"Pennsylvania ranks 49th in new development, but fourth in acres lost to new development," he said, urging, "we have to reverse sprawl." He cited the $1.6-million grant to reclaim former Bethlehem Steel property in the Lehigh Valley as an example of the state's commitment to helping local governments reclaim abandoned industrial sites. "Our hope is to stimulate growth in all areas," he added.
Meanwhile, Robert Walters, executive managing director of CBRE's five Philadelphia-area offices, predicts "a chain reaction of activity" will follow 2003's "relatively lackluster year" in the CBD, particularly in the office sector, set off by "long awaited space decisions by a number of key companies."
Construction of Cira Centre is one catalyst for this activity, Walters says, "providing solutions for some landlords while creating vacancy challenges for others. Recovery will be slow going, and conditions favor tenants. Once the tower is completed, large blocks of contiguous space will become available in some of Center City's trophy office buildings, such as One Liberty Place and Bell Atlantic Tower--properties that have historically avoided significant vacancy challenges," Walters notes.
He urged owners to continue to make capital improvements and cautioned against over building. In addition, he called for changes in the tax structure, saying reform is "of the utmost importance" in stimulating growth.
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