As seen in the Mid Atlantic Real Estate Journal
In 2009, New Jersey adopted an Economic Stimulus Act (the “Act”), which created the Economic Redevelopment Grant Growth program (“ERGG”). ERGG is a State tax increment financing law that authorizes incentive grants to developers in the form of rebates of up to 75% of certain State and municipal incremental taxes and fees generated by a project. The New Jersey Economic Development Authority (“EDA”) administers the State ERGG program. Municipalities and the State Local Finance Board administer local ERGGs.
The Act allows annual redevelopment incentive grants to be paid for up to 20 years. Grants are capped at 20% of eligible project costs. Eligible project costs are costs incurred until a Certification of Completion is obtained. It includes costs for land, buildings, improvements, remediation, and soft costs. It excludes costs for which a project receives funding from a State grant. Read more at:
http://digital.turn-page.com/issue/94768/65l
