Subsidy Alert: July 2012
In the public notices for July 2012: Richards Plumbing & Heating Co, Broadway Stages Ltd., GMDC Atlantic Avenue LLC, ERY Tenant LLC (Eastern Rail Yards at Hudson Yards), M.Fried Store Fixtures, Inc., Danforth Victoria Development Partners, LLC. ALSO: New York City Housing Development Corporation public hearing bond offering for Brooklyn Atlantic Yards on Wednesday July 18.
To learn how the Board of Directors voted on these projects, see the agency "board books" here.
UPDATE 7/17/2012: New York City Housing Development Corporation (view the public hearing notice):
The next public hearing of the New York City Housing Development Corporation (HDC) will be held on July 18 at 1 pm at 110 William Street, 4th Floor conference room 4A/B . The HDC will be holding the hearing to provide information and gather comments from the general public on the proposed $92 million bond offering to finance residentail apartment units at the Brooklyn Atlantic Yards development project. More information on Brooklyn Atlantic Yards can be found in our Spotlight on Economic Development.
New York City Industrial Development Agency and BuildNYC
The next public hearing of the New York City Industrial Development Agency will be held at 10 am on Thursday July 19, 2012 at: 110 William Street, 4th Floor, New York, New York 10038 (Fulton St. subway stop).
This month the public hearing will include projects being reviewed by the IDA, as well as the BuildNYC Resource Corporation which extends benefits to qualified non-profits through tax-exempt and taxable bond financing.
We have provided summaries for both IDA and BuildNYC projects below as well as links to all available project materials and cost/benefit analyses. We encourage anyone with concerns or comments about these proposals to attend the hearing and provide input on particular projects to the members of the IDA board. Companies are often pulled from the docket at the last moment, so call to confirm that the company you are interested in will be presented. For more information, please email PublicHearings@nycedc.com or contact Fran Tufano at (212) 312-3596; Written testimony can be submitted to: New York City Industrial Development Agency, Attn: Ms. Frances Tufano, 110 William Street, 5th Floor, New York, New York 10038. If you plan to speak on any of these projects, please let GJNY know: 212.721.7996 or gjny (at) goodjobsfist.org.
Industrial Development Agency projects (download the original public hearing notice):
- Straight lease (Industrial Incentive Program) transaction for RPH Properties LLC, a real estate holding company for the benefit of Richards Plumbing & Heating Co. Inc., a plumbing and heating contractor, in connection with a facility located at 231 Kent Street, Brooklyn, New York 11222 (Block 2552, p/o Lot 10).
- Straight lease (Industrial Incentive Program) transaction for a real estate holding company to be determined for the benefit of Broadway Stages Ltd., a New York corporation that provides full-service film, television and music production facilities, in connection with a facility located at 1268 East 14th Street, Brooklyn, New York 11230 (Block 6733, p/o Lot 35).
- Straight lease (Industrial Incentive Program) transaction for the benefit of GMDC Atlantic Avenue LLC, a real estate developer that provides affordable space to industrial companies, in connection witha facility located at 1102 Atlantic Avenue, Brooklyn, New York 11238 (Block 1126, p/o Lots 29 and 75).
- Straight lease (Industrial Incentive Program) transaction for ERY Tenant LLC (materials provided at July 18 public hearing, see also related materials: Exhibit B to resolution) or its affiliate, a real estate development company, in connection with the Hudson Yards Commercial Construction Project, in connection with the construction of an approximately 1,840,000 square foot, LEED certified, class-A office facility, which will include approximately 41,000 gross square feet of ground-level retail space. The facility will be located between 10th Avenue, 30th Street, 11th Avenue and 31st Street, New York, New York 10001 (See also two earlier versions of the ERY Tenant LLC project materials: version one from July 9, version two from July 10).
- Straight lease (Industrial Incentive Program) transaction for Adar Holding Realty LLC, a real estate holding company for the benefit of M. Fried Store Fixtures, Inc. and Sturdy Store Displays, Inc., together are importers/resellers, manufacturers and installers of retail displays and fixtures, including but not limited to garment racks, glass display cases, shelving and custom carpentry, in connection with a facility located at 101 Varick Avenue, Brooklyn, New York 11237.
- Approximately $32,000,000 bond transaction for the benefit of a to-be-formed entity on behalf of Danforth Victoria Development Partners, LLC, a real estate developer. Proceeds from the bonds will be used for the acquisition, construction, renovation and furnishing of an approximately 127,000 square foot hotel, as part of a larger mixed use development located at 233 125th Street, New York, New York 10027 (Block 1931, p/o Lot 17). The financial assistance proposed to be conferred by the Agency will be such bond financing and exemption from the City and State mortgage recording taxes.
BuildNYC Resource Corporation (download the original public hearing notice):
- Approximately $150,000,000 taxable bond or note transaction for the benefit of Hutch Tower Two LLC (link directs to BuildNYC website for access to the materials PDF), a for-profit entity, on behalf of Montefiore Medical Center (“Montefiore”), a not-for-profit hospital and institution providing hospital and/or other health-care services including but not limited to ambulatory care services, for a facility (as proposed, “Tower Two”), to be located at a development in the Bronx, New York, known as “Hutchinson Metro Center.” Tower Two will be used by Montefiore and/or affiliates of Montefiore and/or medical professionals affiliated with Montefiore or affiliates of Montefiore for the purpose of providing hospital and/or other health-care services including but not limited to ambulatory care services.
- Approximately $20,000,000 tax-exempt revenue bond transaction for the benefit of Bais Ruchel High School, Inc and United Talmudical Academy Torah Veyirah Inc., not-for-profit organizations. Proceeds of the bonds, will be used to finance the a facility located at 173, 175 and 177 Harrison Avenue, Brooklyn, New York 11206. The facility will be owned by Bais Ruchel High School, Inc. and operated by United Talmudical Academy Torah Veyirah Inc. as a school serving girls in grades 9 through 12 and will contain 58 classrooms, a 1,000 seat auditorium, a cafeteria and research rooms.
- An approximately $11,000,000 tax-exempt refunding transaction for the benefit of All Stars Project, Inc. (“All Stars”), a New York not-for-profit corporation that provides out-of-school educational and performing arts activities to underserved youth. Proceeds from the tax-exempt refunding transaction will be loaned to All Stars, which will use the proceeds to (i) currently refund the outstanding New York City Industrial Development Agency (“NYCIDA”) Variable Rate Demand Civic Facility Refunding and Improvement Revenue Bonds (2007 All Stars Project, Inc. Project), Series A and Subordinated Payment Civic Facility Refunding Revenue Bonds (2007 All Stars Project, Inc. Project), Series B in the approximate amount of $10,570,000 (collectively, the “2007 NYCIDA Bonds”); and (ii) pay certain costs of issuance and other similar costs. The 2007 NYCIDA Bonds were used to (i) refund the outstanding NYCIDA Civic Facility Revenue Bonds (2002 All Stars Project, Inc. Project), Series A and Subordinated Payment Civic Facility Revenue Bonds (2002 All Stars Project, Inc. Project), Series B (collectively, the “2002 NYCIDA Bonds”), which 2002 NYCIDA Bonds were used to finance the acquisition, renovation and equipping of an approximately 30,209 square foot facility that is owned and operated by All Stars and serves as its headquarters, educational training and theater production facility located at 543 West 42nd Street, New York, NY 10036 (Block 1071, Lot 1402) (the “Facility”); and (ii) finance additional renovations and improvements to the Facility. The Facility is owned and operated by All Stars. The financial assistance proposed to be conferred by the Corporation will consist of such tax-exempt financing and exemption from City and State mortgage recording taxes.
- Approximately $17,000,000 tax-exempt revenue bond transaction for the benefit of The Browning School (the “School”), a not-for-profit, college preparatory independent private school for boys. Proceeds of the bonds, together with other funds of the School, will be used by the School to finance the improvements to, renovation, equipping and/or furnishing of the School’s facility including: (I) a lower-level expansion to accommodate a new cafeteria; (II) an upgraded lobby, library, technology center, science lab and art studio; (III) the relocation of the core stairway and new elevator to provide a central transportation corridor; (IV) upgrades to classrooms; (V) the provision of handicap accessible toilet facilities; (VI) increase to the number of academic lockers; and (VII) the addition of a staircase on the western side of the building. Improvements will be made to the approximately 51,515 square feet comprising the School’s facility (the “Facility”) which consists of the following properties: (i) 48-52 East 62nd Street (a/k/a 52 East 62nd Street), New York, New York 10065 (Manhattan Tax Block 1376, Lot 42), and (ii) two condominium units located within a building at 40 East 62nd Street, New York, New York, 10065 (Manhattan Tax Block 1376, Lots 1201 and 1202). The Facility described in this notice will be owned by the School and operated for the purpose of providing educational services.
- Approximately $20,000,000 tax-exempt revenue bond transaction for the benefit of HealthCare Chaplaincy, Inc. and/or HCC Network, Inc. (the “Organizations”), not-for-profit organizations. Proceeds of the bonds, together with other funds of the Organizations, will be used by the Organizations to finance the construction, renovation, equipping and/or furnishing of condominium units designated units B, C, D and E comprising in the aggregate approximately 51,400 square feet of office space and parking facilities (collectively the “Facilities”) located within an approximately 195,000 square foot building to be constructed on an approximately 31,341 square foot parcel of land located at 261 South Street, New York, New York 10002. The Facilities described in this notice will be owned by the Organizations and operated for the purpose of providing integrated comprehensive palliative care with persons with serious progressive illnesses, education, research and clinical practice services associated with palliative care, non-profit office space and parking facilities, and incidental administration and support services.
- Approximately $36,000,000 tax-exempt revenue bond transaction for the benefit of Seaview Senior Living Housing Development Fund Corporation (“Seaview”). Proceeds of the bonds will be used by Seaview to finance or refinance the costs of acquisition, construction, equipping and/or furnishing a senior assisted living community to be located on an approximately 10.4 acre parcel of land of an approximately 15.42 acre site located on the east side of Brielle Avenue, approximately 1,000 feet south of the intersection of Walcott Avenue and Brielle Avenue, Staten Island, New York 10314 (Block 955, Lot 201 and part of Lot 210), which consists of (i) a three-story, approximately 103,000 square foot assisted living facility to be designated as 140 Friendship Lane, Staten Island, New York, and accommodate approximately 188 beds, approximately 164 beds for residents that provide assistance with some day-to-day activities and approximately 24 beds for residents with memory loss; (ii) a commons building which will be a single-story building of approximately 11,500 square feet to be designated as 135 Friendship Lane, Staten Island, New York, and utilized for social gatherings, recreation, and appropriate additional activities; (iii) an assisted living guest cottage to be designated as 105 Friendship Lane, Staten Island, New York, which will serve as visiting quarters for guests of assisted living residents and community office space; (iv) funding a debt service reserve fund with respect to the bonds, (v) paying capitalized interest during construction of the project and certain costs of issuance with respect to the bonds. The financial assistance proposed to be conferred by the Corporation will consist of such tax-exempt bond financing and an exemption from City and State mortgage recording taxes.
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