Debate Continues Over SteelTown, Phoenixville’s Controversial Low Income Housing Proposal

PHOENIXVILLE, PA -- Controversy continues over the proposed low income housing plan in Phoenixville, as the borough council recently tabled a motion to approve the project while they continue to investigate its potential impact.

Proponents of the proposed SteelTown Village, which would be located on Mason and Wheatland Streets, have launched a petition in order to marshal support.

“The Borough Government is stalling and stalling the final approval of the necessary Steel Town Project,” writes Nate Craig, a Phoenixville mayoral candidate who created the petition.

The petition, named “Stop Stalling Steeltown - Phoenixville” had gained 35 signatures within a few hours of being live on Thursday morning.

Craig and others are concerned that a delay in approving the project will cause Petra, the corporation behind the development, to lose funding due to missed deadlines.

“To use the word ‘stall’ is appropriate, but not by any nefarious means,” said Borough Councilman Michael Kuznar. “We represent the people of this borough and one of our responsibilities is ensuring new projects that come in will be approved or disproved based on their impact to our residents.”

Kuznar said that further investigation of SteelTown’s traffic study was needed before the project could go forward.

“One of the biggest concerns I've been getting from residents all throughout the borough are the growth and its impact on our infrastructure, traffic and overall impact on our borough,” Kuznar added. “It's not just Steeltown, but we have a lot of projects going up and we want to do our diligence on them to ensure we are not just approving any and all projects that come our way.”

Petra has characterized SteelTown as a solution to the increased development in the town.

"As Phoenixville continues its trend of rapid population growth and luxury offerings, the opportunities for existing, lower-income residents are dwindling," a Petra spokesperson said.

The proposed development would include 48 rental units ranging from one bedroom to three bedrooms, and will house a diverse population of elderly, military veterans, persons with disabilities and workforce families.

Petra added that residents would be provided with job search assistance, cleaning and housekeeping, transportation, education, and child care for free.

Petra said they received about $10 million in tax credits from the state to help fund the $12.6 million project.

The location at Mason and Wheatland streets was formerly a grinding wheel operation and steel dumping site and is dealing with the removal of "environmental contaminants," Petra said. If the project is approved, construction could begin once the contaminants are cleared.

Artistic rendering of SteelTown via Petra