Page 11 - RE-NJ

EDA PLEDGES $200 MILLION ASPIRE TAX CREDIT FOR ‘NJPAC DISTRICT’
A new chapter is set to begin for the New Jersey Performing Arts Center in Newark, where a long-awaited, mixed-use development is expected to transform the existing venue and have an exponential impact on its role as a catalyst in the city.
That was the message of state and city officials and NJPAC’s leadership in mid-February after the project, known as NJPAC District, secured
a 10-year, $200 million tax credit award under the state’s Aspire program. That figures to be a key step in a plan that would include 350 new apartments, office and retail space and renovations to the 100,000-square-foot performing arts center, as well as a new hub for arts education and public infrastructure.
“NJPAC has been a magnet for
local residents and visitors from
all over the region for decades, by offering world-class performances, arts education and community engagement,” Economic Development Authority CEO Tim Sullivan said. “The project will expand NJPAC’s positive impact
on the Newark
community
by providing
a lively
destination for
visitors and a
dynamic place
to call ‘home’ for
those seeking
a transit-accessible, arts-centric lifestyle.
“It’s truly a means of maximizing the economic activity associated with NJPAC, while elevating the surrounding community.”
The EDA, which approved the
gap financing subsidy on Feb. 7,
said construction could begin this summer for the project just west of McCarter Highway. LMXD, an L+M Development Partners affiliate, is the lead developer and will build and operate the residential phase known as ArtSide, which will include a high- rise tower and a midrise building with a combined 335 apartments, plus 15 low-rise townhomes, with a 20 percent set-aside for affordable housing.
The development would also provide 10,500 square feet of office space for WBGO, the Newark-based public radio station, and 12,600 square
feet of ground-floor retail space. Meantime, plans call for a new 53,000-square-foot arts education and community facility known as the Cooperman Center, which will be coupled with the renovation of the 17,000-square-foot Episcopal Church building for related arts education activities, as well as the upgrades
to NJPAC and major infrastructure improvements to the larger site around the facility.
“From its earliest imaginings more than a
The New Jersey Performing Arts Center in Newark
John Schreiber
generation ago, NJPAC was designed as a unique anchor cultural institution in service to the city of Newark and the state
those that leverage mass transit, college campuses or other economic development assets to provide housing or create jobs.
In addition to the Aspire tax credits, the project has financing from the New Jersey Housing and Mortgage Finance Agency’s Low Income Housing Tax Credit program.
“The sum of these funds — whether to establish dining venues, art studios, space for creative work
and communal collaboration or an agricultural and nutritional center —
are each, and collectively, earmarked for the nourishment of all aspects of Newark’s vitality
as a thriving
community,”
said Baraka, the
city’s mayor.
“On behalf of
all Newarkers,
I thank NJEDA
for these real
estate and
development grants so crucial to our present and future well-being and growth.”
of New Jersey,” said John Schreiber, NJPAC’s CEO and president. “Our audiences, staff and programming reflect the remarkable diversity of the many communities we serve. Today’s landmark tax credit award makes possible the exciting next phase of the Arts Center’s evolution, and the dynamic neighborhood we will build on our campus will help further elevate downtown Newark’s status as a 24/7 live, work and play destination.
“We are honored and grateful to be
in partnership with Tim Sullivan, the NJEDA, Governor Murphy and Mayor (Ras) Baraka to bring new residential, retail, educational and cultural assets to our hometown.”
Located in the northern end of downtown Newark, NJPAC has helped anchor and draw visitors to the city since its opening in 1997. Supporters have long dreamed of expanding its footprint and creating a vibrant arts district around the venue, but those plans so far have been limited to the 22-story, 245-unit residential tower that opened across Center Street in 2018.
The nearly $199.7 million Aspire
tax credit, which would not be disbursed until after the development is completed, represents 60 percent of the $332.8 million project cost, according to the EDA. The authority considered NJPAC’s proposal under its “transformative project” tier —
as established by the Aspire statute — which allows for more lucrative awards for larger developments and
Ras Baraka
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Tim Sullivan