The Our City Reading group has been given the green light to take charge of developing the 400 block of Penn Street.
City Council voted six-to-one Monday night to let Al Boscov's nonprofit take charge of the project.
Officials said nothing is set in stone in terms of how the property will be developed. The buildings can be used for retail, office space or housing units.
One stipulation is that the buildings can't be used for low-income housing.