Philly-area workers prefer to work from home, leaving office space vacant
More than three years since the pandemic first swept the country, it appears there’s no going back to the former state of office occupancy. “I’ve been here 23 years in this market, and I haven’t seen it contract at this pace before,” said Nick Gersbach, senior vice president in CBRE’s Philadelphia office. “We’re a three- to five-year window from stabilizing and experiencing a slow recovery.” CBRE’s analysis of the first quarter of 2023 found that, since the onset of COVID, office occupancy across the greater Philadelphia region has shrunk by over 9.7 million square feet. Many office tenants who have not reached the end of their contracts are trying to sublease large amounts of space on the already flooded market. CBRE data show the total vacancy rate, including sublease space, is highest in the suburban Pennsylvania counties, where almost 23.5% is vacant in an inventory of over 62 million square feet — an 8.5% increase over pre-pandemic conditions. In Center City, the inventory is almost 44 million square feet, and the total vacancy is 19.2% — a roughly 9% increase. Higher-end offices are in a stronger position and seeing much lower vacancy rates. Read more in the Inquirer.
Source: Inquirer; 5/2/2023

PAR is accepting applications for 2024 committees
The Pennsylvania Association of Realtors (PAR) is now accepting applications from members looking to serve on committees in 2024. “Serving on a committee is a chance to provide your unique professional perspective, and you’ll make connections with other Realtors from across the state,” PAR 2024 president Preston Moore said. Visit the PAR website for more information and to view committee descriptions. Realtors can choose up to three committees that they’d like to be considered for. The deadline to apply is Friday, June 9, at 5 p.m.
Source: PAR; 4/28/2023

Supreme Court seems to favor MN woman who got $0 after county sold her condo
The U.S. Supreme Court appeared likely to give a 94-year-old Minneapolis woman another day in court to try to recoup some money after the county kept the entire $40,000 when it sold her condominium over a small unpaid tax bill. Tyler owed $2,300 in unpaid taxes, plus interest and penalties, when the county took title to the one-bedroom apartment in 2015 and sold it. The justices seemed in broad agreement with arguments by the lawyer for Geraldine Tyler that Hennepin County, Minnesota, violated the Constitution’s prohibition on the taking of private property without “just compensation.” The county said Tyler made no effort to keep the condo after moving out and that she expected the county to act as her real estate agent, selling the property and cutting her a check less the tax debt. Lower courts sided with the county. Minnesota is among roughly a dozen states and the District of Columbia that allow local jurisdictions to keep the excess money, according to the Pacific Legal Foundation, a not-for-profit public interest law firm. Other states are: Alabama, Arizona, Colorado, Illinois, Maine, Massachusetts, Nebraska, New Jersey, New York, Oregon and South Dakota. A decision in Tyler v. Hennepin County, Minnesota, 22-166, is expected by late June. Read more here.
Source: AP; 4/26/2023

PSECU offering first-time homebuyer program
The Pennsylvania State Employees Credit Union (PSECU) has launched a new program aimed at helping first-time homebuyers. Under the program, qualified first-time homebuyers would be able to finance up to 100% of the purchase price with no down payment required. The program would not require private mortgage insurance and would offer low PSECU-related closing costs. At least one of the borrowers must take and complete a free homebuyer education course — PSECU mortgage consultants will provide links to qualified course options. Learn more here.
Source: Central Penn Business Journal; 4/18/2023

Reminder: Warminster Municipal Authority requires sewer certification
Warminster Municipal Authority requires a certification request, a property inspection and an application for service for all sales or transfers of property in its service area, including deed transfers and $1 sales. The inspection is in addition to the Warminster Township use and occupancy (U&O) inspection. Even if the township issues a U&O certificate without a sewer certificate, the buyer could lose out if the sewer inspection is not completed, because: 1) The authority can now demand that the inspection take place, placing all responsibility on the new owner; 2) If the lateral is found to be damaged, the seller now doesn’t have to make the repair or contribute to the cost; and 3) The authority could potentially place a lien on the property prior to the next sale if a necessary repair isn’t made. Visit the Warminster Municipal Authority website for more information.

Neshaminy School Board approves tax refund for volunteer firefighters, fire police
The Neshaminy School Board unanimously approved a school tax refund for certain volunteers living within the school district. Volunteer firefighters and fire police officers who live within the Neshaminy School District, have been members of a fire company for at least a year, and answer at least 25% of the calls to their fire stations will receive an $800 real estate tax refund from the district. The refund was made possible through a Pennsylvania law enacted in 2020 that provides the real estate tax credit of up to $800 as a way to incentivize citizens to volunteer for fire service. School Board Member Cynthia Bowman said Neshaminy is the first school district in Lower Bucks to approve such a refund for fire company volunteers.
Source: Bucks County Courier Times; 4/29/2023

Bristol to purchase remaining privately owned homes on Chestnut Street
Bristol Borough and the Redevelopment Authority of Bucks County have been working to clear the older rowhomes on Chestnut and Elm streets since the 1990s. A large fire on Elm Street in the late 1980s and the downturn of a once-thriving area led to the borough purchasing homes in the area one-by-one. In 2011, the row homes on Elm Street were demolished. Now, using $1 million from the Commonwealth Financing Authority, the Redevelopment Authority of Bucks County plans to purchase the remaining seven homes on Chestnut Street and tear them down. Although there is speculation the land could be used for a park or redeveloped, Bristol Borough Manager Jim Dillon said there are no plans confirmed for the site.
Source: LevittownNow.com; 4/25/2023

Springfield supervisor proposes finance committee to track spending
Springfield Township Board of Supervisors Chairman Tony Matzura recently proposed the creation of a finance committee so township officials can keep abreast of budget changes and anticipate some surprise deficits. He suggested the body be made up of supervisors, the township manager, a member of the public and a police representative, who could present the data in a more digestible manner for the board and the public. Matzura commented that it has been “tough to keep up with the budgeted items.” Watch the upcoming meeting agendas on the Springfield Township website for discussion of the proposed finance committee.
Source: Bucks County Herald; 4/27/2023

Tractor trailer parking lot in Bensalem tabled by council
Philadelphia-based Shax Express Cargo wants to build a private, 48-space, 2.75-acre parking lot at Winks and Marshall lanes to allow its drivers to park their vehicles overnight or while on mandated rest breaks. The potential impact of more tractor trailers rumbling up and down State Road was enough to cause Bensalem Township Council to table the project. The location for the proposed lot is currently undeveloped and is in a mixed industrial area that also houses other tractor trailer parking lots and is zoned for such uses. Bensalem Township Council voiced concerns about the project, saying it is simply a parking lot for a company based in Philadelphia. Council Vice President Joseph Pilieri argued the Shax project brings zero benefits to the township, noting that township residents would be on the hook for repairing roads that may become damaged by the increased traffic. Council will allow the developer the opportunity to resubmit the development plans.
Source: Bucks County Courier Times; 4/26/2023

Phoenixville Area SD looks to increase EIT, eliminate occupation tax
Phoenixville Area School District is taking steps to increase its earned income tax (EIT) rate, with the added revenue going to eliminate the occupation tax. The district will hold a public hearing on Monday, May 8, at 6:45 p.m. with the intention to adopt a resolution to authorize a referendum question for the general election, seeking public approval to increase the EIT rate. If voters choose “yes,” the board will adopt a resolution increasing the rate from 0.5% to 0.6% effective Jan. 1, 2025. The municipalities within the district impose an EIT with rates ranging from 0.5% to 0.75%. The board estimates that increasing the EIT rate will yield approximately $1.7 million in additional revenue, which will be used to offset the elimination of the occupation tax effective July 1, 2024. The millage rate of the occupation tax is currently 370.65 mills on the assessed value of all occupations of people residing in the district. Read the public notice here and view the school board meeting schedule here.
Source: Mercury; 4/21/2023

East Coventry considers adding 9 acres to Agricultural Security Area
East Coventry Township supervisors are considering the application of Spanky Farms LLC for the inclusion of additional tracts of land in the township’s Agricultural Security Area. The two pieces of land — known as UPI 18-4-74 and 18-4-75, located off Schoolhouse Road near Fulmer Road — are approximately 9.1 acres and contiguous to other lands owned by the applicant. Agricultural Security Areas are a tool for protecting Pennsylvania farmland from nonagricultural uses. Landowners in the program receive protection from local ordinances and nuisance lawsuits affecting normal farming activities, as well as review of farmland condemnation by state and local government agencies. The supervisors will discuss the issue at a public hearing on Monday, May 8, at 7 p.m. at the township building, 855 Ellis Woods Road, Pottstown.
Source: Mercury; 4/28/2023

Willistown to adopt 2021 IPMC
Willistown Township supervisors will hold a public meeting on Monday, May 22, at 7 p.m. at the municipal building, 688 Sugartown Road, Malvern, to consider adopting the International Property Maintenance Code (IPMC) of 2021. The draft ordinance amends Chapter 72 of the township code, pertaining to property maintenance, by adopting the IPMC 2021 as Willistown Township’s property maintenance code with supplements and amendments concerning fees, penalties, board of appeals and board of appeals procedure, stop work orders, weeds and plant growth, screens, and heating facilities. Copies of the full text of the draft ordinance are available at the township building.
Source: Daily Local; 4/28/2023

Tredyffrin/Easttown school board approves 2023-2024 proposed final budget
At its April 24 meeting, the Tredyffrin-Easttown School Board approved a 2023-2024 proposed final budget totaling $177.9 million. The property tax rate will not be finalized until the June board meeting, but the April 10 budget workshop presentation shows that a 4.1% increase to the millage rate — the maximum allowed under Act 1 — would generate $5.3 million. A 4.1% increase would raise the property tax rate from 25.8536 to 26.9136 mills. Final budget adoption is expected at the Monday, June 12, meeting.
Source: Daily Local; 4/27/2023 and TESD