Former Tyco site in Carlisle slated for redevelopmentBorough considering TIF request to help with site improvements
A former Tyco Electronics facility on North Hamilton Street in Carlisle appears destined for the wrecking ball as the borough focuses on reviving old factory sites within its borders.
Jonathan Bowser, CEO of the Cumberland Area Economic Development Corp., said Tuesday that the Real Estate Collaborative, a CAEDC affiliate, has secured the three-acre site at 759 N. Hamilton St. and plans to ready it for commercial redevelopment.
The collaborative was set up last year to streamline redevelopment, by taking on tasks such as demolition and asking local governments to rezone underused, vacant and brownfield sites. The collaborative has been securing select sites in Cumberland County, such as the former Lemoyne Middle School and former Domestic Castings Co. property in Shippensburg.
The Tyco facility closed in 2009 and is still owned by TE Connectivity. The collaborative plans to demolish the roughly 60,000-square-foot building and replace it with office and retail buildings, Bowser said, adding that the plan would complement a massive redevelopment of the nearby Masland/IAC site, also part of Carlisle's urban redevelopment plan.
The 48-acre Masland site, purchased in 2010 by car show producers Carlisle Events, will soon be home to residential and commercial properties, including stores, restaurants and a hotel. The property was once owned by manufacturer C.H. Masland & Sons. It was later known as Lear Corp. and finally International Automotive Components.
"We anticipate positive activity at our site which is a block away from that development," Bowser said.
To make the TE site work, the collaborative is asking Carlisle Borough Council to consider tax-increment financing to help offset site remediation and demolition costs.
A council workshop meeting was held Wednesday night to discuss the creation of a TIF committee, which the borough supports.
The committee would involve North Middleton Township because part of the project is in the township. The Carlisle Area School District and Cumberland County also would need to participate in the committee and then approve any future TIF proposal.
A TIF permits municipalities to issue bonds to borrow against the future tax proceeds from a development.
Site preparation, including demolition and environmental remediation work, could cost about $2 million, Bowser said.
The collaborative also is buying two adjacent properties in the 700 block of North Hanover Street to help carry out its vision for construction and improve access to the development.
In talking with potential partners, Bowser said he foresees up to four standalone buildings on the property. He believes the site can support about 40,000 square feet of retail space and another 30,000 square feet of office space. No residential development is expected.
With environmental assessments and site remediation work, plus local approvals for redevelopment, Bowser said he doesn't expect activity at the property anytime soon.
"There are significant costs and it's hard to make a (brownfield) project financially work without state, local and federal subsidies," he said. "We're talking a next-year project."
This story has been updated to reflect that a TIF committee is being formed. The estimated cost of site preparation work also has been updated.