How the Center for Innovative Finance Support Office Does Business...
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About Us |
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Capacity Building |
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Outreach/Awareness |
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Research |
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Technical Assistance |
Location |
Easton, Pennsylvania Region |
Project Sponsor |
Pennsylvania DOT (PennDOT), Charles Chrin Companies |
Program Areas |
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Mode |
Highway |
Description |
The Route 33 Interchange Project involves the construction of a new interchange along Pennsylvania Route 33 and associated improvements in Palmer Township, 65 miles north of Philadelphia near Easton. A surrounding 628-acre site with a single owner will be developed as the Chrin Commerce Centre, a mixed-use development with industrial, distribution, office, and retail components. The owner is selling parcels of land to third party developers. To facilitate access to the development, a new interchange will be constructed between Main Street running east-west through Palmer Township and the site, and Pennsylvania Route 33 running north-south with connections to I-78 to the south and I-80 to the north. Approximately 22 acres will be given to PennDOT for the interchange right-of-way. In addition, the developer is making other infrastructure improvements within the Chrin Commerce Centre site. A development agreement between the land owner and the Northampton County Industrial Development Authority (the Authority), which provides nonprofit and manufacturing companies access to tax-exempt financing, sets out responsibilities for payment of the infrastructure improvements: approximately $13.6 million of improvements paid for by the developer and $27.4 million in public improvements, including the interchange design, acquisition, and construction, the widening of Main Street, and replacement of the existing bridge over Main Street. The public improvements will be financed in part by bonds issued against a tax increment levied on the properties within the improvement district (Route 33 Neighborhood Improvement District) where the development is taking place. An agreement between the Authority and the relevant taxing bodies (Northampton County, Palmer Township, and the Easton Area School District) will allow the use of the tax increment to repay the bonds. |
Cost |
$43.8 million |
Funding Sources |
Tax Increment Financing (TIF) bonds - $14.7 million Developer equity contribution - $6.6 million Developer land contribution - $2.1 million (appraised value) Developer funded improvements - $13.6 million PennDOT funding - $5.9 million Pennsylvania Redevelopment Assistance Capital Grant Program - $0.5 million Monroe County funding - $0.4 million |
Project Delivery / Contract Method |
Design-bid-build and private development |
Private Partner |
Charles Chrin Companies |
Project Advisors / Consultants |
Bond Counsel: Buchanan Ingersoll & Rooney PC Developer Counsel: Steven N. Goudsouzian LLC Special Counsel to Developer: Eckert Seamans Cherin & Mellott, LLC Tax Increment Financing Advisor: Mullin & Lonergan Associates, Inc. Neighborhood Improvement District Advisor: MuniCap, Inc. |
Lenders |
Bondholders |
Duration / Status |
Construction on the interchange and ramps began in October 2013 and is expected to be complete in late 2014. |
Financial Status |
Closed |
Innovations |
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Related Links / Articles |
Township of Palmer Project Description |
Contacts |
Northampton County Industrial Development Authority Tel: (610) 559-3200 |
