NJ grants nearly $400M to spur urban development

TRD New York /
Jun.June 13, 2011 12:14 PM

In its continued effort to reign in suburban sprawl and improve inner cities, the New Jersey Economic Development Authority has approved tax credits worth $394 million for 10 projects near rail hubs, the Wall Street Journal reported. The tax credits are awarded under the urban transit tax credit, first passed in 2007, and instituted to spark development in struggling central business districts. To qualify for the credit, property owners must make at least $50 million worth of investments within a half-mile of a rail station, on a project that supports at least 250 full-time employees. The most high-profile of these credits was a $102 million subsidy awarded to Panasonic in its move from Secaucus to Newark. Other beneficiaries include the Gateway Transit Village, where New Brunswick Development and Pennrose Properties are building a $150 million mixed-use residential center. While the Economic Development Authority claims the initiative will prove its value as it helps the state’s central business districts recover from years of neglect and the recent downturn, the program does have its opponents. Some question the authority’s power to grant the tax credits, while many have voiced concern over using so much taxpayer money to subsidize the relocation of a global powerhouse company like Panasonic. As The Real Deal first reported in April, SJP Properties was chosen to develop the company’s $190 million, 325,000-square-foot Newark headquarters, which is slated to open in 2013. [WSJ]


Related Articles

arrow_forward_ios
200 Amsterdam Avenue

Judge scolds 200 Amsterdam developers: “Owner must bear the responsibility”

Judge scolds 200 Amsterdam developers: “Owner must bear the responsibility”
The construction loan for 200 Amsterdam Avenue could be in danger of default after a judge ordered the developers to deconstruct part of the building. (Credit: iStock)

Shock ruling could throw 200 Amsterdam loan into default

Shock ruling could throw 200 Amsterdam loan into default
200 Amsterdam Avenue and Municipal Art Society President Elizabeth Goldstein (Credit: iStock) 

Foes of 200 Amsterdam say other towers safe from cut-down

Foes of 200 Amsterdam say other towers safe from cut-down
Steve Pozycki and 200 Amsterdam Avenue (Credit: iStock)

Developer: UWS residents flocking to tower their neighbors fought

Developer: UWS residents flocking to tower their neighbors fought
UWS tower may be in jeopardy following Supreme court zoning ruling

UWS tower may be in jeopardy following Supreme court zoning ruling

UWS tower may be in jeopardy following Supreme court zoning ruling
SJP and Prudential buy 470 Park Ave South for $245M

SJP and Prudential buy 470 Park Ave South for $245M

SJP and Prudential buy 470 Park Ave South for $245M
SJP, Mitsui Fudosan land $460M in financing for UWS’s tallest development

SJP, Mitsui Fudosan land $460M in financing for UWS’s tallest development

SJP, Mitsui Fudosan land $460M in financing for UWS’s tallest development
Making the old new again: NJ’s biggest city is betting big on office development

Making the old new again: NJ’s biggest city is betting big on office development

Making the old new again: NJ’s biggest city is betting big on office development
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...