Archives of the Mayor's Press Office

FOR IMMEDIATE RELEASE
Date: Wednesday, October 4, 2000

Release #380-00

 
Contact: Sunny Mindel/Curt Ritter 212-788-2958
  Gregory Miley/Janel Patterson 212-312-3523 (EDC)

MAYOR GIULIANI ANNOUNCES FIVE COMPANIES TO EXPAND
IN NEW YORK CITY WITH ASSISTANCE FROM
INDUSTRIAL DEVELOPMENT AGENCY

Mayor Rudolph W. Giuliani announced today that the New York City Industrial Development Agency (IDA) will assist five small manufacturing businesses in expanding their operations, leading to the retention and creation of 308 jobs in the City.

"At the heart of New York's business community, small businesses generate economic activity and jobs throughout the City," said Mayor Giuliani. "As our economy continues to thrive, the City maintains our commitment to assisting a variety of companies to expand here through the use of IDA programs. The scope of these projects demonstrates the IDA's contribution to preserving the depth and strength of manufacturing business in New York City."

Bronx-based Kaylim Supply Corporation, a wholesale distributor of hardware products to the construction, maintenance and electrical industries, plans to purchase a 25,000-square-foot property at 621 East 132nd Street in the Port Morris Economic Development Zone with assistance from the IDA. The company will renovate the property into a 28,500-square-foot facility, which will be used as the new distribution center and office space. Kaylim is slated to receive approximately $539,000 net present value (NPV) in real estate and sales tax exemptions. The company plans to add 6 new jobs to the current workforce of 18.

Sarad, Inc. a wholesale distributor of auto parts for fleet vehicles, will acquire a 32,000-square-foot parcel of City-owned land on Glenmore Avenue in East New York In-Place Industrial Park. The company will use the parcel of land for parking, an outdoor repair facility, and additional office and storage space. The IDA will provide the company with $405,000 NPV in sales tax exemptions and real estate tax abatement. Sarad employs 18 people and will add 12 new jobs as a result of this expansion. This project marks the second phase of the company's expansion plan in East New York. Earlier this year, with IDA assistance, Sarad also purchased 27,500 square feet of property contiguous with the land.

"The Giuliani Administration is committed to creating an environment that encourages businesses to succeed," said Deputy Mayor for Finance and Economic Development Robert M. Harding. "In the past six years, the IDA has assisted 368 companies, leading to the retention and creation of approximately 286,000 jobs throughout the five boroughs. This number proves that the IDA is one of New York City's most effective economic development tools and has contributed significantly to the City's booming economy."

Hyde Park Fine Art of Mouldings is a Long Island City-based manufacturer of custom and standard plaster architectural ornamentation, whose work can be seen at the Nassau County Museum of Art, the Museum of the American Indian and the Harvard Club. The 12 year-old company has outgrown its existing facility and plans to construct an approximately 40,000-square-foot facility adjacent to its existing facility. The company will upgrade its office and production space and showroom, expand its production, and develop new product lines. Presently employing 22 workers, Hyde Park plans to add 48 new jobs over three years and expects to receive approximately $2.1 million NPV in sales tax exemptions and real estate tax benefits and access to approximately $3.5 million NPV in tax-exempt bonds.

Alrue Import Corp. and RENCO Manufacturing, which collectively manufacture, import and distribute jewelry, plan to relocate from Manhattan to a 60,000-square-foot property located at 10-41 45th Avenue in Long Island City. Alrue/RENCO was approved to receive approximately $4.7 million in triple tax-exempt bonds, as well as up to $1.58 million NPV in real estate and sales tax benefits. Alrue/RENCO presently employs 38 workers and is expected to add 17 new jobs in three years.

Flushing-based manufacturer P.S. Pibbs has experienced a strong demand for its furniture and equipment for beauty and barber shops, and was considering relocating to Florida or Virginia in order to expand its operation. Instead, with IDA assistance, the company will acquire and renovate an approximately 41,000 square-foot building at 33-37 Farrington Street and an approximately 4,375 square-foot vacant parcel of land at 34-10 Linden Place. P.S. Pibbs will utilize approximately $2 million NPV in triple tax-exempt bonds to expand its operations, as well as up to $978,000 NPV in real estate and sales tax exemptions. These benefits will allow the company to hire an additional 19 workers over the next three years, increasing its number of employees to 129.

"I am pleased that IDA assistance will enable these New York City-based companies to effect facility upgrades, expand their operations, and position themselves for future success," said IDA Chairman Michael G. Carey. "P.S. Pibbs is a terrific example of a family-run business that is committed to hiring people from its community. The company has also been praised for its commitment to hiring people with disabilities and training them to be highly skilled employees."

The IDA is the City's primary vehicle for providing financing 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, not-for-profit and other qualified entities to finance expansion opportunities. The IDA also offers qualified companies abatements on sales, real estate and mortgage recording taxes.

 

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