IDA approves up to $105 million in public benefits

The Diamond District and the Tennis Center are among the beneficiaries. On November 13, 2007 the New York City Industrial Development Agency voted to provide over $105 million in financial assistance to four entities.

IDA awarded up to $51 million in tax benefits to Extell Diamond Tower LLC, an affiliate of Extell Development Company, which will build an integrated diamond and jewelry industry facility in Manhattan’s Diamond District. IDA will extend a mortgage recording tax waiver, building tax exemption, and both City and State sale and use tax exemptions. According to IDA, the facility will include diamond trading, cutting, brokerage, sales and support services, and will create or retain 3,117 jobs.

The USTA National Tennis Center Inc. will receive $25 million in tax-exempt bonds to finance the construction of a new indoor tennis facility at the USTA Billie Jean King National Tennis Center in Flushing Meadows, Queens. The project will expand the USTA public recreation facility by about 243,000 sq.ft., and, according to IDA, will retain 83 jobs. The new facility will be open to the public year-round except during the U.S. Open.

IDA also awarded $18 million in triple tax-exempt bonds—exempt from Federal, State and City income taxes—and $514,000 in mortgage recording tax benefits to the Margaret Tietz Nursing and Rehabilitation Center to renovate existing space and a new 4,560-squarefoot addition in Jamaica, Queens. IDA says the project will lower the Center’s debt service, retain 285 jobs and enhance the quality of life for residents at the 200-bed nursing facility.

Lastly, Metro Terminals Corp., a holding company for Metro Biofuels, LLC, will receive $9.95 million in triple tax-exempt bonds, $278,601 in mortgage recording tax benefits as well as $632,313 in sales tax exemptions, to finance the construction of a 5,000-square-foot biofuel production facility in Greenpoint, Brooklyn. Metro Biofuels plans to build its 110 million gallon biodiesel production facility adjacent to Metro Terminals, a petroleum products wholesaler. According to IDA, the project will retain and create about 15 jobs.

IDA: Board of Directors Meeting Press Release (Nov. 14, 2007); Notice of Public Hearing (Nov. 10, 2007).

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