EASTON, PA. – Northampton County Executive Lamont McClure announced on Thursday that the deteriorating former Dixie Cup factory in Wilson Borough is poised to undergo a major transformation into a mixed-use residential and commercial development.
While the identity of the developer remains undisclosed due to the ongoing purchase of the property, McClure revealed that his administration has reached a tentative agreement to provide funding for the project through tax increment financing (TIF). This financing mechanism involves issuing a bond to loan money to the developer, with the county expecting repayment through increased property taxes resulting from the enhanced value of the development.
Acknowledging the challenges in redeveloping the site, McClure stated, “I don’t necessarily favor TIFs, but in the context of getting this very difficult-to-redevelop property developed, we are negotiating with them over the terms of the TIF.”
The county council will need to approve the final tax increment financing plan once an agreement is reached between McClure’s administration and the developers. McClure expressed confidence that more information about the developer’s identity and specific plans for the Dixie Cup site would be unveiled in the near future.
The landmark Dixie Cup building, occupying about 600,000 square feet of space, has remained largely vacant for four decades since the company relocated its manufacturing operations to Forks Township. Previously listed for sale at $10 million, the property is owned by attorney Joseph Reibman.
This development comes as the Forks Dixie Cup facility, also owned by Georgia-Pacific, recently shuttered its operations as cup manufacturing was transferred to the company’s Lexington, Kentucky plant. With the transformation of the former Dixie Cup factory on the horizon, the community eagerly anticipates the revitalization of this significant historical site into a vibrant mixed-use space.
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