good for the future of this country.

I’m feeling a little French myself…

Anonymous said...

This plan is ridiculous! My gym LA FITNESS IS CLOSING FOR THIS ! Outrageous and then to say they are looking for specific people to even get the apartments? Listen I moved from new to Easton 3 years ago ! La fitness is my home and for everyone who’s been living here for much longer. This is a place we all come and set free. Why close la for a parking lot ? RIDICULOUS! So much space for you guys to close the only thing that keeps US THE PEOPLE GOING ! For your own selfish reasons. Easton is not New York so stop trying to make it trendy. Go to the downstairs area for that. I’d rather that place become a wegmans, Weis , Walmart , target or how about this a sweet green since your trying to make it like New York! Getting rid of what keeps us healthy is ridiculous for your selfish reasons. This proposal will fail