BETHLEHEM, Pa. – The Banana Factory is disappearing before our eyes.

The nearly 30-year-old arts center closed its doors on Jan. 1 to pave the way for new beginnings.

On Wednesday, an excavator could be seen moving wood and metal.

For 27 years, artists called the space home, with its narrow hallways and stairwells, the product of six buildings that were linked together, which have fallen into disrepair in recent years.

Taking over the site will be a five-story structure called the “Creative Factory powered by PPL.”

The new building will be 78,500 square feet and cost $26 million, with a one-story 5,500-square-foot glass studio. The Creative Factory will be temperature-controlled and equipped to take the arts in Bethlehem into the future, serving as a hub for visual, performing, and educational art, with 36 artist studios, a dedicated outdoor space, and swipe access to designated areas.

Bethlehem’s Director of Community and Economic Development Laura Collins sent us the following statement:

“It is a great time for Bethlehem. One of the many exciting developments underway is ArtsQuest’s reimagining of the Banana Factory. Demolition of the existing but outdated structures began this week, and in a few months we should expect to see the start of construction on the new ArtsQuest Creative Factory powered by PPL. ArtsQuest has been a wonderful community partner for many decades, and we look forward to this new facility continuing that legacy with even greater impact for our community.”

The Creative Factory is expected to be completed in late 2026.