CATASAUQUA, Pa.- Plans to redevelop the former Crane Iron Works property in Catasauqua are poised to see some forward momentum soon.
On Monday, September 21, Catasauqua Borough Council is scheduled to consider and possibly vote on a master plan for the site, submitted by VM Development Group.
The anticipated vote is more of a “big picture” approval; a master plan outlines a conceptual layout that will guide future development at the waterfront site.
Its passage is the next step in a lengthy process to get the wheels turning on a project that borough leaders have called a game changer.
Most recently, in June, Catasauqua approved the repeal of existing provisions of its Waterfront Overlay District (WOD) and allowed a Traditional Neighborhood Development (TND) to be permitted as a conditional use in the Waterfront District.
A portion of the abandoned Crane Iron Works site in Catasauqua
According to the Lehigh Valley Planning Commission (LVPC), which reviewed the plans in May, TNDs encourage mixed use, pedestrian-oriented neighborhoods that integrate public amenities and concentrate housing and services within a compact footprint.
Catasauqua’s Waterfront District is bounded by the Lehigh River, as well as Pine and Front streets and the borough’s municipal building.
The approximately 12.5-acre property that will be redeveloped was once home to the Crane Iron Works, a massive operation founded in 1840 by David Thomas, a man recognized by some historians as the father of the Industrial Revolution in the United States. At its height, there were eight furnaces on the site.
The iron works ceased operations in the 1920s. According to borough historians, in 1928, the Fuller Company, which made equipment for the cement industry, purchased the property. But it hasn’t been used for industrial purposes in more than 20 years.
Catasauqua purchased the property for $750,000 in 2013 and has been trying to redevelop it ever since, amid a number of setbacks and financial woes, including a proposed development that went bust in 2022, followed by a more than 100% property tax increase for borough residents.
Easton-based VM Development was named the preferred developer of the site in 2024.
Mark Mulligan, VM’s CEO, told 69 News his company is hoping to break ground on phase one of the $75 million redevelopment project in the spring.
The initial phase has a $21 million price tag and calls for 60 apartment units near the municipal building as well as 14 townhouses. The apartments will be a mix of studio, one-, and two- bedroom units.
An existing depot building on the site will become a mixed-use facility, most likely with three apartments on the top and a commercial use, like a restaurant, on the bottom. Mulligan said VM hopes to rehab some other existing buildings on the site as well: “Some of it will be selectively demoed, but the majority of it will stay.”
VM is taking a wait-and-see approach before figuring out the specifics of future phases, although Mulligan did say phase two will most likely include a couple of larger apartment buildings near Front Street and more townhouses.
“It really comes down to how phase one goes,” said Mulligan. “And if it’s really busy, then we’ll try to build more in phase two. So the line has not been decided as to where the demarcation line will be between phase two and phase three.”
The original plans pitched for the site included 45 townhouses, 250 apartment units, 10,000 square feet of commercial space, plus public plazas and connectivity to the adjacent D&L canal tow path.
After Catasauqua approves the overall master plan, VM will need to seek land development approval for each phase.
Mulligan said they’re also waiting for the federal government to tender an agreement for a $3.6 million Housing and Urban Development (HUD) grant announced earlier this year. That money is being used to help foot the bill for phase one.
VM Development has previously spearheaded a number of major redevelopment projects, many of them in Easton, including the Simon Silk Mill, the Pine Street Lofts and the Pomeroy Building. Now Mulligan and his team are ready to get to work in Catasauqua.
“The borough of Catasauqua has been amazing to work with,” said Mulligan. “I would say that they’ve really turned themselves around from a few years ago when they were struggling. They really got their eye on the ball this time and I think that’s made a big difference as to why we got involved.”
Catasauqua Borough Council will meet at 7 p.m. on Monday, September 21 at 90 Bridge Street, Second Floor, Catasauqua.