Hilco Redevelopment Partners (HRP) – the real estate development unit of Hilco Global – completed a transaction to purchase the former Philadelphia Energy Solutions (PES) refinery in southwest Philadelphia.
“The deal is a giant step toward building an environmentally responsible and economically robust commercial hub in Southwest Philadelphia,” the developer stated in a release.
“I want to thank Hilco Redevelopment Partners for their commitment to Philadelphia by assuming ownership of one of the most important commercial sites in the city,” said Philadelphia Mayor Jim Kenney. “The action creates jobs, ensures the future commercial viability of the site, and decreases the former refinery’s environmental impact.”
The refinery, the largest on the East Coast, closed for good after a massive explosion. The site had refined oil for a century and a half. The closing did not lead to any fuel shortages, due to abundant supplies and nearby refineries like PBF’s Delaware City refinery.
Hilco has experience with large redevelopment projects, the closest to Delaware until now being the former Bethlehem Steel site near Baltimore. Hilco says the project created 8,500 jobs.
“Our plan is to transform the site into a commercial hub to be shared by dozens of world-class companies that will benefit from Philadelphia’s diverse workforce and strategic location with an environmentally responsible infrastructure that will be great for all Philadelphians,” said Roberto Perez, CEO – Hilco Redevelopment Partners. “We are looking forward to collaborating with city, state and neighborhood leaders and community groups, working side by side as your new partner and member of the community to create this extraordinary center for commerce and economic development.”
The project’s 1, 300 acres–the total size of Philadelphia’s Central Business District–offers job growth potential, according to a release.
The site will require extensive clean-up, with Hilco stating that union workers will be hired to do that work.
The site could ultimately employ thousands of workers, according to studies.
The refinery is near Interstate 95 and could land some logistics and warehouse operations.
