Contact: Sunny Mindel/Curt Ritter (212) 788-2958
Bernadette O'Leary (EDC) (212) 312-3523 (EDC)
"It is great news that this communications service provider has chosen to expand here in New York City with City assistance, along with two other high-tech companies," said Mayor Giuliani. "The City is working to enhance our infrastructure and to wire each of the five boroughs as our technology community continues to expand at a tremendous rate. Having Internet industry leaders invest in their future here is further testament to the importance of this community."
Fast-growing OnSite Access provides business customers with integrated communications services and plans to purchase machinery and equipment for an approximately 43,000-square-foot space at 1372 Broadway and its planned additional space. Employing 169 workers in New York City at the beginning of January, OnSite expects to add 1,526 new employees over a 15-year term and is slated to receive approximately $2.47 million (NPV) in sales tax exemptions for job growth and approximately $620,000 (NPV) in energy discounts over the term of the agreement.
Also expanding in New York City is eBusiness strategy and technology implementation provider Scient Corporation, which plans to develop its northeastern headquarters at 405 Lexington Avenue and 222 East 41st Street in Manhattan. Scient is slated to receive approximately $2.8 million (NPV) in sales tax exemptions and approximately $312,000 (NPV) in reduced energy costs over 17 years. Scient currently employs 213 workers in New York City and plans to add 1,367 new jobs over the term of the agreement.
TMP Interactive is a wholly-owned subsidiary of New York City-based advertising firm TMP Worldwide and serves as the holding company of its parent company's Internet brands, including monster.com, in2, Postalwork.com, Be the Boss.com and Certifieddoctor.com. Currently employing 133 workers in New York City, TMP Interactive plans to consolidate its operations - with IDA assistance - in an 84,000-square-foot space at 205 Hudson Street in Manhattan, and to add 738 new jobs over 15 years. The company is slated to receive approximately $2.84 million (NPV) in sales tax exemptions for job growth and $240,000 (NPV) in energy cost reductions over the term of the agreement.
"By choosing to grow over the next 25 years, these companies will create a great amount of new jobs for New Yorkers," said Robert M. Harding, Deputy Mayor for Economic Development and Finance. "More than 10,760 jobs will be created by these projects, combined with the agreements made with manufacturers, not-for-profit entities and small businesses this month."
MANUFACTURERS, NOT-FOR-PROFIT ORGANIZATIONS EXPAND
Presently located in Queens, rapidly growing laminated wooden plaque manufacturer Dependable Laminators, Inc. plans to purchase, renovate and move to two adjacent buildings at 758 Humboldt Street and 217 Russell Street in Greenpoint, Brooklyn. The company employs 53 workers and expects to add five new jobs in three years. Dependable is slated to receive approximately $322,747 (NPV) in real estate tax benefits and sales tax exemptions over 25 years.
Staten Island chocolate manufacturer Supreme Chocolatier, LLC is purchasing a vacant parcel of City-owned land with the assistance of the New York City Economic Development Corporation (EDC) at 1150 South Avenue in Staten Island. It plans to expand its business by constructing a 190,000-square-foot, four-story manufacturing and commercial facility. Supreme, formed by officers of Superior Confections, will create 110 new jobs, and is approved to receive approximately $4.27 million (NPV) in real estate tax benefits and sales tax exemptions over 25 years.
Globe Gates, Inc., which does business as Global Overhead Doors, manufactures and distributes metal gates and overhead doors. The company plans to expand its operations by purchasing, renovating, equipping and moving to a 22,000-square-foot facility at 405-421 Barretto Street in the Hunts Point section of the Bronx. Presently located in Queens, Globe Gates employs 20 workers, plans to add 10 jobs in three years, and expects to receive approximately $397,000 in real estate tax benefits and sales tax exemptions over 25 years.
Long Island City-based taxi equipment designer and manufacturer Metrometer Shop, Inc., doing business as Metro Shop, plans to expand its current 5,000-foot facility at 36-15 13th Street by purchasing the adjacent 2,500-square-foot building at 26-11 13th Street. Creating products including secondary air conditioners, taxi meters and roof lights, Metrometer employs 22 workers and is slated to receive approximately $219,000 (NPV) in real estate tax benefits and sales tax exemptions over 25 years.
Ceramic tile distributor Merola Sales Company, Inc. will purchase and move to a 36,000-square-foot facility at 819 Williams Avenue in the East Brooklyn Economic Development Zone in East New York. Currently located in Queens, Merola employs 36 workers and expects to receive approximately $581,000 (NPV) in real estate tax benefits over 25 years.
This month the IDA also assisted the not-for-profit local development organization South Bronx Overall Economic Development Corporation (SOBRO), which works to redevelop the South Bronx community. SOBRO plans to consolidate programs located in four buildings and move to two floors that have been vacant for 20 years in the former Hearns Department Store at 2865 Third Avenue in the "hub" of the Bronx. SOBRO currently employs 80 workers and is slated to receive approximately $3.5 million in triple tax-exempt bond financing and a $96,250 mortgage recording tax waiver over 25 years.
The IDA Board also approved financing for the InterAgency Council of Mental Retardation & Developmental Disabilities Agencies (IAC) that will benefit seven not-for-profit organizations through the IDA's Special Needs Facilities Pooled Program. The program is designed to pool the needs of qualified not-for-profit 501c(3) corporations into one triple tax-exempt bond issue to lower each participant's cost. The seven participating organizations provide health and human services to developmentally disabled children and adults and their families.
The organizations will be eligible to borrow up to $13.6 million in triple tax-exempt bond financing for equipment purchases, debt refinancing, acquisitions, renovations, and related soft costs. Combined, the companies employ 3,026 workers and plan to create 109 new jobs.
The seven participants are:
Catering company Gracious Thyme Catering, Inc. plans to purchase an approximately 33,656-square-foot facility at 2191 Third Avenue in Harlem within the Upper Manhattan Empowerment Zone. Currently leasing space on Manhattan's Upper West Side, the company services the restaurant industry and corporate clients. Gracious Thyme employs 30 workers and plans to add 20 new jobs in the next three years. The company is approved to receive approximately $956,000 (NPV) in sales tax exemptions and real estate tax abatements over 25 years.
Also expanding its operations with IDA assistance, Brooklyn-based Real Kosher Ice Cream Co., Inc. will purchase the 10,000-square-foot facility it currently leases at 3614 15th Avenue. With clients including grocery chains, restaurants and specialty shops, Real Kosher employs 10 workers and is slated to receive approximately $168,700 (NPV) in sales tax exemptions and real estate tax benefits over 25 years.
The IDA this month also agreed to assist Mattone Group Jamaica, Co., LLC in developing a 411,000-square-foot retail and entertainment complex on vacant City-owned land at the corner of Parsons Boulevard and Jamaica Avenue in Jamaica, Queens. The project, which is located in an Economic Development Zone, will include a multiplex movie theater and retail tenants such as Old Navy, the Gap and Walgreen's. Mattone is slated to receive approximately $1.67 million (NPV) in a mortgage recording tax waiver for 25 years, and the project will create 374 full-time jobs. In addition, Mattone will receive an $11 million capital budget contribution and sales tax exemptions for the lease and funding agreements of the City-owned property.
The IDA is the City's primary vehicle for providing assistance to businesses, including small industrial and manufacturing companies. The IDA is a conduit agency that issues tax-exempt industrial revenue bonds that assist eligible industrial and not-for-profit entities to finance expansion opportunities. The IDA also offers qualified companies abatements on sales, real estate and mortgage recording taxes and reduced energy costs.