Financing and incentive programs for large businesses
Grow NJ is a tax credit for businesses looking to come to the state or at risk of leaving state. Grow NJ is a powerful job creation and retention incentive program that strengthens New Jersey's competitive edge against tax incentive programs in surrounding states. Businesses that are creating or retaining jobs in New Jersey may be eligible for up to tax credits ranging from $500 to $5,000 per job, per year; with bonus credits ranging from $250 to $3,000 per job, per year.
Types of companies that can use the Grow NJ Tax Credits:
C-Corp: Utilize tax credits, corporate business tax (anyone who has nj tax liability can use it)
S-Corp/Partnership: Sell tax credits (sell to large corp who have NJ tax obligations)
What are the uses of the Grow credits?
Corporate Business and Insurance Premium taxes
How do I know if my location is eligible or what the bonus criteria for that location would be?
See EDA's mapping tool: https://njgin.state.nj.us/OIT_BusinessMap2/.
The Economic Redevelopment and Growth Program (ERG) is an incentive for developers and businesses to address revenue gaps in development projects.
Residential Projects: Tax credit of up to 20% of total project cost with 10% bonus possible if the project constructs and reserves at least 10% of the residential units for moderate income housing.
Commercial Projects: Incentive grant reimbursement of up to 20% of total project cost, with additional grant funding possible based on project type and/or location. Redevelopment projects that are predominantly commercial and include retail, office and/or industrial uses for purchase or lease. Up to 20-year term.
Mixed Use Parking Projects: tax credit of up to 100% of the parking component project costs and up to 40%. Redevelopment projects consisting of a building or structure, of which the parking component is 51 percent or more of: the total square footage of the entire project; the estimated revenues of the entire project; or the total construction cost of the entire project. Up to 10-year term. Addresses revenue gaps in development projects.
http://www.njeda.com/large_business/economic_redevelopment_growth
The Real Estate Impact Fund is a fund aiming to revitalize underutilized properties in Urban Aid municipalities by providing upfront construction capital that smaller-scale commercial or mixed-use development projects may need to advance. There is a private and public component to the program.
Bond Financing: Creditworthy manufacturing companies, 501(c)(3) not-for-profit organizations, and exempt facilities in New Jersey may be eligible for long-term financing under the Bond Financing Program.
