Millcreek residents OK with Presque Isle Gateway improvements but question property costs

Plans to improve the Presque Isle Gateway District along West Eighth Street and Peninsula Drive got mostly thumbs-up from Millcreek residents during the first of two public information sessions on the project at the Millcreek Township Municipal Building on Tuesday morning.

Most residents said they agree that the area near the entrance to Presque Isle State Park needs a makeover, but some questioned the nearly $7.2 million cost to buy five West Eighth Street properties as part of the project.

West Eighth Street property purchases: Millcreek Township to buy Bel-Aire, Joe Root's Grill, Sandbar, Manor Motel and Grasshopper shop

"I'm not opposed to the township buying the properties, and I hope it works out the way they planned. But I'm not sure about the prices they paid," Millcreek resident Gerry Servidio said.

Millcreek Township planning and development Director Matt Waldinger, left, talks with Sam Comfort, center, and Gerry Servidio during a public information session on Presque Isle Gateway District plans on Tuesday. Comfort is a candidate for the Democratic nomination for Millcreek supervisor in the May 16 municipal primary.
Millcreek Township planning and development Director Matt Waldinger, left, talks with Sam Comfort, center, and Gerry Servidio during a public information session on Presque Isle Gateway District plans on Tuesday. Comfort is a candidate for the Democratic nomination for Millcreek supervisor in the May 16 municipal primary.

The Millcreek Township General Authority voted 4-1 to buy the former Bel-Aire Hotel, the former Joe Root's Grill, the Sandbar Draft House & Grille, Grasshopper shop and Manor Motel on Jan. 30. The authority plans to demolish the buildings and sell the vacant lots for development.

The Bel-Aire Hotel, at 2800 W. Eighth St., was valued at $2.7 million and will be purchased by the authority for $4 million.

Joe Root's Grill and the Grasshopper shop, at 2832 and 2818 W. Eighth St., were appraised at a combined $745,000 and were purchased by the authority for $1.7 million.

Sandbar Draft House & Grille, at 2835 W. Eighth St., will be purchased for $962,500, with no appraisal.

The Manor Motel, at 2819 W. Eighth St., was appraised at $510,000 and will be purchased at that price.

Millcreek property purchases: Critics say purchase of Bel-Aire Hotel, other properties to cost Millcreek more than $7.2M

Millcreek resident Fenton James also questioned the purchase prices as well as plans to demolish the Bel-Aire.

"I'm definitely in favor of improving that area, and the township concept for both residential and commercial development is a good idea," James said. "My questions are about how they plan to go about it and why they weren't more up front about (the property purchases) before they went ahead with them and got a lot of people upset.

"I still don't know why we're paying $4 million for the Bel-Aire when it was appraised at ($2.7) million," James said.

The township should consider new uses for the hotel instead of demolishing it, he said.

Looking for new homes: Manor Motel residents will need to move before sale to Millcreek Township is finalized

"There definitely is a need for senior low-income apartments, and the location is perfect with the Colony Plaza, a grocery store, barbershop and more in walking distance," James said. "There could be doctors' offices and dentists' offices there, too."

The hotel pool might be used by a physical therapy business, he said.

Millcreek resident Fenton James, left, talks with Millcreek Township Supervisor Kim Clear, right, during a public information session on Presque Isle Gateway District plans on Tuesday. In the background is Millcreek resident Nancy Shea.
Millcreek resident Fenton James, left, talks with Millcreek Township Supervisor Kim Clear, right, during a public information session on Presque Isle Gateway District plans on Tuesday. In the background is Millcreek resident Nancy Shea.

The township should not have bought the properties and should use the $7.17 million combined purchase price to address other township needs, former Millcreek Township Supervisor Sue Weber said.

The money mainly will come from the proceeds of the sale of the Millcreek Township Water Authority to Erie Water Works for $22 million in 2015.

"They're using township savings that were meant to be used for things like hiring firefighters," Weber said. "They approved a fire tax for that instead and are using public money for property speculation. They're jumping over the free market that would have taken care of redevelopment."

By split vote March 14: Millcreek supervisors provide $4 million for former Bel-Aire hotel purchase

Buying the properties was an opportunity to direct that redevelopment for economic growth, said Cheryl Mitchell, a member of the Millcreek Township General Authority.

"We have the opportunity to invest in the gateway area to rejuvenate and revitalize it," Mitchell said. "Three to four million tourists visit the peninsula each year, and we need to continue to attract and retain visitors who put money into our economy for lodging, meals and shopping. It's a win-win with streetscape and safety improvements going along with revitalization."

The Erie region should be involved in planning to improve the Presque Isle Gateway District, said Melanie Lion, of Fairview. Lion attended the Tuesday morning information session to learn more about the project.

"Presque Isle is a regional treasure and benefits all of us, whether we live in Millcreek, Erie, Fairview or Harborcreek. I think this should be a regional discussion," Lion said.

Millcreek residents weigh in: On West Eighth Street property purchases

Lion said she agrees that the gateway district should be improved.

"My concern is that it's done right. And I don't want to see people who don't have big wallets being pushed out of living and shopping there," Lion said.

Millcreek Township has worked with the City of Erie to coordinate plans for new pavement, landscaping, lighting, and other safety and beautification improvements along West Eighth Street. The city's project extends from Greengarden Road to the Millcreek Township line at Pittsburgh Avenue. Millcreek improvements will be between Pittsburgh Avenue and Peninsula Drive.

Millcreek was awarded a $3 million state Redevelopment Assistance Capital Program grant for the streetscape project this past fall.

Millcreek Township also plans to extend the Presque Isle State Park multipurpose trail to the Tom Ridge Environmental Center, and ultimately to West Sixth or West Eighth Street.

A $2.5 million grant from the Pennsylvania Department of Transportation will help pay for the first phase of trail construction.

Moving forward: Presque Isle sand, Beach 8 solar panels, trail construction

Residents' comments and suggestions on Presque Isle Gateway District plans will help township supervisors and Millcreek Township General Authority members finalize plans for West Eighth Street, including the properties purchased by the authority, township Supervisor Kim Clear said. Clear also is a member of the authority.

"It's why we're having these open houses today," Clear said. "We want to hear and we will consider what people have to say."

Millcreek Township General Authority members Clear, Mitchell, Dave Zimmer and Millcreek Supervisor Dan Ouellet voted in favor of the West Eighth Street property purchases. Millcreek Supervisor Jim Bock voted against them.

Contact Valerie Myers at vmyers@timesnews.com.

This article originally appeared on Erie Times-News: West Eighth needs makeover but at what cost, Millcreek residents say