Philadelphia Chinatown Development Corp. has helped form an
immigrant investor regional center that will seek to raise $32.5 million to
fund its Eastern Tower Community Center in Chinatown.
The 23-story mixed-use development at 10th and Vine streets
will cost a total of $70 million. It already has a $42 million commitment from
Citi Community Capital.
PCDC helped form and is a limited partner in Global City
Regional City, which is referred to as an “EB-5” under the federal immigration
code. It allows for the establishment of entities that promote foreign
investment in projects that also create or preserve a certain number of jobs.
In return, that foreign investor can receive residence in the United States.
How much an investor has to put up depends on the project but is typically
between $500,000 and $1 million.
Global City will funnel investment money from the
international Asian community into the Chinatown development. The project will
total 227,000 square feet and include 144 apartments, offices, recreational and
retail space as well as a parking garage.
“We are uniquely positioned with the Asian community and we
are able to bring some investment from those areas into Philadelphia,” said the
Rev. Tom Betz, who sits on PCDC’s board and oversees Holy Redeemer Church and
School. “This is a huge project and the biggest community group project in
Philadelphia.”
Betz believes that Global City has the potential to fund
other community projects beyond Eastern Tower and may even spark other
community organizations to form additional EB-5 entities to help finance them.
“We are on the vanguard,” Betz said. “I suspect others will
see the potential for not only non-profit developments but for other
development.”
The PCDC project has roughly $2 million more to raise in
grants and other funding sources. It looks to break ground this summer on the
development and complete it by 2016.
Source: Philadelphia
Business Journal
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