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| A GRASSROOTS EFFORT TO PRESERVE BETHLEHEM'S PAST WHILE ENSURING ITS ECONOMIC FUTURE | |
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Save Our Steel in the NewsP'burg lawyer has deal for old Steel land
April 30, 2004 Perrucci, a Phillipsburg attorney and head of the Warren County Democratic Committee, signed an agreement of sale for the land last week, according to sources close to the deal. International Steel Group of Cleveland, which bought bankrupt Bethlehem Steel last year, would not confirm the sale. Perrucci did not return phone calls seeking comment. Sources declined to reveal details of Perrucci's plan or whether he supports a National Museum of Industrial History on land next to the 120 acres. Sources said the sale could be announced as soon as next week. ''I'm not going to comment because there is a confidentiality agreement and I'm going to honor it,'' said City Council President Michael Schweder. As originally envisioned, the Bethlehem Works project would become a $450 million complex with a museum, shops, restaurants, movie theaters, skating rinks and other recreation on idled Bethlehem Steel land between the Fahy and Minsi Trail bridges. Mayor John Callahan said he does not know enough details about the plan to comment. However, Callahan confirmed that Perrucci notified the city last Friday of the project through a phone call to city solicitor Jack Spirk. Delaware Valley Real Estate Investment Fund of Philadelphia claimed for several years to be close to finalizing a deal for the 120 acres, putting a stranglehold on the property. Delaware Valley never publicly committed to the vision for the land offered by Bethlehem Steel in 1995 when it closed the south Bethlehem plant — a recreation and entertainment district with the National Museum of Industrial History as a centerpiece. But Delaware Valley never signed a sales agreement on 120 acres and ISG said earlier this month that it would seek new offers. While sources didn't disclose a sale price, Preferred Real Estate of Philadelphia had offered $2 million for the Bethlehem Works site about a year ago. The company is now in litigation with ISG, claiming the steelmaker didn't negotiate in good faith. In the past, environmental concerns about liability for a site contaminated by years of steelmaking have raised obstacles to potential deals; it remains unclear whether they might become an issue with Perrucci. And there are competing interests for the 120 acres. Community and historic groups have rallied around saving the five blast furnaces that dominate the South Side landscape; ArtsQuest, the parent of Musikfest, has developed a plan for a 60-acre Arts Walk on the tract; and the mayor is organizing a group of professionals and community groups to create a new vision for development of the land. State Sen. Lisa Boscola, D-Northampton, said Perrucci might face political obstacles if he tries to move ahead without input from those competing interests. Boscola also said any developer will need government funds to remediate the environmental pollution at the site. ''It's going to require a great deal of cooperation at every The National Museum of Industrial History recently started a fund-raising campaign to get the $2 million it needs to start construction. Steven Donches, executive director of the museum, said the organization has secured a one-year extension from ISG on ownership of Bethlehem Steel's old electrical repair shop — it will house the museum's $16 million Exposition Hall — and fund raising is moving into its final phase. Some of the former Bethlehem Steel land, which covers about 20 percent of the city, has been sold for redevelopment. The Bethlehem Commerce Center, a business, manufacturing and warehousing development, is being built by Lehigh Valley Industrial Park Inc. on the bulk of the former Steel land, about 1,500 acres east of Bethlehem Works. Bethlehem also has been courting a minor-league baseball franchise and seeking $12 million in funding from the state to help build a stadium at the former ore yard, just east of the Minsi Trail Bridge. Near the Fahy Bridge, a Flyers SkateZone and three technology centers have been built. Perrucci also is attorney to Woodmont Development of Parsippany, N.J., the company that wants to build 200 apartments on the site of the former Durkee spice plant in west Bethlehem. Perrucci is well-known in New Jersey's political circles. In addition to his association with Florio as a lawyer, Perrucci served as a top lieutenant and adviser in Florio's successful 1989 gubernatorial campaign and as treasurer and fund-raiser for former U.S. Sen. Bob Torricelli, a New Jersey Democrat. He is also a friend and political contributor to state Rep. T.J. Rooney, D-Northampton, whose district includes the Bethlehem Works project. chuck.ayers@mcall.com 610-861-3634 Copyright © 2004, The Morning Call |
