Can AC Devco super-charge the economic turn-around of Atlantic City? In theory, yes. AC DevCo; the Atlantic City Development Corp, is modeled after the successful New Brunswick DevCo; a symbol of urban revitalization in NJ.
What is AC DevCo?
- Organization that fast tracks Real Estate development
- Private, non-profit organization
- Initially funded by CRDA; Casino Re-Investment Development Authority
- Not required to navigate local government landmines
- Not required to publicly bid contracts/hold public hearings
- Less burdened by what’s in it for me local politics
AC DevCo: Model for corruption-free redevelopment of Atlantic City
Initial seed money for AC DevCo will come from funds formerly allocated to the Atlantic City Alliance. The ACA burned through $30 mil over past 3 years. The Alliance used a mix of costly tactics including TV and Print buys in markets like Baltimore and NY. Some have suggested that not enough attention was paid to the most likely to visit: South Jersey & Philly. Even a digital mix of sexy, social media techniques couldn’t divert attention away from Atlantic City’s underlying structural challenges.
AC Devco is designed for the long term, it’s not a short-term fix for AC. This should help to keep it away from open handed politicians and other less than honorable leadership.
President of DEVCO, Chris Paladino told New Brunswick Today; “ACDevCo would also function as a land bank, acquiring certain blighted properties and demolishing existing structures. Parcels could then be sold to approved developers as market strengthens with proceeds reinvested in Atlantic City.”
According to that same report in New Brunswick Today, AC DevCo could demolish “certain failed casinos” in order to create parks and open space, increasing access to the world’s longest Boardwalk. The governor’s panel noted the decline in casino revenue and criticized Atlantic City’s municipal spending growth.
One early move by AC DevCo could be the demolition of the boarded-up eyesore on the Boardwalk; Trump Plaza. In it’s place could be a retail and restaurant destination with lots of open sight lines smack dab in the middle of town. Sweet. Read more at Philly.com
The Atlantic City Alliance efforts to market Atlantic City have fallen short, failing to resolve structural issues.
Learn more about DevCo > New Brunswick’s Successful DEVCO.
Eds and Meds Development Strategy
The education and medical/healthcare industries could play heavily into a successful AC Devco. Some early devco projects could be a medical school backed by AtlantiCare and Rowan University, as well as corporate offices for South Jersey Gas.
Planning for AC DEVCO projects are in the very early stages.
Property owned by CRDA (considered AC’s largest land owner) is being looked at for potential development. Once sold off, The City of Atlantic City would see these properties add to the ‘ratable’ or tax base. Currently, these valuable yet vacant parcels of land provide no revenue to the city, county or state.
According to a report in the Press of Atlantic City: AC Devco would buy and assemble land, recruit developers and help rebuild the city in partnership with the CRDA. “It’s an investment that we’re making with a partner,” said CRDA Executive Director John Palmieri.