Friday, December 20, 2013

$30M post-incubator business project in limbo

Though the city of Bethlehem announced the project nearly a year ago, work has yet to start on creating the Tau building, a $30 million post-incubator workspace in the former Bethlehem Steel general office building.

However, if the city achieves a City Revitalization and Improvement Zone designation from the state, which allows certain state and local taxes generated by businesses in the zone to be used to finance construction and development of buildings, it could help push the project forward.

"It's been in a holding pattern," said Joe Kelly, director of community and economic development for Bethlehem. "That [Tau project] was designated for a [tax-designation] incentive. It's still a very real project."

Kelly said the city would continue to work with the land owners to make the project happen. The building is owned by Sands Bethworks Retail LLC, an entity of Sands Casino Resort Bethlehem, Kelly said.

Julia Corwin, spokeswoman for Sands Casino, said the casino does not comment on proposed plans.

"There is a need and a demand in South Bethlehem for incubator space," Kelly said.

According to a previous Lehigh Valley Business article, the five-story Tau building is 120,000 square feet and at the corner of Founders Way and East Third Street near the ArtsQuest campus at SteelStacks. If developed, the project could create about 300 jobs.

While the city could receive state and federal grants as potential sources of revenue for the project, the city slowed its pursuit of those grants in the hopes of getting a CRIZ designation, Kelly said.

Source: LVB.com

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