Negotiations ongoing in Civic Center deal

Negotiations between the University and the city over the acquisition of the Philadelphia Civic Center have yet to be finalized, Executive Vice President Janet Hale said last week. And it may take more than two months before a deal over the site, located near the Hospital of the University of Pennsylvania, is ironed out. "It's taking longer than any of us would like," she said. "With deals like this, there are always [many] issues involved." The University officially announced its intentions to purchase the Civic Center site from the city at a community meeting on October 14. Since then, negotiations to turn the site into an ambulatorycare unit for the Medical Center continue behind closed doors. Hale said while it may appear that the deal is taking a long time to close, the University's attempt to purchase the Civic Center from the city is a "normal, complex real estate issue." Senior Vice President of the Medical Center Gordon Williams echoed Hale, and added that the holidays also have slowed negotiations. While he did not know exactly when an agreement would be reached, he predicted a deal before spring. "We are quite interested and anxious," Hale said of the negotiations. Craig Schelter, executive vice president of the Philadelphia Industrial Development Corporation, which handles the city's negotiations with the University, refused to identify the specific issues discussed at the meetings. But, Williams said, several issues relate to SpectaCore Management Group, a firm which manages key city properties. And Hale added that some of the delays relate to the city's budget cycle. Williams outlined the need for the acquisition at the October meeting. There, he said the current medical complex does not have adequate outpatient facilities. Community members, however, expressed disapproval over the expansion because of what some called a negative relationship between the city and the University. Williams said while the costs of developing the site are estimated at $900 million to $1 billion, the plans would create approximately 4,500 jobs per year over the 20-year life of the project.