New Year, New Doubts about Projects

Now that we're rested and clear-eyed again, we can start the New Year by recalculating the odds for the Philadelphia projects still on the boards. The New York Times ran a story the day after Christmas reporting that $5 billion worth of Big Apple construction has been delayed or cancelled. In Philadelphia, it's been evident for awhile that any project not already in the ground is dead, save perhaps for a couple of well-placed hotels hoping to benefit from the state-funded convention center expansion.

One of the lucky ones seemed to be ARCWheeler's sloping glass hotel tower next to the Boyd Theater. His development plan is deeply thought out and he has identified multiple sources of funding (see earlier post). But word came last week from Howard Haas at the Friends of Boyd that the developer has again decided to postpone the real estate closing for the theater and adjacent parking lot site, this time from January to February. Obtaining financing has got to be tough these days. PlanPhilly has a list of other projects it considers up in the air: Stamper Square, 1600 Vine Street, PhillyLive. Of course, you may want to add a couple of other highly speculative ventures, like the American Commerce Center and the Waldorf-Astoria South to the list.

There are, however, a few projects that may actually gain momentum from the country's deepening economic turmoil and the Obama administration's planned infrastructure investments. When the nation's governors met in Philadelphia recently to discuss priorities, they gave high importance to the Philadelphia Museum of Art's $500 million expansion plan. Alas, the feds wouldn't fund the snazzy new underground galleries, which are being designed by Frank Gehry. But according to museum officials, they might be able tap into the infrastructure pot to redo the art temple's ancient heating, ventilation and wiring systems. They might also be able to build a desperately needed, new loading dock, so they would no longer have to accept art deliveries in the same bays where they put out the trash. Not sexy stuff, but it would make the Gehry galleries more doable.