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South Atherton Street Affordable Housing Project Off the Table, Developer Says

Developer Withdraws Proposal to Use Portion of Park Land for Affordable Housing Project in State College

In a letter addressed to Borough Council President Jesse Barlow on Wednesday, Progress Development Group Executive Vice President Ara Kervandjian said he was no longer requesting the borough donate part of Nittany Village Park for what was to be a four-story, 26-unit apartment complex. PDG had proposed combining the property at 1306 S. Atherton St. with about 5,500 square feet of the park adjacent to the rear of the property to construct a 36,000-square-foot building known as Parkland Apartments. Kervandjian cited the “considerable opposition from surrounding neighbors” in the decision to withdraw the proposal. Instead, he wrote, PDG will attempt to redevelop the former RBR Recumbent Bicycles property on South Atherton Street without adding the park space, resulting in a smaller building with fewer units.

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