by Stephen Huba, Pittsburgh Tribune-Review (PA)

A study is underway that will determine the best use for a piece of property that Mt. Pleasant Borough received from the Levin family 10 years ago. 

The 7.6-acre brownfield site on Bridgeport Street used to be home to the Bryce Brothers Glass Co., which became part of Lenox Crystal in the mid-1900s. 

Levin Furniture later obtained the property and used the building as a warehouse. An arson in 1998 destroyed the warehouse, which had been mostly emptied after Levin moved to Fitz Henry in South Huntingdon. 

The land donation was approved by borough council in 2008, triggering a lengthy process of environmental review.

…

For the entire article, see

https://triblive.com/local/westmoreland/14202813-74/study-of-mt-pleasant-brownfield-site-will-develop-plan-for-potential-uses

There will be about 29,000 tons of contaminated soil removed from the property to make it safe for construction.

By Alex Costello, Long Beach Patch (NY)

After many years of delay, the brownfield site on the southern tip of Harbor Isle is scheduled to be remediated.

The former Cibro Petroleum site, located off Island Parkway South, will be cleaned by the Posillico Development Company, which is planning to build condos on the site.

…

For the entire article, see

https://patch.com/new-york/longbeach/harbor-isle-brownfield-be-cleaned-make-way-condos

The company issued a request for qualifications for the Mill District, the first phase of the Hazelwood Green waterfront property.

by Barbra Murray, Commercial Property Executive

Almono LLC recently took a significant step forward in the development of Hazelwood Green, a 178-acre mixed-use project in the Hazelwood neighborhood of Pittsburgh. The company issued a request for qualifications (RFQ) for the Mill District, the first phase of the waterfront property.

Almono LLC is the general partner of Hazelwood Green owner Almono LP, which is a partnership of Pittsburgh’s Richard King Mellon Foundation, Heinz Endowments and the Benedum Foundation. The charitable organizations came together in 2002 to acquire and land bank the project site, which holds the distinction of being the last developable tract of sizeable riverfront property in Pittsburgh. The partnership held back on developing the property—a brownfield site that had been home to LTV Steel—until it determined the timing was right to move forward. With RFQ responses due by the middle of November, Almono LLC is set to begin selecting developers in the first quarter of 2019.

…

For the entire article, see

https://www.cpexecutive.com/post/almono-seeks-developers-for-1b-pittsburgh-mixed-use-project/

By Steve Dwyer 

In mid-September, about 50 students attending the University of Connecticut (UCONN) experienced a teaching moment from a brownfields practitioner. 

BCONE President, Stephen Jaffe, participated in a lecture to UCONN engineering and environmental students—some of whom might set out to pursue a career in brownfield redevelopment—on the topic of “Brownfield Due Diligence.” 

Jaffe was duly qualified to speak about a host of specific brownfield-oriented themes to the students. The event was all part of BCONE’s mission to fan out across the region to inform and enlighten both public and private organizations about the brownfield redevelopment way. 

“We have always known it’s vital to put BCONE out there to inform—not only via networking but through teaching,” says Jaffe. “We understand the value of getting young students involved at the ground floor, During the lecture, they were very excited to learn about the many aspects of due diligence within brownfield reuse and redevelopment—aspects that are so essential to what we do on a daily basis.”  

Carrying out similar events and seminars across other BCONE states—from university to state agency engagement—Jaffe says it’s important to deliver “updated policies but also to tell about the success stories within brownfields.” 

Jaffe’s September presentation had an added incentive: The UCONN environmental and engineering students have a chance to secure a BCONE-sponsored scholarship, to be determined at the end of the semester, for their work within the brownfield redevelopment industry. (More details on this to come in a future news report.) 

Speaking to the students who function within UCONN’s Dept. of Civil & Environmental Engineering class, Jaffe’s lecture outline underscored the overarching theme of “Brownfield Property Acquisition.” Drilling down further, such topics discussed included negotiations and the way brownfield stakeholders must allot adequate time to conduct due diligence. From there, Jaffe detailed relevance of professional consultant retention, environmental, wetlands/floodway, archeological, geotech, title, zoning, traffic, use/density, politics, utilities, application fees, absorption study and cost estimates. 

Additional pillars of the lecture focused on New Jersey Redevelopment Law, which entailed redevelopment vs. rehabilitation, interim and final redeveloper designations, redevelopment agreements and redevelopment plans. It went on to focus on approvals, property closings and a case study focusing on the Haddon Town Center, a successful mixed-use apartment and retail community located in Haddon Township, N.J. 

Once students had a chance to hear Jaffe’s presentation, they were able to take that knowledge and apply it to a semester-long course within UCONN’s CT Brownfields Initiative/Dept. of Civil & Environmental Engineering. The class is being presented by Nefeli Bompoti, Ph.D., assistant research professor, and Marisa Chrysochoou, Ph.D., director. 

The learning objectives of the course include both technical skills specific to brownfield redevelopment and non-technical skills related to communication and management. Upon completion of the course, students will be able to identify the status of a site as brownfield; articulate the relevant laws and regulations that govern the management of a brownfield site; identify and describe how federal, state, regional and municipal levels of government are involved in the process of redeveloping brownfield sites; identity and describe how private development entities are involved in the process of redeveloping brownfield sites; describe the potential funding sources to cover the different stages of a brownfield redevelopment (investigation, clean up, development); list the different phases of a site investigation, the objectives of each phase and the methodology to develop a plan for each phase.

The students who excel the highest in this course will be awarded with the scholarship—to be determined by both UCONN professors and a third party group. BCONE’s scholarship was established in 2018, in memory of Charlie Bartsch, former member of the BCONE Board of Directors and the nation's passionate voice promoting the importance of brownfields remediation and redevelopment.  Charlie was the leading guru on how to assemble a variety of state and federal incentives to enhance projects of interest to the community. Contributions in Charlie’s memory are funding the scholarship at UCONN (and one in New Jersey and one in PA), the details of which will be shared in a news report later this year.  

RE developers can use everything from old government facilities to brownfield sites to capitalize on the need for last mile warehouses.

by Joseph A. Panepinto Sr., National Real Estate Investor

Amazon launched the age of e-commerce when it shipped its first bookout of a garage in 1995. Since that beginning, consumers have grown to embrace the ‘e-tail’ lifestyle. Millennials are now driving the demand for everything from toilet paper to make-up delivered to their doorstep. To accommodate this growth, e-retailers are snapping up industrial-use land and buildings as close as possible to the consumers they need to serve.

Access to the ”last mile” of delivery in urban locations has become one of the most critical factors in site selection. Facilities must not only be the right size, they must also have access to a highway and/or waterway, appropriate zoning, an accessible employee base and be as close as possible to their customers.

Traditionally, open plan, one-story buildings have been used as warehouses. Today, buildings of several forms can be utilized, including former big-box stores; industrial sites in various stages of remediation; under-used office space; and, in one instance in Chicago, an underutilized parking garage.

…

For the entire article, see

https://www.nreionline.com/industrial/e-commerce-industry-s-last-mile-needs-create-new-demand-old-warehouse-space

By Michael Bliss, VP Sales & Marketing at Hill Environmental

On Thursday, September 13, 2018, the Brownfield Coalition of the Northeast (BCONE) hosted a “Current Opportunities in the Pennsylvania Redevelopment Marketplace,” featuring Cosmo Servidio, USEPA Regional Administrator for the Mid-Atlantic Region and Patrick Patterson, Regional Director for the PADEP Southeast region. The sold-out event was held at the Center City Philadelphia offices of Buchanan Ingersoll & Rooney PC and was attended by 55 environmental professionals from various backgrounds.

Regional Administrator Servidio spoke about the importance of collaboration and partnerships in redeveloping areas in Pennsylvania. The goal under his leadership is to see the redevelopment marketplace thrive. He stressed the importance of partnering with the state, the success of the Act 2 program and making the process of brownfield redevelopment easier for all parties involved.  Currently, Mr. Servidio noted that communication across government, private and public entities can be improved to help accomplish this. Ultimately, he stated that redevelopment decisions should  be made based on regulations, science, and data.

Mr. Servidio further noted that BCONE’s members are the experts and problem solvers who are an integral part of improving the redevelopment process for all parties involved. An invitation was extended for BCONE to host an event at the EPA office at a future date.    

Regional Director Patterson, based in Norristown, Pennsylvania, stressed that solutions can be found to just about any issues in redevelopment by working together. Mr. Patterson noted that over 6,000 sites have been cleaned up via the Act 2 program in Pennsylvania. In addition, 1,400 properties from the Southeast Regional office have been remediated with 1,100 more in various stages of the process. Current challenges include funding; legislation is anticipated to make funding easier for involved parties.  

In summary, Mr. Servidio and Mr. Patterson emphasized cooperation and that BCONE plays an important part in that process. Environmental professionals can benefit and gain knowledge about the process through BCONE and becoming active participants.   

The event included networking with light fare and a reception with beautiful views of the Philadelphia skyline.  Many thanks to BCONE’s venue host, Buchanan Ingersoll & Rooney PC and to the evening’s event sponsors Clean Earth, Geosyntec Consultants, Langan, Environmental Standards, Whitman, AECOM, Syngergy Environmental, Pennoni, Terraphase Engineering, Hill Environmental Group, and Willis Towers Watson. Thanks to the event committee: Mike Bliss of  Hill Environmental, Brian Clark of Buchanan of Ingersoll & Rooney PC, Skelly Holmbeck of Montrose Environmental and member of the BCONE Board of Directors and Elizabeth Limbrick of NJIT and the TAB Program for USEPA Region 3.  Mr. Bliss, Mr. Clark and Ms. Limbrick are all members of the BCONE Advisory Board.

Photos of the Event:

     

     

     

     

     

By Steve Dwyer

There’s a love affair brewing in New Jersey—an atypical one but it’s authentic in its power and commitment. 

“Opportunity Zones” are popping up in the Garden State, an outgrowth of the Tax Cuts and Jobs Act of 2017. Gov. Phil Murphy simply loves this idea. How much so? His administration jumped on this golden opportunity, designating 75 communities in New Jersey as opportunity zones thus far, with perhaps more to come. “It’s the only part of the tax bill that we like,” Murphy said. “We are head-over-heels in love with this.”

The Opportunity Zone initiative holds the potential to attract billions of dollars in capital investment from the private sector, boosting the prospects of compelling business and economic growth and prosperity for New Jersey’s poorest communities. The program will be run by the New Jersey Department of Community Affairs. 

What’s not to like? Brownfields practitioners know the vital need for the private-public partnership to excel for projects to fly. 

“When it’s all said and done, I think the capital you are going to attract to New Jersey won’t be measured in the millions, or even in the hundreds of millions. I think your efforts will bring billions of dollars of new investment into our state, grow our tax base, and create more revenue for all,” said N.J. Sen. Cory Booker, in a statement.

Federal Opportunity Zones allow for investments to be made in certain communities in return for reduced taxes on the capital gains they earn. If the investments are kept going for 10 years or more, investors could reap even more benefits. 

Over 200 investors, economic developers and business and community leaders attended a recent symposium around economic development in New Jersey, according to the Governor’s office.   The idea is to get “parked” capital invested back into areas that are emerging economically.

The program provides opportunities for private investors to support investments in distressed communities through participation in Qualified Opportunity Funds (QOF). 

Brownfields stakeholders need to be incentivized to put the wheels in motion on project commitments. Here’s a biggie: Investors can defer paying federal taxes on capital gains reinvested in QOF that invest in low-income communities, under rules released by the U.S. Department of the Treasury. 

Reinvested capital gains are deferred from taxation until exit from a QOF or December 31, 2026, whichever comes first. However, gains from QOF investments held for the long term are taxed at reduced rates, with the rate reductions increasing at the 5, 7 and 10-year marks. Any gains from QOF investments held for at least 10 years will be permanently excluded from the capital gains tax.

The final rules and guidelines from the Opportunity Zone program are in the process of being released by the U.S. Department of the Treasury. However, the federal Tax Cuts and Jobs Act states that “Opportunity Funds must hold at least 90% of their assets in Qualified Opportunity Zone stock, partnership interests or business property.

To receive tax deferrals, capital gains must be reinvested in QOF within 180 days of the date of sale or exchange producing the gains. Tax deferrals last until December 31, 2026, after which the Opportunity Zone program will end absent reauthorization by Congress.

Gov. Murphy has been authorized to designate up to 25% of the state’s eligible low-income census tracts (up to 169 tracts) as Opportunity Zones. Those 169 tracts were nominated on March 20 and approved by the U.S. Department of the Treasury on April 9. In the name of equity, 75 municipalities, representing every county in the state, received at least one Opportunity Zone.

The Governor worked directly with Sen. Booker’s office, convened meetings and roundtables with mayors throughout the state to receive feedback and input, and met with the New Jersey Congressional delegation to ensure a fair and transparent selection process. Designated census tracts reflect key economic indicators (e.g. income, unemployment rate, property values) that also take into consideration geographic distribution, access to transit, and the value of existing investments, including those encouraged by state programs and incentives.

It will be interesting to document how other states in the BCONE membership network are optimizing this progressive federal program in the months and years to come.  We know from BCONE Board member Hannah Moore that Rhode Island is active in its Opportunity Zone process. 

The Opportunity Zone initiative is one with tremendous upside for reuse and redevelopment practitioners of all stripes. Now let’s get after it! 

The Connecticut Department of Economic and Community Development (DECD) is accepting applications from municipalities and economic development agencies for its 12th round of competitive grant funding as part of the state’s Brownfield Remediation Program.

The initiative provides opportunities to investigate, clean up and revitalize blighted properties that have fallen into disrepair and puts them back into productive use in ways that benefit local economies.

Municipalities and economic development agencies are eligible to request funding of up to $1 million for individual remediation projects and up to $200,000 for assessment projects.

Awards may be used for a range of brownfield assessment, remediation and redevelopment activities, including abatement, demolition, site investigation and assessment, groundwater monitoring, installation of institutional controls, and professional service fees associated with redevelopment.

All projects will be rated and ranked by an interagency committee on the following criteria:

• Applicant/municipal financial need;

• Remediation/cleanup (or assessment) project feasibility;

• Redevelopment project feasibility;

• Redevelopment project economic and community impact;

• Responsible growth and livability initiatives; and

• Applicant capacity and experience.

To date, the state has invested $223 million in more than 246 old or vacant factories, mills, warehouses, and other contaminated sites and structures under the program. This round will see an investment of up to $4 million for remediation projects, with up to $1 million of that amount reserved specifically for assessment projects.

Application information can be downloaded online at www.ct.gov/ctbrownfields. All applications must be submitted via email to brownfields@ct.gov no later than Wednesday, Oct. 31 at 3:00 p.m.

The September issue of Real Estate NJ recognized the event BCONE held at the Roebling Museum this past August. To view, go to page 32 at the following link: https://re-nj.com/flipbook/21-Sept2018