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                                                      PRINTER'S NO. 2080

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1627 Session of 2007


        INTRODUCED BY M. O'BRIEN, JUNE 25, 2007

        REFERRED TO COMMITTEE ON STATE GOVERNMENT, JUNE 25, 2007

                                     AN ACT

     1  Authorizing the Department of General Services, with the
     2     concurrence of the Department of Environmental Protection, to
     3     lease to NCCB Associates, LP, or its nominee, land within the
     4     bed of the Delaware River in the City of Philadelphia.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7  Section 1.  Land within the Delaware River bed.
     8     (a)  Authorization.--The Commonwealth owns the lands within
     9  the bed of the Delaware River, a portion of which lands are
    10  located in the 5th Ward of the City of Philadelphia, and
    11  includes lands commonly known as 1143-1151 North Delaware Avenue
    12  and Pier No. 53 North. The Department of General Services, with
    13  the concurrence of the Department of Environmental Protection,
    14  acting on behalf of the Commonwealth, is hereby authorized and
    15  directed to lease, for such consideration as shall be agreed
    16  upon by the parties, to NCCB Associates, LP, or its nominee
    17  (hereinafter "lessee") for an initial term of 99 years, land
    18  within the bed of the Delaware River in the City of


     1  Philadelphia, and to extend the period for all or any portion of
     2  the leased premises for an additional term of up to 99 years.
     3     (b)  Description of property.--The land to be leased is more
     4  particularly described as follows:
     5  ALL THAT CERTAIN portion of property known as 1143-1151 North
     6  Delaware Avenue and Pier 53 North lying between the Bulkhead
     7  Line and the Pierhead Line of the Delaware River as established
     8  by the Secretary of War on September 10, 1940; said portion
     9  being situate on the southwesterly side of former Marlboro
    10  Street (47 feet 6 inches wide - stricken and vacated by
    11  Ordinance of Philadelphia City Council on September 19, 1982 and
    12  confirmed by the Board of Surveyors on July 5, 1983, reserved as
    13  a right of way for drainage, water main and public utility
    14  purposes) in the Fifth (formerly the Eighteenth) Ward of the
    15  City of Philadelphia, Commonwealth of Pennsylvania, bounded and
    16  described in accordance with a Plan of Property by Allen J.
    17  Bommentre, Jr., Surveyor and Regulator of the Third Survey
    18  District, dated April 12, 2005, as follows:
    19  BEGINNING at the point of intersection of the southwesterly side
    20  of said former Marlboro Street with the said Bulkhead Line as
    21  established by the Secretary of War, said point of intersection
    22  being South 20 degrees 49 minutes 27 seconds East 280.992 feet
    23  from the intersection of the southeasterly line of Delaware
    24  Avenue (140 feet wide) with the aforesaid southwesterly line of
    25  former Marlboro Street; and running thence:
    26     (1)  Along the said southwesterly side of former Marlboro
    27  Street, South 20 degrees 49 minutes 27 seconds East 589.306 feet
    28  to its point of intersection with the aforesaid Pierhead Line of
    29  the Delaware River as established by the Secretary of War;
    30  thence
    20070H1627B2080                  - 2 -     

     1     (2)  Along with said Pierhead Line, South 54 degrees 04
     2  minutes 10 seconds West 57.397 feet to its point of intersection
     3  with the southwesterly line of the aforesaid property known as
     4  1143-1151 North Delaware Avenue; thence
     5     (3)  Along said southwesterly line of 1143-1151 North
     6  Delaware Avenue, North 23 degrees 18 minutes 27 seconds West
     7  589.344 feet to its point of intersection with the aforesaid
     8  Bulkhead Line of the Delaware River as established by the
     9  Secretary of War, said point of intersection being South 23
    10  degrees 18 minutes 27 seconds East 288.042 feet from the
    11  intersection of the said southeasterly line of Delaware Avenue
    12  with the said southwesterly line of 1143-1151 North Delaware
    13  Avenue; thence
    14     (4)  Along said Bulkhead Line of the Delaware River as
    15  established by the Secretary of War, North 58 degrees 21 minutes
    16  15 seconds East 82.417 feet to the point and place of beginning.
    17  CONTAINING 40,356 square feet (0.9264 acre), more or less.
    18     (c)  Lease agreement.--The lease and any other documents
    19  hereby contemplated shall be approved as to form and legality by
    20  the Attorney General and Office of General Counsel and shall be
    21  executed by the Department of General Services, with the
    22  concurrence of the Department of Environmental Protection, which
    23  approvals shall not be unreasonably withheld, in the name of the
    24  Commonwealth. The lease shall grant the lessee, and all
    25  successors, assigns and sublessees, the right to use the above-
    26  described premises, or to assign the lease or sublease or permit
    27  the sublease of the above-described premises for the purposes of
    28  the proposed development of one residential tower with accessory
    29  parking garage and restaurant, as well as marina and maritime
    30  uses all consistent with public access.
    20070H1627B2080                  - 3 -     

     1     (d)  Sublease.--The Department of General Services, with the
     2  concurrence of the Department of Environmental Protection,
     3  acting on behalf of the Commonwealth of Pennsylvania, is also
     4  specifically authorized to enter into one or more nondisturbance
     5  agreements with any sublessee of the premises described in this
     6  section pursuant to which the Commonwealth will agree that, if
     7  the Commonwealth succeeds to the interest of the sublessor under
     8  a sublease, it will not terminate the sublease unless the
     9  sublessee is in default.
    10     (e)  Land use restriction.--All leases authorized or referred
    11  to under this section shall be made under and subject to the
    12  condition, which shall be contained in the lease documents, that
    13  no portion of the parcels shall be used as a licensed facility
    14  as defined in 4 Pa.C.S. § 1103 (relating to definitions) or any
    15  other similar type of facility authorized under the laws of this
    16  Commonwealth. This condition shall be a covenant running with
    17  the land and shall be binding upon the lessee and sublessees and
    18  their respective successors and assigns. Should any portion of
    19  any parcel authorized to be leased under this act be used in
    20  violation of this subsection, the lease shall terminate
    21  immediately.
    22     (f)  Improvements.--
    23         (1)  The Department of General Services is hereby
    24     authorized to execute, on behalf of the Commonwealth of
    25     Pennsylvania, any declaration or other document necessary to
    26     submit these premises or any portion thereof and any
    27     improvements thereon to the provisions of 68 Pa.C.S. Pt. II
    28     Subpt. B (relating to condominiums) as a leasehold
    29     condominium.
    30         (2)  The lessee, all sublessees and their respective
    20070H1627B2080                  - 4 -     

     1     successors and assigns, shall provide and maintain at least
     2     the following free public access to the riverfront, for
     3     fishing and other recreation activities and free public
     4     parking in connection with such access:
     5             (i)  A minimum of ten free public parking spaces
     6         available at all times located proximate to the public
     7         walkway near the water edge and signage indicating the
     8         free public parking.
     9             (ii)  Public walkways on the riverfront, including
    10         water edge promenades along the entire water edge of the
    11         leasehold and adjacent to the water and providing free
    12         public access to the water and allowing for passive and
    13         active recreational activities year-round and signage
    14         indicating the walkways are open to the general public.
    15             (iii)  A free public park area along the public
    16         walkway near the water.
    17             (iv)  Public access to the Delaware River which is
    18         consistent with the Waterfront Setback requirements set
    19         forth in Section 14-216(6)(g) of the Philadelphia Code
    20         (enacted into law by an Ordinance enacting Bill No.
    21         050465, passed by the City Council on June 16, 2005, and
    22         signed by the Mayor on July 8, 2005).
    23         (3)  Should the lessee, any sublessee or any of their
    24     respective successors or assigns wish to modify the public
    25     access and parking required by this section, it must obtain
    26     the prior written approval of the Department of Environmental
    27     Protection and the Department of General Services, which
    28     approval shall not be unreasonably withheld. The public
    29     access and parking shall be completed and open to the public
    30     no later than the date the first tenant or resident occupies
    20070H1627B2080                  - 5 -     

     1     either the leasehold or the land adjacent to the leasehold.
     2         (4)  Nothing herein shall affect or otherwise limit the
     3     requirements of the provisions of the act of November 26,
     4     1978 (P.L.1375, No.325), known as the Dam Safety and
     5     Encroachments Act, which may require further measures to
     6     provide for public access and use of the land and adjacent
     7     water.
     8         (5)  These conditions shall be covenants that run with
     9     the land and shall be binding upon the lessee, any sublessee
    10     and their respective successors and assigns. Should the
    11     lessee, any sublessee or any of their respective successors
    12     or assigns permit the parcels authorized to be leased under
    13     this section, or any portion thereof, to be used in a manner
    14     inconsistent with the conditions contained in this
    15     subsection, all rights and interests in the lease authorized
    16     by this act shall terminate immediately.
    17     (g)  Consideration.--The Department of General Services shall
    18  lease the land within the bed of the Delaware River as described
    19  in subsection (b) upon such terms and conditions and for such
    20  other nonmonetary considerations as it shall, with the
    21  concurrence of the Department of Environmental Protection for no
    22  less than $5 per square foot payable in advance, established
    23  through the lease agreements. Such terms may include a
    24  requirement to commence and construct such improvements
    25  authorized and/or required in this section within certain time
    26  periods.
    27     (h)  Costs and fees.--Costs and fees incidental to the lease
    28  authorized by this section shall be borne by the lessee,
    29  including the costs incurred by the Department of General
    30  Services and the Department of Environmental Protection in the
    20070H1627B2080                  - 6 -     

     1  preparation, execution and review of the lease, nondisturbance
     2  agreements and related documents.
     3     (i)  Sunset provisions.--In the event that the lease
     4  authorized by this section and a community benefit agreement
     5  between the lessee and Fishtown Neighborhood Association is not
     6  executed within 18 months following the effective date of this
     7  section, and a building permit for the proposed residential
     8  project is not obtained within 18 months, the authority
     9  contained in this section shall be void.
    10  Section 2.  Effective date.
    11     This act shall take effect immediately.













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