Plans to build affordable housing on the site of the former Glendon Hotel have been canceled due to rising prices.

But the public money that had been earmarked for the project has been designated toward other housing, according to the county.

The Glendon Hotel, an 18th-century building that fell into disrepair over the decades, was torn down in late 2021 to make way for five homes. With a hill to the rear, concrete barricades and trees stand now on either side of the Main Street property, near Easton’s Glendon Avenue.

Glendon Hotel is being demolished | PHOTOS

In March 2024, Northampton County Executive Lamont G. McClure announced two federal grants totaling more than $1.2 million had been awarded to support affordable housing development at the former hotel.

The grants included $1.14 million for homebuyer construction in partnership with Community Action Lehigh Valley, and an $81,500 Community Housing Development Organization grant for Community Action.

The money was not enough to build the homes, Community Action Executive Director Dawn Godshall said

“The cost of materials went up so significantly; the price to do the project became impossible to complete within the scope of the original budget,” Godshall said.

County spokesperson Jessica Berger said following Community Action’s decision, Northampton County was able to shift the remaining eligible money to Habitat for Humanity of the Lehigh Valley for affordable housing planned in Forks Township.

Habitat for Humanity Executive Director Jessica Elliott confirmed the organization received the money, but she did not provide any details.

The federal funding can be used in various ways to address critical housing needs, including market-oriented approaches that offer opportunities such as homeownership or rental activities to revitalize communities with new investment, according to the county.

Northampton County Council approved demolishing Glendon Hotel. The $146,000 demolition costs were covered by a $100,000 state grant; $30,000 from the county’s General Purpose Authority; and $16,000 in community improvement funds through the county. A Community Action official estimated then that it would cost around $1 million to build the five homes.

It’s unclear now what will happen to the property.

Glendon Council President Donna Breidinger said she has asked the county to provide an update and clean the area.

“So far there’s been no activity that I’m aware of,” she said.

Berger said the county has removed any hazards to ensure the property poses no danger to the public.

“At this time, the current administration has no further plans for the site and will leave any future decisions to the incoming administration,” she said.

McClure chose not to run for reelection this year. Democrat Tara Zrinski, the county controller, and Republican Tom Giovanni, a County Council member, are running to be the next executive.

Before the affordable-housing plan, Glendon officials tried unsuccessfully over the years to deal with the property. It had been vacant for decades and continued to decay, becoming more of a safety hazard over the years. A portion of the white brick facade collapsed several years ago, exposing the interior to the elements.

The borough took the owner, Albert Rutherford, to court, and in 2015 declared the property unsafe. That gave the borough authority to tear it down and bill Rutherford, who still is listed as owner in county property records.

The Lehigh Valley continues to be in the throes of an affordable housing crisis, with its cities and other communities seeking answers. Between 2019 and 2023, Bethlehem saw its median home sale price nearly double from $182,000 to $302,000. Median monthly rent skyrocketed from $1,354 to $1,910.

McClure said last year the difficulty for some people to afford rents or home purchases is partly due to limited supply of affordable housing and low wages not keeping up with increasing living costs.

County officials have noted it can be difficult to develop affordable housing projects. Plans for City Lights, an affordable housing project proposed for a grassy slope in south Bethlehem, were canceled in 2019, despite two years of planning and Community Action having $1.2 million available as subsidy for the project.

That project couldn’t go forward because of site challenges like steep slopes, and because the cost of construction was very high, a Community Action official said then.

The Glendon Hotel, which was built in 1740, was a haven for settlers who hid during battles with Native Americans, according to the Library of Congress.

Contact Morning Call reporter Anthony Salamone at asalamone@mcall.com.