TRENTON-Continuing an aggressive business development and retention campaign, New Jersey’s Economic Development Authority has approved two large tax incentives for online grocer Peapod and tissue manufacturer Marcal. Also, loans totaling $4.5 million were approved for renovations at the former Fort Monmouth at the EDA’s monthly meeting.
Peapod would get a $34.6 million tax incentive over ten years if it takes 344,000 square feet at a distribution center near the port in Jersey City being built by Prologis. Ahold USA Inc., the parent company of Peapod, is deliberating between that site and one in West Nyack, NY, according to the EDA’s chief executive, Caren Franzini.
The Urban Transit Hub tax credit package approved Monday would give Ahold $3.46 million annually for ten years, if it brings 380 new jobs to the state. The credits apply only if the project is completed and the company maintains the jobs over the ten years.
A $25.5 million credit was awarded under the state’s new Grow New Jersey program to Soundview Paper. The company, which bought Elmwood Park-based Marcal Paper Mills last month will receive the ten-year credits if invests in renovating current facilities rather than moving 509 job to South Carolina, as was being considered.
Soundview Paper’s chief executive George Wurtz immediately accepted the tax-credit deal. "New Jersey has committed to us, and we are committing to New Jersey," Wurtz says in a statement. "We have broad aspirations to build on the quality of our people, our equipment, our paper-making skills and core brand, Marcal."
Grow NJ was created this year with a $200 million reallocation of funds from the urban transit hub program. With the Marcal award, a total of $136 million has now been committed. In four years, the EDA has approved Urban Transit Hub tax credits totaling $979.6 million, including $731 million for commercial real estate projects and $248.6 million for residential projects.
Loans were approved to cover renovation costs at the former Fort Monmouth Army base, as the 1,200-acre property is transferred to a division of EDA that will market it for commercial, residential and hospitality development projects.
CommVault Systems, a global software firm, recently received approval to purchase one 55-acre site at Fort Monmouth in order to build a new headquarters. Last month, the EDA awarded CommVault two business incentive grants: $7.2 million for bringing 250 new jobs, and $1.35 million to keep 300 employees in the state.
Other awards approved by the EDA at the May meeting include:
* Business incentive and assistance grants of $4.25 million to Dendreon Corp. to relocate 85 jobs from Seattle to Bridgewater; $692,000 to Lonza Group Ltd. to move 40 jobs from Norwalk, Ct. to Allendale; $511,000 to Achieve 3000 Inc. to add 25 jobs and $180,000 to BRRAG to retain 80 jobs in Lakewood; $198,000 to Goltens-New York to relocate 30 jobs from Brooklyn to a New Jersey site to be determined.
*A $3.37 million Economic Redevelopment and Growth grant for Lacey Plaza, a planned 82,000-square-foot shopping center in Lacey.
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