Revising a state tax credit for a more powerful boost
Proposals would expand the number of urban transit hubs markets director at the Parsippany office of Jones Meisel, who suggests lowering the thresholds
Lang LaSalle. “You can move someone from one even further as one way to include more small-
BY EVELYN LEE Assemblyman Anthony Chiappone (D-Bay- end of the urban transit hub to another and they er-sized firms. “There’s a thin bandwidth of com-
MODIFICATIONS TO THE state’s Urban Transit onne), sponsor of the Assembly bill. can get the full incentives,” while creating a large panies that can take advantage of it,” he said. “It’s
Hub Tax Credit Program are expected to During the movement to make changes to vacancy within the same zone, he said. good to attract the big companies, but it would-
increase the number of New Jersey businesses the program, however, one potential issue was And even with the revisions, the program n’t be a bad idea to attract the smaller ones.” ◆
that can take advantage of the program, but the overlooked, said Jonathan Meisel, New Jersey still “only applies to large companies,” said E-mail to email@example.com
incentive still won’t apply to smaller compa-
nies, local commercial real estate players said.
“It’ll help more tenants and landlords
potentially do deals,” said Sean Brady, a senior
director at the East Rutherford office of Cush-
man & Wakefield, a commercial real estate bro-
kerage. “It’ll bring more sites into play and
bring more tenants into play.”
Many companies don’t qualify for the pro-
gram in its current form, he said. “The Urban
Transit Hub [Tax Credit] is too large for a num-
necessary to reflect the
OUR STRENGTH IS
current business environment
and secondly to reflect costs
of developing new projects in
urban areas in New Jersey.”
Richard Johnson, Matrix Development Group
PNC Corporate & Institutional Banking
ber of deals that I’m working on,” he said. Let our disciplined approach to growth move your business for ward.
“There’s a number of tenants in the market- Named Middle Market Investment
place that are 50,000 to 75,000 square feet that Bank of the Year, It’s no secret that today’s economic environment has made
can’t take advantage of that program.” Investment Dealers’ Digest (2008) it difﬁcult for middle market companies to obtain the capital
Among its revisions, the proposed legislation they need to grow. But PNC’s clients have access to one of
calls for lowering the capital investment threshold Named one of America’s Most the leading lenders in the country.
from $75 million to $50 million for an owner of a Admired Companies, PNC is the #1 syndicator of middle market loan
qualified business facility, and from $25 million to FORTUNE® magazine (2008)* transactions in the United States.
$17.5 million for a tenant at that building. By taking a long view on the balance between risk and
The changes were partly in response to the reward, PNC has stayed strong and stayed focused on our
economic downturn, said Richard Johnson, Ranked No. 1 lead arranger of middle market
most important job: serving our clients.
loan syndications in the United States,
senior vice president at Matrix Development