NEWARK-The New Jersey Economic Development Authority has voted to award Prudential Financial Corp. up to $250.8 million in Urban Transit Tax Hub credits over 10 years if it builds a $369 million office building across the street from the New Jersey Performing Arts Center here.
The funds would help Prudential acquire the land and develop the project, which would house some 2,000 employees to be relocated from Gateway Center. But the new building is not a done deal. "We have gone through the approval process," a Prudential spokesman tells GlobeSt.com. "But we have not decided to do anything yet."
Prudential’s lease at Gateway is up in 2014, and the company is exploring all its options, including negotiating a renewal, he said. The NJEDA memo also cites a possible relocation to other facilities in the New York/New Jersey region.
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“The fact that we applied for the credits is part of the process we go through to make a decision,” he added. He declined to say when the company must make a final decision.
Prudential currently employs more than 4,700 full time staff at five owned and leased buildings in the area, according to NJEDA memos assessing Prudential’s request for the credits. With leases expiring, the company has proposed the construction of a 600,000-square-foot, LEED-certified office tower at 3 Center Street, adjacent to NJPAC. The new building will locate 400 new jobs (100 of them relocations from out of state) and 2,050 existing jobs, mostly from Gateway. The company also plans growth of 50 to 75 jobs annually for 10 years.
Should Prudential choose to build the new tower, construction would begin in the third quarter of 2012, with completion by the third quarter of 2014, the memo says.
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