Albany, NY - April 2, 2014 - Governor Andrew M. Cuomo today announced the approval of $6.2 million to support seven economic development projects in the Finger Lakes, Southern Tier, Mohawk Valley, Mid-Hudson and Long Island regions. These projects will directly retain nearly 1,600 existing jobs. The funding, approved by Empire State Development’s (ESD) Board of Directors, will leverage more than $51 million in private and additional public investments to support business expansions and lay the groundwork for future economic growth and job creation in the medical, manufacturing construction, energy and education industries.
“Targeted state investments are creating jobs and supporting major economic development projects in communities across the state,” Governor Cuomo said. “By supporting these seven projects, we are creating new opportunities for New Yorkers with essential funds for new jobs, new facilities and new tools to improve their business operations. With more than 440,000 new private sector jobs created since 2010, New York’s economic progress is moving in the right direction, supported by the lowest business and middle class tax rates in a generation and a state investment strategy that is working.”
“The funding will help businesses and communities continue to grow across New York State, and that means more jobs for New Yorkers,” said Empire State Development President, CEO and Commissioner Kenneth Adams. “Our goal is to help businesses find new ways to invest and expand, which results in a stronger economy statewide.”
The ESD Board approved the following Regional Economic Development Council (REDC) grants:
Tyron Technology Park and Incubator Center (Mohawk Valley Region – Fulton County) – $2,000,000
Fulton County will use a grant of up to $2 million for a portion of the cost of planning, design, engineering, and construction of multiple utilities, including road, water and sewer, to transform the former Tryon Park Juvenile Detention Facility (the Facility) in the Town of Perth into a new business park called the Tryon Technology Park and Incubator Center (the Park). The Facility is one of eleven New York State correctional and juvenile facilities closed in 2011 as a part of Governor Cuomo’s plan to consolidate state government services and increase the efficiency of the juvenile justice facility system. It was determined that the transfer of the Facility to FCIDA and the more than $3 million business park redevelopment plan would produce the greatest economic benefit to the local area, creating jobs and expanding the tax base. The Facility was officially transferred from New York State to the Fulton County Industrial Development Agency (FCIDA) on January 16, 2014.
The job creation estimates for this project greatly exceed the number of jobs that were lost when the Facility closed. The site includes an estimated 327 acres of usable land which, when using conservative build-out estimates based on two other industrial parks in Fulton County, provides approximately 2.6 million square feet of building space that could be constructed on the property. In comparison, projects in the City of Johnstown Industrial Park and the Crossroads Industrial Park in the City of Gloversville have created 5.6 jobs per acre of developed land. If job creation figures occurred at the new Park, the project could generate approximately 1,800 new jobs for the region.
New York Battery and Energy Storage Technology Consortium (Finger Lakes Region – Monroe County) – $1,000,000
NY-BEST, a not-for-profit business association, will use a grant of up to $1 million for a portion of the cost to purchase and install state-of-the-art equipment to establish a facility to build, test, research, and evaluate batteries and other energy storage devices such as capacitors, fuel cells, compressed air technologies, and thermal energy storage.
NY-BEST and its member companies actively seek to partner with startup companies in the industry to evaluate technologies and, when appropriate, commercialize products. NY-BEST brings together industry, university and government partners with expertise in battery and energy storage technology, development, testing, and manufacturing. Member organizations are represented by prominent industry executives, government officials and researchers on NY-BEST’s board.
The project consists of design, renovations, and the purchase and installation of equipment to build, test, and evaluate batteries and energy storage devices to create New York State’s first battery and energy-storage product commercialization center. The project directly aligns with the Finger Lakes Regional Economic Development Council’s Strategic Plan, which includes supporting a battery and energy storage technology cluster at the Eastman Business Park.
Through the Regional Council process, NY-BEST was awarded $3.5 million, consisting of a $1 million grant from ESD and $2.5 million in energy efficiency incentives from NYSERDA. ESD’s assistance filled a financing gap that enabled the project to move forward, and it would not have proceeded without the State’s assistance.
Mount Saint Mary College (Mid-Hudson Region – Orange County) – $1,000,000
Mount Saint Mary College (MSMC), an institution of higher education with eight academic divisions including undergraduate programs and graduate programs, will use a grant of up to $1 million for a portion of the cost of construction of the Dominican Center, a historic building on campus that will be renovated as a new residence hall and library.
Located in Newburgh, MSMC sought funding to transform the Dominican Center, a 100,000-square-foot historic building in the City of Newburgh, into a new Library/Learning Commons and residence hall to accommodate 156 students. This multi-purpose facility will not only provide attractive housing options to attract potential new students but also will supply Newburgh with a place to bring the community together for cultural and academic events.
ESD’s $1 million capital grant will bridge a financial gap for MSMC to ensure that the project moves forward and retains 332 existing jobs while creating 12 new jobs – seven of which have already been created.
Satur Farms, LLC (Long Island Region – Suffolk County) – $120,000
Satur Farms, LLC - an agricultural company which grows, processes, and packs baby leafy green salads and specialty vegetables - will use a grant of up to $120,000 for a portion of the cost of the purchase of machinery and equipment to expand its vegetable processing and packing facility in Suffolk County, Long Island.
Satur has operated on the North Fork of Long Island for over 16 years and currently leads the Tri-state market for locally grown leafy salads. Its original farm was purchased in 1997 to grow vegetables and herbs for the owner’s local restaurant and has since expanded to include major retail customers like Whole Foods, Fresh Direct and A/P-Food Emporium, restaurants such as Fresh & Co. and Pret a Manger, and wholesalers that include Baldor, Food Authority, R.L.B. and Uncle Vinnie.
In order to expand its warehouse operations and minimize costs, Satur considered moving its warehouse to an existing facility in Florida or expanding its Long Island operations. The company sought and was awarded assistance during Round Two of the Regional Economic Development Council (REDC) initiative and was deemed a priority project by the Long Island REDC due to its alignment with the Council’s Strategic Plan. As a result of the REDC process, and to encourage the company to move forward with the project in New York State, ESD offered Satur Farms a grant of up to $120,000. This expansion project will retain 21 existing jobs and create 10 new jobs while doubling the company’s refrigerated processing room and increasing Satur’s total operation space to 40,000-square-feet.
The ESD Board approved the following grants:
Downtown Patchogue Redevelopers (Long Island Region – Suffolk County) – $1,000,000
Downtown Patchogue Redevelopers LLC, which was formed in 2007 to develop this project, will use a grant of up to $1 million for a portion of capital expenses related to the construction of a mixed-use, transit-oriented project consisting of office, retail, and rental homes.
In cooperation with the Village of Patchogue, DPR assembled a 3.28-acre site through the purchase of multiple properties surrounding a municipal parking lot located in the center of the Village’s Central Business District to build a mixed-use, transit-oriented development. The project also includes the relocation of a more than 100 year old library from the project location to a separate, adjacent, Village-owned site. The project is consistent with the LIREDC’s Strategic Plan as it is located in the Downtown Redevelopment District which was established by Patchogue for the growth and revitalization of the downtown business district. The entire site will create 291 new residential homes, 45,685 square feet of retail, and 17,000 square feet of office space, with 6 different community amenity areas.
The Village encourages retail and destination uses in the downtown core, residential units within walking distance of the downtown, and improvement to the economic base by creating jobs, expanding the tax base, and encouraging the business district to become a more appealing and interesting place to live, walk, eat, shop and do business.
Crystal Run Healthcare LLP (Mid-Hudson Region – Orange County) – $1,000,000
Crystal Run Healthcare LLP (CRH), a physician-owned multi-specialty group medical practice providing primary care and sub-specialty medical services in the Mid-Hudson Valley region, will use a grant of up to $1 million for a portion of land acquisition, machinery, and equipment costs. Located in the town of Wallkill, Crystal Run Healthcare currently includes more than 250 physicians in over 40 specialties and offers integrated, coordinated care to patients with common medical conditions as well as prevention and wellness strategies.
CRH’s continued and consistent growth resulted in a need to expand its back office space to centralize its business and administrative operations, and the company considered moving its Hudson Valley back office operations to North Carolina. To induce the nearly $14 million project to occur in New York, ESD offered CRH a $1 million grant to assist with the building costs as well as $3.2 in tax credits through the Excelsior Jobs Program to support creation of 200 new jobs. The project will retain 1,189 existing jobs.
AMT, Inc. – (Mohawk Valley Region – Schoharie County) – $100,000
AMT Inc., a manufacturer of quality ferrous and non-ferrous metal and metal alloy precision investment castings, will use a grant of up to $100,000 for a portion of the cost to purchase machinery and equipment. AM, which operates a more than 21,500 square-foot facility in Sharon Springs, Schoharie County, occupies a niche in the investment casting industry because it produces parts that typically fit in the palm of the hand and require relatively low-volume production runs. AMT serves a small market of approximately 100 international customers in various industries, including the aerospace, aviation, and medical industries.
In 2010, the Company sought to improve its Shell Automation room, which comprises its four manufacturing departments (wax, shell, foundry and finishing). The spatial limitations of the existing department made it difficult to maintain output that was comparable to other plant manufacturing operations. Without ESD’s support, the project could not have taken place in the Mohawk Valley and AMT would not have been able to automate and maintain pace with industry demands, risking lost sales, production volumes, and ultimately jobs. As a result of the project, 29 jobs have been retained and 10 new jobs will be created – four of which have already been created.
The next meeting of the ESD Board of Directors will be held later this month.
- Real Estate