EMMAUS, Pa. — Emmaus Borough Council continued Monday to mull giving tax assistance to plans for a large apartment complex on condemned, environmentally hazardous former industrial land that has gone unused for nearly 30 years.
An ordinance was drafted, but ultimately held back for rewrites, to accommodate a developer's request for a "blighted" property at 300 Furnace St. to get a Local Economic Revitalization Tax Assistance, or LERTA, designation.
If passed and the property is approved for the program, only a gradually increasing portion of taxes will be paid on the property's real estate value in addition to an annual flat fee for five years to incentivize development.
"It has definitely been labeled in many public documents as our number one blighted property in the borough."Borough Manager Shane Pepe
Council voted to establish parameters for a draft ordinance to be presented for its next meeting and also voted to limit its scope to five years, after which the legislation would have to be renewed.
Westrum Development Company illustrated its plan to convert a vacant lot at 300 Furnace St. into 144 apartments across four buildings in a June presentation to council.
The complex would consist of 80 one-bedroom and 64 two-bedroom units with 317 parking spaces on the 8-acre parcel.
Borough's top blighted property
Currently overgrown, the former foundry site has been left unused since 1995 and is environmentally contaminated and functionally obsolete, according to the borough.
"It has definitely been labeled in many public documents as our number one blighted property in the borough," Borough Manager Shane Pepe said.
The presentation stated that the first residents in the complex could be anticipated by 2025.
According to the initial presentation, site investigation and clean-up planning took place in 2019 and 2020.
For a LERTA to be applied to the property, the ordinance establishing a procedure, as well as a public hearing, would have to occur.
Council members and Pepe previously said passage of the LERTA is likely not to affect the acquisition and development of the property, but it may be a factor.
If passed, the LERTA potentially could be applied to other commercial properties in the borough where redevelopment is desired.
If no LERTA is passed, the property would be taxed according to standard assessment procedure if developed.
Three alternatives presented
Council debated three proposed designations for where the draft LERTA ordinance could be applied.
The final draft ordinance is set to appear at the next borough council meeting in August.
Council chose a draft ordinance that states that it can apply to any industrial, commercial or business property in the LERTA area including any property subject to an order by a government agency requiring the unit to be vacated, condemned or demolished by noncompliance with current laws.
Other alternatives presented included designating all parcels designated as a "Deteriorated Area" following a hearing as eligible, and another where only industrial, commercial or business property that has been vacated, condemned or demolished by reason of noncompliance with current laws was eligible.
Councilman Brent Labenberg, who does not support a LERTA for the property, was, however, an advocate for the chosen option if a LERTA is pursued, given its restriction to commercial property.
"We've all seen a house where the grass is 2 feet tall and falls by the wayside," Labenberg said. "That could be a situation where somebody could say 'LERTA for a house' and I don't think that's appropriate," Labenberg said.
"I don't think we need to give a tax break to somebody who's going to flip a house."
Pepe said the site is currently owned by Jeffrey Trainer, with county property records showing it was sold in May 2022 at $425,000.
Following an additional vote, the majority of council moved to adopt a sunset provision that would add an expiration to the legislation in five years unless renewed.
In other news
Also Monday, council passed an ordinance to restrict left turns onto Howard Street from Long Street due to safety.
The narrow street, only 12 feet wide and less than 12 feet at the intersection, will be established as a "No Thruway Street" when turning from North Street.
Also, petitions of more than a dozen people each were presented to the council requesting stop signs at Third Street and Berger Street, and Keystone Avenue and Spruce Street because of traffic safety concerns.
