EASTON, Pa. — A developer planning to build apartments in the former Dixie Cup building in Wilson now officially holds previously borough-owned land near the former factory.
Northampton County General Purpose Authority voted to approve the move Tuesday.
The triangular lot beside 25th Street, about a third of an acre, will become a public park designed to house the giant cup sculpture currently perched atop the aging building.
"The vote transfers 0.35 of an acre to Skyline Investment Group, the latest step toward getting its ambitious redevelopment project off the ground."Northampton County General Purpose Authority
The company behind the redevelopment project, Skyline Investment Group, asked Wilson to give it the lot.
However, under borough rules, the borough can only turn over the land through an open auction at which anyone could bid.
As a workaround, Wilson transferred the land to Northampton County General Purpose Authority, which has the power to pass it along to the developer.
On Tuesday, the GPA voted to transfer the 0.35 of an acre to Skyline Investment Group, the latest step toward getting its ambitious redevelopment project off the ground.
Project history
The former cup factory building is on track to become 1921 at Dixie, a 405-unit apartment complex.
Both Wilson and Wilson Area School District approved a tax increment financing district in August to benefit the project.
The financing program would let developer Skyline Investment Group essentially take out a $29 million bond against future property taxes the completed project will generate.
Over the term of the bond, the landowner still pays taxes on the property's pre-construction value to the county, borough and school district.
Taxes levied on the newly finished building, however, go to pay down the loan.
Before the TIF program can take effect, Northampton County Council also must sign off on the tax break.
Though the council voted to approve the tax incentive in early 2024, its solicitor determined council will need to hold new hearings and a new vote now that the borough and school district have weighed in.
Since late last year, the Northampton County Industrial Development Authority has been reviewing the TIF proposal; the authority would be responsible for issuing the bonds for the project.
Once the review is complete, a vote of County Council will determine whether the proposed TIF district takes effect. If council signs off, Skyline then would work to secure outside financing for the project.
