BETHPAGE, NY-In an effort to attract new state-of-the-art industrial development here, the Nassau County Industrial Development Agency has taken action on an incentive package to help jump-start a 95-acre county-owned property in Bethpage. The IDA board unanimously approved a 40-year PILOT (payment in lieu of taxes) plan for the former US Navy-Northrop Grumman Corp. military manufacturing site at 999 South Oyster Bay Rd., one the county’s largest developable tracts.
The site is in contract for purchase by Nassau Steel LLC, a company owned by brothers Joseph J. Lostritto Jr. and Glenn Lostritto, for $15 million. Under the PILOT program, Nassau Steel will pay an increasing percentage of the annual gross income it collects from the property beginning in its third year of operation as a means to create revenue and generate tax ratables for the town, county and local school district.
“The potential of this property is significant,” says Nassau IDA executive director Joseph Kearney, in a statement. He estimates that $350 million could be generated for the county and employment could total 4,000 once the redevelopment efforts are complete.
And while an official redevelopment plan has not been set in-stone, the developer hopes to attract high-tech firms, a film studio and advanced manufacturers to the existing 1.2 million square feet of building stock on the property, which will be remediated and renovated. The clean-up and rehabilitation is estimated to take five years and cost $20 million, according to the IDA.
The property has a long, storied history in the early 1940s. The site was formerly utilized as a military aircraft manufacturing base during World War II, and it is believed to have been off the tax rolls since then “It’s a blighted property and we’re going to put it back," says Jeffrey Seltzer, chairman of the IDA, in a statement.
Dan Deegan, of Forchelli, Curto, Deegan, Schwartz, Mineo, Cohn & Terrana, Uniondale, NY, represented the developer before the IDA. Bilow Garrett Group, of Ridgefield Park, NJ, has been selected as the architect/planner for the project, while the Marcus Organization of Farmingdale, NY, is the general contractor, and Maccarone Plumbing, of Glen Cove, NY, is the mitigation contractor.
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