Greendale Mall

Drove by today. The parking lot, along side the highway, was hosting a huge carnival. Is there no surer sign that a mall is in trouble when they can rent out half their parking lot to a mall.

Still stand behind my Best Buy will close by the end of the year.

Governor Cristie

love this guy

Pharmasphere

March of 2008 was the planned ground breaking when the parcel was awarded for $1.   May, 2010 they have not taken title and not one penny of taxes has been paid.    I am sorry.  The more and more I see the results of our RFP Process (Mason Street being another), I say lets just auction the property to the highest bidder.

Downtown

Great news on UNUM signing a lease.   Lets see what happens next.

Another observation.  City View restaurant....   Looks very nice.  Is very nice.  Simply the wrong restaurant right now for this location.   Don't see it making it through the summer.

Airport Prediction

By the end of the year we will have two additional commercial airlines.

Public Hearing on Job Growth

The Mayor’s Work Group on Job Growth and Retention invites Worcester businesses and the community at large to attend a public hearing to share their input on how The City of Worcester Can support existing businesses and recruit new businesses to locate here.


Date: Wednesday, May 26th 6-8pm
Location: City Hall – Levi Lincoln Room
Contact: Isabel Gonzalez-Webster – 508-799-1153

Airport Sale

I did not notice any revenue sharing in the press releases; for example a percentage of parking fees or a per dollar amount for each passenger or freight?    Right now when parking, passenger and freight is low at ORH, it would be a good idea to ask for this.  As ORH takes off, literally, it would provide some annual income back to the City of Worcester.

How can 2.6 million for us keeping the industrial park land be counted towards $17 million package.  Assume you have a house worth an empty lot next to it that is.  If you sell the house for $200,000 and keep the empty lot that is worth $50,000, the total sale package is not $250,000.   The sale package is $200,000 and you kept the empty lot.

It appears to me that the true number is 14.4 million and we were able to keep the Industrial Park land.

Airport Details

Total Package valued at $17 million
Click here:


Mass Colege of Pharmacy bought Crowne Plaza total package valued at $16.8 million.
 click here

Despite the fact I think we would have received a better return, if we had done a 99 year lease.  This is great news for ORH and Worcester. 

49% of the Southgate Place has been given away

As much as I am against Southgate Place,we have no choice but to deal with it and make the most of it.   The silver lining is that although the project cost $7,000,000, there is only about $1,000,000 that has to be paid back so there should be a positive cash flow for the South Worcester Neighborhood Center to reinvest back into the neighborhood.

The thing is only 51% of the profit goes to them.  The the other 49% goes to their other partners.     What exactly did they put up to get 49% of the profit?  Nothing.   True they did alot of work up front, which they had to float until the grants came through.  Now they have been paid for their work and get 49% of the profits.  

You get 49% ownership in a 7 million dollar project and you don't have to put up one dime.   Puts new meaning into Robert Allen's Nothing Down Real Estate books.

Two great opinion letters this week

Dick Chernisky--capping affordable housing

Robert Z Nemeth--on the Arizona law

Great job by both

DHCD Subsidized Housing Chart

Click here for the latest numbers on the percentage of subsidized housing by municipality.   Worcester at 13.6% according to the latest numbers, meanwhile Newton is at 7.7%.

jeff has take the list and ranked them, click here. 

Dan Gaulin

There was a post the other day to one of my blogs from a Dan Gaulin.  I commented that I thought there was a Dan Gaulin involved in the project so I sent an e-mail to him to confirm that it was in fact him that added the comment.   He got back to me yesterday and confirmed that it was him, Dan Gaulin owner of Elmwood Homes LLC of Newton, an affordable housing consultants for the developer.   He did tell me in the e-mail that Patriots Environmental was another local contractor hired, but did not explain what was no true about my other statements.



Here is the blog again:


No-Lo Tour Stop 3


City Builders, now Southgate Place, is the stop today. Wonder if the Telegram story will note:

• all the abutters were against this project
• nobody from the neighborhood will be present since they are all against Little Plumley
• the cost of the project is 7,000,000 million dollars for 25 units or $270,000 per unit,
• 100% low-mod income apartments-no market rate housing!!!!!
• no worcester contractors have been hired, so much for Buy Worcester (stand corrected the plumber, Grassechi, Patriots are two local contractors)

Dan's Comment 


I was there.

Since point 3 (100% low-mod)is the only true statement from your post, it was the only one that was mentioned this morning.

Jahn Post

He sent me an e-mail question how a project that cost 16-17 million dollars, 9 May Street, can be assessed at 1.7 million?  Good question. 

Telegram story on Southgate Place

$6.3M housing project breaks ground


WORCESTER — The South Worcester Neighborhood Improvement Coalition broke ground yesterday on Southgate Place, a $6.3 million affordable housing project on the former City Builders property.

Located at 104 Armory St. across from the Canterbury Street School, the project will convert a contaminated industrial parcel into 25 units of affordable rental units. The project is a public-private partnership between SWNIC and Needham-based Home & Johnson StepONE Architects, an architectural and development firm. The two organizations are developing the project through the Mechanics Guild LLC, in which SWNIC holds the majority interest. The project will be funded by low income housing tax credits, a brownfields cleanup grant from the U.S. Environmental Protection Agency, several other public sources, and some private loans.

The first phase of the property will involve cleanup of the property and demolition of several abandoned buildings. The site will house a three-story residential building and an outdoor bocce court. Construction is expected to be complete in early 2011, and rental applications will be available in March of next year.

The use for the remainder of the parcel has not been determined, according to a press release from the South Worcester Neighborhood Coalition, but possible options include a daycare center or affordable elderly housing

Owner of Southgate Place--not SWNIC

Although the land for the proposed Southgate Place (Old City Builders) is in the name of the South Worcester Neighborhood Improvement Corporation, they will not be the owner of the final rented project.   These parcels are only in SWNIC's name so as to secure political backing and obtain the grants and not have to pay back any of the EPA grants-- non-profits like SWNIC do not have to pay back EPA brownfield monies.  (Truth be told there is one parcel in the name of Mechanics Guild).

Once the project is complete it will be transferred from SWNIC and Mechanics Guild to  City Builders LLC.    Here is a better description.   .   If it was, in fact, City Builders LLC, trying to develop this parcel from the beginning, they would have 1) had to pay back the EPA brownfield funds and 2) would have had a more difficult time getting all of the grant monies.

No-Lo Tour Stop 3

City Builders, now Southgate Place, is the stop today.   Wonder if the Telegram story will note:

• all the abutters were against this project
• nobody from the neighborhood will be present since theyare all against Little Plumley
• the cost of the project is 7,000,000 million dollars for 25 units or $270,000 per unit,
• 100% low-mod income apartments-no market rate housing!!!!! 
• no worcester contractors have been hired, so much for Buy Worcester (stand corrected the plumber is local)

No-Lo tour stop 2

Never made the newspaper or did I miss it?

Office Space

Guy stopped by my house selling magazines, bought three.  Reminded me of one of the greatest movies ever "Office Space".


one more

Phil Palmieri on Polito show

Phil was on WTAG talking about some of the good work the CDC's do.  In particular CDC (not sure which one) new construction housing that sold with to employees of UMass, who received down payment assistance from their employer.   I am 100% in agreement with Councilor Palmieri!!!   These are good projects, promote home ownership and help stabilize neighborhoods.  In fact I would even call this work force housing. 

Problem is many of the recent projects are not like this:

• May Street- 100% rental to low mod income
• Piedmont Street--100% rentals to low mod income
• City Builders-100% rental to low mod income
• Hadley:  90% rentals to low mod income
• 90 Grand Street-I believe this will be 100% low mod income

High density,  rental units that cost on average over 300,000 per unit with either 100% or close to it requirements for low mod income do nothing to improve our neighborhoods.

Jim Polito

Been listening to him lately on WTAG.   He is right on target.