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2007 Real Estate Review
[Posted December 28, 2007 ]
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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.
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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.
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| Property
Sales by Year, 2000-2007 (through 12/14) |
| Year
| Sold
| Refinanced
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| 2000
| 322
| 58
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| 2001
| 276
| 55
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| 2002
| 313
| 20
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| 2003
| 335
| 21
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| 2004
| 323
| 12
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| 2005
| 305
| 70
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| 2006
| 264
| 69
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| 2007
| 218
| 98
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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.
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The second most expensive piece of real estate sold in
West Chester in 2007
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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.
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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.
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| 2007 Property
Sales (through 12/14), by Ward |
| WARD
| Sold
| Refinanced
| Note
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| 1
| 31
| 12
| mostly single-family homes
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| 2-E
| 6
| 8
| 5 refinanced by Davis Oil Co. family
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| 2-W
| 18
| 13
| mix of commercial and residential
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| 3
| 28
| 8
| mostly single-family homes
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| 4
| 29
| 9
| mostly student rental units
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| 5
| 20
| 12
| mostly single-family homes
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| 6
| 44
| 21
| lots of condos and commercial properties
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| 7
| 37
| 19
| mostly single-family homes
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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?
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BLUER Committee Update
[Posted January 6, 2008 ]
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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.
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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.
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Traffic creates one source of emissions in the Borough
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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.
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Borough Council Reorganizes
[Posted January 8, 2008 ]
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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).
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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.
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Mayor Yoder administers the oath of office to new
Council member Jim Jones
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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.
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Bail Bonds 101
[Posted January 13, 2008 ]
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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.
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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.
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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.
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Borough Development News
[Posted January 16, 2008 ]
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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.
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A Different Look at the Wyeth Property
[Posted January 21, 2008 ]
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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.
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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.
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The Wyeth site
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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.
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Zukin Proposal Progress Report
[Posted January 23, 2008 ]
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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.
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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.
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Participants enjoy a break during the conditional use hearing
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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.
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