On Wednesday, I told you that Allentown Redevelopment Authority (ARA) is being sued by Allentown-based developer Nat Hyman. In January, on the motion of then board member Jessica Ortiz, ARA voted to seek proposals (called RFPs) to redevelop the old Allentown Toy Factory, located at 725 10th Street, with an emphasis on affordable or workplace housing. But Ortiz has since resigned from the ARA, claiming she "resigned months ago because I felt there was conflict of interest ( not with me) , miss management [sic] and [s]o much more." At a hearing, Ortiz can be asked to elaborate on this conflict of interest, mismanagement "and so much more."
Hyman proposed buying the property for $10,000 more than it cost the ARA, proposed 20 apartments with no off-street parking and without any financial contingencies.
But after a back-room meeting in which at least two board members participated, ARA went with developer Warren Lim. Under his proposal, ARA would lose between $50,000 -$100,000 over what it cost to acquire the Toy Factory. He proposed either 6 apartments and a daycare, or 12 apartments. His deal is also contingent on his ability to get a $1.39 million loan. There would be no on-site parking.
