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Lykens redevelopment project awaiting PHFA approval

A top redevelopment priority in northern Dauphin County could be under construction by the end of the year, four years after it was announced.

Rochester, N.Y.-based Home Leasing LLC, the developer behind the proposed Union House Apartments in Lykens, hopes to soon have tax credit approval from the Pennsylvania Housing Finance Agency to move closer to settlement and construction on the $11.4 million historic rehabilitation project.

Union House would be a redevelopment of the former Lykens Hotel and adjacent Israel Building in downtown Lykens. The plan calls for 28 apartments.

The five parcels tied to the project are at 580, 582, 600, 601 and 606 Main St.

“If approved, we are projecting to close in November 2015, with construction following immediately after and lasting 15 months,” said Megan Houppert, Home Leasing’s development manager.

The developer is seeking low-income and historic tax credits for the project, which has changed slightly since it was announced in 2011.

Scott Elliott, a PHFA spokesman, said approvals could come in May or June.

“The date is still in flux,” he said.

Dauphin County launched a comprehensive redevelopment strategy in 2011. The Lykens site is No. 4 on that list of 102 redevelopment sites.

The Lykens Hotel is a four-story brick building totaling 25,368 square feet. The Israel Building is a 13,085-square-foot, three-story building.

SAA Architects Inc., based in York, is the designer on the project. LSC Design Inc. is the historic consultant.

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