Contact: Sunny Mindel/Curt Ritter (212) 788-2958
Bernadette O'Leary (212) 312-3525 (EDC)
"Once again, I am pleased to see the IDA's continued support of the City's growing manufacturers and small businesses," said Mayor Giuliani. "From Brooklyn start-ups to distinguished Manhattan high-tech firms, these companies will help to infuse neighborhoods across the City with economic growth and job opportunities."
BROOKLYN BOOMS WITH EXPANDING COMPANIES
Five companies are slated to receive IDA assistance for expansion in Brooklyn, creating 186 jobs over the next 25 years.
Cake and pastry manufacturer Strauss Bakery has outgrown its present location and plans to purchase a new 18,600-square-foot facility at 1415 38th Street in Brooklyn. Also planning to purchase a 5,000-square-foot parking area, Strauss is slated to receive $2.2 million net present value (NPV) in tax-exempt bonds.
Great Harbor Design Center, LLC, a start-up manufacturer of construction material made from recycled glass, plans to purchase new equipment for its future facility at Building 12 in the Brooklyn Navy Yard in Williamsburg. With a 20-year lease at Brooklyn Navy Yard, Great Harbor is slated to receive $2 million (NPV) in tax assistance.
Bookbinder and publisher Mesorah Publications plans to build a 14,000-square-foot facility at 214-216 44th Street in Brooklyn, adjacent to its present manufacturing facility. The company is slated to receive up to $7 million (NPV) in triple tax exempt bonds.
Mystic Display Co., a manufacturer of point-of-purchase displays, plans to purchase and renovate the 15,000-square-foot building it currently leases in East New York. Approved to receive $2 million (NPV) in tax-exempt bonds, Mystic also plans to acquire and renovate a 14,000-square-foot building at 1785 East New York Avenue.
Commercial flooring installer Sherland & Farrington plans to purchase and move to a facility at 1332 East 59th Street in Canarsie. Having outgrown the space it presently leases, the company is slated to receive approximately $1,837,500 (NPV) in tax benefits to purchase the 47,200-square-foot facility.
"At the heart of New York City's business community, small businesses generate economic activity and jobs throughout the City," said Deputy Mayor for Economic Development, Planning and Administration Randy Levine. "By assisting a diverse range of companies such as these Brooklyn-based businesses, the IDA contributes to the vitality of the City's communities."
HIGH-TECH COMPANIES CALL MANHATTAN HOME
As Silicon Alley, New York City's high-tech community, becomes an
increasingly important part of the City's economy, the Giuliani Administration supports the growth of the industry by helping eligible companies to expand their operations here and compete in the global marketplace.
Two Internet-related companies, Agency.com and Xceed, Inc., are slated to expand in Manhattan with IDA assistance. Agency.com, an interactive solutions and applications developer, will move its 249 employees to 20 Exchange Place from another Manhattan location, and will add 1,151 jobs over a 15-year term in return for approximately $2.7 million (NPV) in sales tax exemptions and energy benefits. Xceed, a business solutions provider, will add 512 jobs to its present employee base of 254 over a 15-year period in return for approximately $510,000 in sales tax exemptions and energy benefits. Its new location is under negotiation.
"Agreements with these high-tech firms are especially good business because of the impact the industry will have on the marketplace of the 21st Century, and because they are creating over 1,660 jobs for the City's highly-skilled high-tech talent pool," said Michael Carey, Chairman of the IDA, which is administered by the New York City Economic Development Corporation (EDC).
Also expanding in Manhattan is accounting firm Ernst & Young. The company plans to construct a new headquarters at 5 Times Square to which it will move its 4,080 employees. The company will add 6,054 jobs over a 22-year period and has been approved for $10 million (NPV).
DISPLAY MANUFACTURER, CLOTHING DISTRIBUTOR EXPAND IN QUEENS
Two companies received approval for IDA assistance to expand in Queens, which will bring more than 400 jobs to the borough over the next 25 years.
Point-of-purchase display manufacturer P.O.P. Displays International plans to purchase and renovate a 58,000-square-foot facility at 24-25 Brooklyn Queens Expressway in Woodside. The company is slated to receive approximately $4 million in tax-exempt bonds.
Delia's, a Manhattan-based "Generation Y" apparel and accessories marketer, will expand its operations with a new office in Queens. Delia's was approved for approximately $1.3 million (NPV) in sales tax exemptions and energy benefits to move its call center to 30-07 47th Avenue in Long Island City. Delia's currently employs 475 workers, 300 of whom are call center employees. The company will add 803 jobs over 15 years, more than half of which will be located at the call center.
The IDA is the City's primary vehicle for providing assistance to businesses, including small industrial and manufacturing companies. The IDA is a conduit issuer that issues tax-exempt industrial revenue bonds that assist eligible industrial and not-for-profit organizations to finance expansion opportunities. A broader range of companies may also qualify for abatements on sales, real estate and mortgage recording taxes and reduced energy costs.