Former Lehigh Valley Dairy site approved for environmental study funding, may lead to revitalization

ALLENTOWN, Pa. — The former site of Lehigh Valley Dairy will get an environmental study that could help lead to new life for the historic property.

Lehigh County Redevelopment Authority on Thursday approved a grant agreement for the work at 1045 MacArthur Road.

After securing $120,000 from the state Community and Economic Development Department to cover pre-development costs linked to the revitalization of the old dairy farm, the authority confirmed an agreement with Elias Property Group for up to $67,000.

It will be used to hire a firm to complete a phase two environmental study of the property.

Executive Director Christopher Gulotta said the contract will go to Synergy Environmental Services, which Elias selected after Gulotta requested the group solicit proposals.

Gulotta said the proposed amount for the contract offers some leeway for Synergy, which originally offered a slightly lower bid of $65,000 for the project. The additional $2,000 could be used to cover additional time and materials, if needed.

If the study exceeds the established limit, Elias would be on the hook to cover any additional costs, Gulotta said.

“This is a grant that we provide to them on a reimbursement basis," he said. "In other words, we don't pay any money up front.

"We pay when we see an invoice from Synergy Environmental Services, and we see a canceled check from them. So essentially, we’re reimbursing after the fact."

'Fond memories'

According to Gulotta, two other proposals were submitted as well.

One had a figure slightly higher than Synergy’s estimate, and another fell a bit lower, but with a catch — that company would have to contract with another company to conduct well-drilling.

That additional contract could amount to more than $24,000, Gulotta said.

“And I think that can be difficult from a coordination basis," Gulotta said. "Elias Property group having to work with two firms, a well-drilling firm and then the firm that does the professionals services, and all that goes with that, including the coordination."

Gulotta advised the LCRDA to approve the Synergy deal, as it provided “an all-inclusive number when contracting these services.”

At the start of the discussion for the dairy farm, Gulotta said state Sen. Nick Miller had been helpful in acquiring the $120,000 in state funding for the project just last month.

Demolition on the blighted site, privately funded by the Elias family, began in April, and by June, Miller said, half the “eyesore” had been cleared up.

“We know projects like these are extremely challenging and we want to continue to see what this site could be for the Lehigh Valley,” Miller said.

“Many members of our community have fond memories of Lehigh Valley Dairy. Unfortunately, it has fallen into such a big state of disarray that completely salvaging it would be impossible.

"I know the Elias family, who purchased the property, is preserving what they can from the building. We are working with the developer and the Redevelopment Authority to move this project along as quickly and safely as possible so we can bring the land back to productive use.”

'America's Most Beautiful Dairy'

Lehigh Valley Dairy came into being in 1934, right in the midst of the Great Depression, when 300 local farmers created the Lehigh Valley Cooperative Farmers Group and opened their first manufacturing facility in Allentown.

During its time, Lehigh Valley Dairy earned the moniker “American’s Most Beautiful Dairy.” By 1944, more than 450 farmers had joined the operation, and significant expansion of the operation took off over the next few years.

However, by January 1989, the Allentown plant was shut down, with most of the 200 workers laid off, and the remainder moved to another facility.

In May 1990, the dairy went up for sale, with the bulk of its equipment sold off.

In the years following, the property was subdivided, and several companies rented buildings on the site. While some parts of the land remain in use today, the main entrance and the office area have deteriorated in the decades since.

The Elias family bought the property about five years ago, finding the surviving building to be “full of mold, with floors collapsing and a nonfunctional roof.”

The property, which also has a history of trespassing and squatters, has been in a dire state since.

However, with the new injection of funding to conduct the environmental study, the Elias Property Group potentially could revitalize the space for the community.

State Rep. Jeanie McNeill, D-133rd District, characterized the former farm as “the gateway into Whitehall Township,” with plenty of potential for a new business to bring in job opportunities and additional tax revenue.

“I am thrilled that the senator and I were able to secure state funding for this project,” McNeill said. “This site has so much potential for both Whitehall Township and the city of Allentown and is sure to bring a number of quality jobs to the local communities.

"I look forward to seeing the progress on this project and continuing to support the township.”