News

September 14, 2008

Officials: Building takeover too slow

Hazleton building’s owner owes county about $1.8 million in loan repayments.

By Jennifer Learn-Andes jandes@timesleader.com
Luzerne County Reporter
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Luzerne County Commissioners Stephen A. Urban and Maryanne Petrilla say the county takeover of a landmark downtown Hazleton building is taking too long.

Commissioners agreed in July 2007 to accept ownership of the Broad Street Business Exchange to prevent it from ending up in foreclosure.

The county got involved because the building’s owner owes the county about $1.8 million in community development loan repayments, and the county risks losing its claim to that money if the property is sold at auction.

The building is owned by the nonprofit Alliance to Revitalize Center City Hazleton and the for-profit Hazleton Community Development Corp., a sister organization, county officials say.

The two groups spearheaded the purchase in 1995 to prevent deterioration and possible loss of the former McCrory’s and Deisroth stores.

Petrilla and Urban say attorney Joe Prociak was handling the matter, and he recently resigned as assistant county solicitor. Prociak could not be reached for comment Friday.

Urban said he met with county Solicitor Jim Blaum and said he wants to see a resolution. He was informed weeks ago and again this week that Prociak needed some signatures.

“It’s been over a year to get a document signed for something that, from what I understand, everybody agreed to,” Urban said.

Urban and Petrilla say they’re frustrated because the owner continues to collect about $9,000 per month in rent from Luzerne County Community College without making good on the county loan or more than $100,000 in back taxes also owed on the property.

State Rep. Todd Eachus also rents office space in the building, along with many small businesses, Urban said.

“There’s been a lack of accountability in the solicitor’s office in bringing this matter to resolution,” Urban said.

Jennifer Learn-Andes, a Times Leader staff writer, may be reached at 831-7333.

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