Bill Dedicates $105 Million In Tax Credits to Qualified Residential Projects & Mixed Use Parking Projects
TRENTON – Legislation sponsored by Senator Nellie Pou promoting economic growth in the City of Paterson by dedicating $105 million in tax credits to qualified projects in the city was signed into law yesterday by Governor Christie.
“Paterson’s immense historical significance, proximity to the New York metropolitan area, large labor pool and access to transit makes it a prime candidate for rebirth and investment. Infusing these available tax credits into the city will help to advance a number of important economic development projects, and may very well lead to the transformation of Paterson,” said Senator Pou (D-Bergen and Passaic).
“The benefit to the residents of this investment cannot be overstated,” Pou added. “It will create good-paying construction and permanent jobs and commerce that will reinvigorate the local and regional economies. This is a huge win for Paterson and everyone who lives and works in this great city.”
The law, S-2868, increases the amount of tax credits that the Economic Development Authority is permitted to award under the Economic Redevelopment and Growth Grant (ERGG) Residential Tax Credit program from $718 million to $823 million. The law restricts the additional $105 million in tax credits to qualified residential projects and mixed use parking projects located in a Garden State Growth Zone in Paterson, defined as a city having a population in excess of 125,000.
The residential tax credits for Paterson represent an amount that had already been dedicated for a project in Paterson under the now defunct Urban Transit Hub Tax Credit Program that did not go forward. Rededicating the credits to the city could allow numerous projects to move forward.
The law takes effect immediately.