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2007 Real Estate Review
[Posted December 28, 2007 ]
Collecting data is tedious business, but if done faithfully, it sometimes yields worthwhile results. One form of data that everybody can look at concerns real estate transactions throughout the county. Not only do real estate sales records provide the date and sales price, but they also contain details about the new owners and the property itself.
Data for West Chester's property sales through December 14 of this yea is complete, and some patterns are already evident. The first shows that national real estate crisis is having an effect in the Borough as well. In 2007, there were only 218 property sales -- actually 215 if you discount properties that sold twice in the same year. That is down from 2006, when 264 properties sold, and continues a trend that started back in 2003 when local sales peaked at 335. This table shows the number of sales and refinancings by year from 2000 to 2007.
Property Sales by Year, 2000-2007 (through 12/14)
Year Sold Refinanced

2000 322 58
2001 276 55
2002 313 20
2003 335 21
2004 323 12
2005 305 70
2006 264 69
2007 218 98
The "Iron Hill Brewery" building sold for $4.6 million last year, making it the biggest sale of the year. The second most expensive piece of property that changed hands in 2007 was at 13 S. High Street, the former Turk's Head Inn now turned into Barnaby's Restaurant, which sold for over $2.2 million dollars. Third place went to the new owners of 1 S. High Street (diagonally across Market & High from the courthouse) who paid over $1.8 million. There were two other transactions of more than a million dollars each: over $1.4 million for 237 E. Gay Street (the northeast corner of Gay and Patton), and nearly $1.4 million for 133 N. High Street, where Fox Chase Bank is now located. 13 S. High Street: the
second most expensive piece of real estate in West Chester in
2007
The second most expensive piece of real estate
sold in West Chester in 2007
Once again, the most expensive piece of residential property was located in the north end of town, where a couple paid nearly $800,000 for a house on Clarke Street. That's still less than previous records for that neighborhood which has seen sales of one house for more than a million dollars and two for more than $900,000. This year's second place residential sale was on Union Street by Everhart Park, and cost nearly $740,000. Sales on W. Nields Street, N. High Street and another one on W. Union Street -- all for more than $600,000 -- rounded out the top five.

At the other end of the scale were three condo units at 420 N. Everhart Street which sold for an average of $85,000. Three condo units in Ramsgate Townhomes at 620 S. Franklin Street sold for an average of $134,000 and seven units at 605 W. Market Street sold for an average of $135,000. Other "affordable" blocks, at least by West Chester's standards, were the 300-block of W. Chestnut Street (two properties averaged $145,000), the 100-block of E. Miner Street (four properties averaged $175,000), the 700-block of S. Adams Street (five properties averaged $176,000), the 200-block of S. Matlack Street (three properties averaged $176,000) and the 300-block of E. Miner Street (two properties averaged $180,000). Other blocks where multiple transactions averaged out to less than $200,000 included the 400- block of W. Gay Street and the 200-block of W. Lafayette Street. Everything else in the Borough cost at least than $200,000.

One other pattern proved interesting -- the distribution of property sales among the Borough's eight voting precincts. There was far more activity in Ward 6, west of High Street between Miner and Chestnut Streets, than in any other ward. Ward 6 contains a wider mixture of uses than any other ward including commercial properties, single family homes, apartment complexes and condominium developments. It also contains the new County Justice Center (due to open in 2009) and that may be encouraging some investments.

Unfortunately real estate transactions do not reveal anything about properties that did not sell, nor does it show how long each was on the market before selling.

2007 Property Sales (through 12/14), by Ward
WARD Sold Refinanced Note

1 31 12 mostly single-family homes
2-E 6 8 5 refinanced by Davis Oil Co. family
2-W 18 13 mix of commercial and residential
3 28 8 mostly single-family homes
4 29 9 mostly student rental units
5 20 12 mostly single-family homes
6 44 21 lots of condos and commercial properties
7 37 19 mostly single-family homes
The scuttlebutt around the Recorder of Deeds office -- where real estate professionals spend part of their days -- says that the Borough is slowing down, but is in fairly good shape when compared to other parts of the county. To give an idea of how bad it could be, several people described a cul-de-sac in Newlin Township where ten out of eleven $750,000 houses were all on the market at the same time in early December. Chances are they still are, because who wants to be the first person to buy on a block where the prices of the rest of the houses will probably go down in the near future?


BLUER Committee Update
[Posted January 6, 2008 ]
WCJIM took off part of last Friday afternoon (January 4) to attend the monthly meeting of the Borough's "BLUER" committee meeting. BLUER stands for "Borough Leaders United for Emissions Reduction" and as its name suggests, its goal is to find ways for Borough to consume less energy (or at least, to use it in ways that pollute less).

Back on February 20, 2002, Borough Council adopted a resolution "supporting and joining the International Council for Local Environmental Initiatives Cities for Climate Protection Campaign." For the next four years, climate protection remained a vague priority in the Borough until September 2006, when Council began to discuss forming a committee to address the issue directly. By December 2006, Council was able to interview applicants, and in early 2007, the seven-member committee started to hold regular meetings. Currently, their meetings take place at Borough Hall at 1pm on the first Friday of each month. The next meeting will be on February 1.

Last Friday's meeting was surprisingly well attended, and their agenda was pretty full. In addition to the committee members, there was a WCU professor whose honors class is looking for a way to doing something helpful in the community, someone from Henderson High with a similar goal, at least one regular citizen with an idea on how to raise public interest in energy conservation, and the representative of a company that has offered to devise a plan to reduce the Borough's electric bills, in exchange for a cut of the savings. To complete the tableau, there were also a couple of small children who were well-behaved but appeared disinterested in the discussion.  one big source of
emissions in the Borough of West Chester is traffic
Traffic creates one source of emissions in the Borough
BLUER has organized its activities in three parts. The first, which is still underway, is to complete an inventory of energy usage in the Borough, including not only municipal government, but also major industries, non-profits, and eventually even residential use. They have grouped energy use into major categories like heating/cooling and transportation, and assigned individual committee members to collect information in each area. The second step will be to propose some initiatives to reduce energy use, while the third will be to monitor their results and to look for additional avenues of saving.

This was WCJIM's first BLUER meeting, so he can't claim complete understanding (yet), but according to comments made at Friday's meeting, the committee is focused on step one, but interested in ideas for step two. They have already supplied recommendations on "green building" design that were incorporated into the new height overlay standards and conditions (adopted by Borough Council last December). They also suggested that Council allow a consultant to analyze the Borough's electricity use with an eye towards reducing the bills. The consultant was present, but BLUER members had not yet received their copies of his report in January and a scheduling conflict will keep him from making his presentation in February. So BLUER will not be able to make a recommendation to Council before March at the earliest.

WCJIM has noticed that members of BLUER have become regular attendees at Borough Council meetings, and based on the activity at last Friday's meeting, the group appears to be taking their responsibilities seriously. That's why Council selected them in the first place. It was also a good sign that both high school and university students are becoming involved. Although still in the early stages of organizing their activities, the BLUER committee looks ready to bring about change,

If you are interested: BLUER meets at 1pm on the first Friday of every month at Borough Hall, 401 E. Gay Street. They are also building a web site, and WCJIM will post the link as soon as it becomes available.


Borough Council Reorganizes
[Posted January 8, 2008 ]
Last night, Borough Council performed its biannual ritual of swearing in new members and electing officers for the next two years. A crowd of more than one hundred people witnessed the ceremony, and as has become the custom in recent years, numerous local dignitaries witnessed the ceremony. They included State Representative Barbara McIlvaine Smith, District Justices Gwenn Knapp and Mark Bruno, NAACP president Alice Hammond, departing Council members Paul Fitzpatrick and Steve Bond, former Council members Bill Scott and Wayne Burton, former Mayor Tom Chambers, and representatives of various boards, commisisons and neighborhood groups.

After making remarks about the meaning of the oath of office, Mayor Yoder swore in Susan Bayne (Dem, Ward 4) for a second term, and then administered the oath to new council members Cassandra Jones (Dem, Ward 2) and Jim Jones (Dem, Ward 6, no relation to Cassandra).

Afterwards, Council members elected Susan Bayne as president of council, and Chuck Christy (Dem, Ward 3) as vice president, for the next two years. They also decided to continue to hold their voting sessions on the third Wednesday of each month and their work sessions on the preceding Tuesday, with the exception of September 2008, when both meetings will be moved forward one day (to Monday and Tuesday, September 15 & 16), to avoid a conflict with a meeting that requires the attendance of Borough manager Ernie McNeely.  Mayor Yoder administers
the oath of office to new Council member Jim Jones
Mayor Yoder administers the oath of office
to new Council member Jim Jones
Following remarks by the mayor, council members and the public, the meeting adjourned. Members of Council and the audience mingled for about a half hour while friends and family snapped souvenir photographs, but no one lingered too long, since Council already has a busy schedule this month. Their first meeting -- a conditional use hearing -- starts at 6:30pm the next evening, and while there will be no committee meetings this month, that means they will face a full agenda at their work session a week later (Tuesday, Jan. 15). The next night, they will vote, and then they will return two weeks later (Jan. 28) to continue an earlier conditional use hearing.


Bail Bonds 101
[Posted January 13, 2008 ]
Nowadays, we are bombarded with information about our criminal justice system. From news stories about criminals to reality shows about cops, plus all of the take-offs on "The People's Court," fictional crime shows and Hollywood gossip shows, our world is full of details about "perp walks," restraining orders, "lawyering up," and other concepts.

One of the stranger items is bail, the money you pay (or don't pay) to get out of jail for free. At least that's what is seems like when the rich are accused, or when hardliners want to criticize judges that they find too "liberal." Since the difference between "ten percent of $2000" and "two million dollars unsecured" is not very clear, WCJIM decided to look up the word "Bail" and see what it really means.

The 1997 edition of Gilbert Law Summaries' Pocket Size Law Dictionary defines "Bail" as "To give a security (often money) to procure the release of a person being held for an offense, and to insure that person's future appearance in court." That's probably plain enough, but to restate the concept, you leave something behind that is important enough to make sure that you come back for it. That's similar to leaving your driver's license with the operator when you rent an air mattress at the beach.

Both the US and Pennsylvania Constitutions prohibit "excessive bail." According to Thomas James Norton, writing in The Constitution of the United States -- Its Sources and Application (New York, Norton, 1960), page 222, the Eighth Amendment included this because English kings used high bail to imprison people for long periods without bringing them to trial. That was not a problem if the person was eventually found guilty of an offense whose punishment was longer than the period of the pre-trial imprisonment, but in all other cases (i..e innocent or guilty of a lesser offense), there was no way to restore lost days of freedom. To prevent that, the US Constitution says that bail should be enough to get someone to court, but no more. [NOTE: The same amendment also prohibits "Excessive fines" and "cruel and unusual punishments."] The 13th Amendment of the Pennsylvania Constitution reaffirms the federal language.  Judge's gavel
So how much is enough to insure a court appearance without being "excessive?" That is the decision that judges must make every time that a trial date is set. Unless the defendant is already in prison for an earlier conviction, the judge determines whether the defendant is likely to show up at a future court hearing. If there is no doubt, then a judge can decide not to require bail at all. WCJIM is neither a judge nor a lawyer, but it seems like someone who is accused of a traffic violation, who owns a house and has a family in the community where it took place, is a good bet to show up for trial, since even if convicted, s/he stands to lose much more by running away than could possibly be assessed as a penalty for a traffic violation. On the other hand, if that same person is charged with a traffic violation while on vacation three thousand miles from home, and the violation also resulted in costly property damage or worse, a judge might set bail to make sure that the person sticks around or returns for trial.

In Pennsylvania, district judges have the responsibility for setting bail in criminal cases at the first hearing, called the preliminary arraignment, where the defendant hears the charges and enters a plea. The Pennsylvania Rules of Criminal Procedure instruct judges to consider the nature of the offense, the likelihood of conviction, employment status, financial condition, family relationships, ties to the community, criminal record, whether they have complied or "jumped bail" in the past, if they have tried to escape in the past, whether they have ever used a false ID, and whether they are addicted to drugs or alcohol. To determine all of this, judges ask questions of the defendants, their family members, the arresting officers, members of the community, and anyone else who appears at the hearing and has relevant information. District judges may also consider information from the Chester County Bail Agency, which supervises cases involving bail, and which can provide recommendations based on a defendant's criminal history and personal background.

Here is an example from this past week's headlines. O. J. Simpson was arrested in Las Vegas, along with five other people, for what prosecutors say was an armed robbery that included coonspiracy. Simpson lives in Florida, which is a long way from Las Vegas, and he probably has enough money to live outside of the country for the rest of his life. The penalty for armed robbery, if convicted, is a big one, so Simpson has a reason not to show up for his trial. The judge probably also considered how difficult it would be for Simpson to flee -- he's too easily recognizable to take a commercial airplane or drive across the border -- and the fact that no one was injured or killed during the incident (although prosecutors allege that a gun was used). After weighing those factors, and possibly others, the judge set bail at $125,000 and added a condition that Simpson not talk to any of his codefendants before the trial.

Once a bail amount has been set, the judge also has to chose the type of bail. Bail can involve money and/or conditions such as a requirement for alcohol counseling (in a drunk driving case, for example), to stay away from an alleged victim (when the charge is abuse), to stay out of a place where a crime was commited (retail theft, perhaps), and to avoid contact with other defendants (in conspiracy cases like Simpson's). If it includes money, the Rules of Criminal Procedure require that the amount "shall not be greater than is necessary to reasonably ensure the defendant s appearance and compliance with the conditions of the bail bond" (Rule 524), the judge must consider all of the criteria listed in the previous paragraph plus "the financial ability of the defendant" (Rule 528), and the amount must be "reasonable."

Judges have further flexibility in deciding if and when the defendant must put up money for bail. If the defendant seems completely dependable, s/he can be "released on his own recognizance" -- in other words, on a signed promise that requires no money. If there is some risk, the defendant can be required to pay a percentage of the bail at the time of the arraignment, but be held responsible for the entire amount if s/he fails to appear. If the risk is greater, the defendant can be required to pay the entire bail amount in order to stay out of jail until the trial date. Finally, if there is a high probability that the defendant will run away, hurt someone, or commit new crimes while waiting for trial, the judge can refuse to grant bail and send the defendant to jail until the trial date.

Although it is not spelled out in either constitution or the , a good judge also considers the effect on taxpayers. If bail is so high that the defendant can't pay, the taxpayers have to cover the costs of keeping him or her in jail. And if imprisonment gets the defendant fired for missing work, taxpayers may wind up with additional costs if he or his family become destitute.

Ultimately, setting bail is quite different from setting fines or prison terms. Bail is intended to make sure that someone who is "presumed innocent until proven guilty" shows up for a trial, while fines and prison terms are intended to make the guilty change their ways and to make the potentially guilty think before they act. There are plenty of ways for judges to be "tough on crime" but setting high bail isn't one of them.


Borough Development News
[Posted January 16, 2008 ]
Although nothing earth-shaking has occurred, there are a few "developments" of interest to anyone who is interested in the assorted redevelopment projects in play at the moment at West Chester. In no particular order:

1) Council tentatively agreed to reschedule the conditional use hearing for Eli Kahn's office building to Monday, March 3, at 6:30pm;

2) the Zoning Hearing Board granted Mr. Kahn a variance from the requirement that he "step back" his building above the third floor on the Market Street side;

3) the Planning Commission will consider final approval for the plan for 12 townhomes at 420 W. Market St. on Tuesday, Jan. 22 and vote on a recommendation to Council on Jan. 29; and

4) Brian McFadden will ask the Zoning Hearing Board for the same kind of variance as Mr. Kahn on February 11 (i.e. no step back in exchange for a lower building) for his proposed hotel at the Warner Theater site on N. High Street.


A Different Look at the Wyeth Property
[Posted January 21, 2008 ]
In a year during which Borough Council is facing a record number of major development projects (5), everybody's head is spinning just a bit. Each application consists of three-ring binders plus multiple oversized blue prints, requires several rounds of public hearings plus review by an array of experts, and generates more public comment than anything, even tax increases. It takes several meetings just for Council members to collect all of the information, and then they have to weigh all of the competing interests, opinions and data in order to shape (or deny) development projects that will affect the Borough for generations to come. It's a big job.
So imagine how it feels when an eighth grader takes it on. That's what happened recently at Villa Maria Academy in Malvern. An eighth grade teacher named Mrs. Love took the lessons she learned about "problem-based learning" into her classroom by asking her students to play out the planning process for the 38- acre Wyeth property in the southeast part of town. Each group of students had to decide what the land should be used for, then deliver a presentation on why and how in front of a group of their peers acting as the "Student Town Council" of West Chester. To spice things up, Mrs. Love invited members of Borough government to attend the presentations, which took place over a two-day period last week.  The Wyeth site
The Wyeth site
Chuck Christy (Dem, Ward 3) attended on Thursday, January 17, but Jim Jones (Dem, Ward 6, a.k.a. WCJIM), Paul Fitzpatrick (ex-Ward 6) and Dick Yoder (the mayor) observed Friday's presentations. Seven students, each representing a different constituency (Hispanic immigrant laborer, environmental lawyer, life-long Borough resident, WCU alumnus who stayed in the area, etc.) presented their ideas for the property. On Friday, all but one created computer presentations, several had handouts, and all took questions, first from the Town Council and then from the "public" (i.e. the rest of their class). In other words, the exercise resembled a real public hearing except that the speakers and their questioners faced strict time limits.

The quality of the presentations was very good, although there were some amusing mispronunciations and other minor errors of type that one makes when speaking nervously in front of an audience. The presenters each offered a justification for their proposed use of the property, and discussed traffic management, public safety, parking, trash, and the environmental and economic impacts of their proposal. Some also presented demographic information about the community, and examined other issues such as sewer resources, how neighboring property is used, how the developer will obtain community support for their project, and what effect their proposal would have on other parts of town and the region.

The student proposals were limited to two types of use -- shopping and recreation -- possibly reflecting the preoccupations of people in the eighth grade. (For the record, other possible uses include housing, offices and industries). They showed a great deal of concern about the environmental impact of whatever gets built there, perhaps because it is also one of their teacher's interests, but also because they're going to have to live longer with the consequences than people from my generation. One of the best suggestions was to call the project West Chester Works to signify not only the jobs it will produce, but also the larger idea about how our Borough functions.

Thinking back to when he was in eighth grade, WCJIM realized how poised and professional these students were. Several sounded as good as some of the people who interviewed for Borough boards and commissions last fall, and some made statements that were equal to those made by real developers (or their consultants). There were errors, but most had to do with additional complexities of the process, such as the requirements imposed by state law, or the physics of particular building materials. In general, they all approached their projects in a rational and methodical way, and it was clear that they'd done plenty of "homework" to prepare.


Zukin Proposal Progress Report
[Posted January 23, 2008 ]
Last night, Borough Council listened for just under three and a half hours as three more witnesses presented information for the conditional use hearing for the hotel/condo/commercial development project at 29-39 E. Gay Street (the Rite Aid site), which was continued from January 8. Ray Ott, a municipal and land planner, presented estimates of the project's fiscal impact that showed net gains of $44,388 for the Borough and $442,754 for the school district. These numbers were derived by subtracting the estimated cost of local government services from the estimated tax revenue, after making assumptions about the number, incomes, and families of the people who will purchase condos or work at one of the project's businesses.
The second witness, former Mayor Clifford DeBaptiste, testified about the historical significance of the Spence's Restaurant Building, while the third witness, Business Improvement District executive director Malcolm Johnstone, testified about the need for a hotel and the economic impact of the project. Once again, that required some assumptions about hotel occupancy rates, the amount of money that guests will spend and how much of it will end up in the Borough, but he concluded that the project will bring roughly $12 million into the area each year, and after it is spent and respent, generate something on the order of $25-30 million for the regional economy each year.  Participants enjoy a
break during the conditional use hearing
Participants enjoy a break during the conditional use hearing
About thirty people attended, including the great-granddaughter of James Spence, although not all stayed for the entire meeting. About a half dozen dominated the portion of the meeting devoted to questions from the audience, as they tried to make sense out of the mathematical models employed by Ott and Johnstone. As a consequence, the applicants still had three witnesses left as the meeting moved into its fourth hour, so everyone agreed to continue the hearing on Tuesday, February 27 at 6:30pm.


 

Copyright 2008 by Jim Jones