New York, NY – February 9, 2010 – (RealEstateRama) — New York City Industrial Development Agency (NYCIDA) today approved two tax incentive packages that will assist in the development of two new supermarkets in the Bronx. The projects are the first to be approved under the Fresh Retail Expansion to Support Health (FRESH) program. Approximately $3 million in real estate and tax benefits were approved for Foodtown and nearly $5.6 million approved for Western Beef. Foodtown will invest approximately $3.7 million to construct a new 11,000-square-foot supermarket in the Norwood Section of the Bronx to replace the store that burned down in December 2009. Western Beef proposes to invest approximately $11.5 million to construct a 35,000-square-foot supermarket with a 20,000-square-foot warehouse and 33,000 square feet of parking in the Tremont Section of the Bronx to replace a smaller Western Beef market nearby. Together the two markets will retain 90 existing jobs and create about 65 new ones, enabling both markets to expand, improve their product lines, and increase operating efficiency.
“Through the FRESH program, the Bloomberg Administration is striving to provide healthy food options, including fresh fruits and vegetables, to all New Yorkers,” said NYCIDA Chairman Seth W. Pinsky. “Over the years, NYCIDA has been responsible for helping hundreds of industrial businesses and not-for-profit organizations to grow in the five boroughs. Now, thanks to the FRESH program, we have the opportunity to help ensure that all New Yorkers have the food choices that for too long have been lacking in certain neighborhoods. I would like to acknowledge the Mayor’s office, Speaker Quinn and Department of City Planning Commissioner Burden for their work on this important endeavor.”
“Since I became Speaker, the Council has made it one of our priorities to expand access to healthy foods in neighborhoods around the City,” said Speaker Christine C. Quinn. “The FRESH program is one of our most innovative efforts, using zoning and financing incentives to help bring grocery stores to underserved communities. Thanks to FRESH, families in the Bronx will soon have access to two brand new supermarkets, and we’ll create and preserve dozens of good jobs in the process.”
“The City created the FRESH program to expand the availability of fresh food choices in underserved neighborhoods and reduce the incidence of diet-related disease,” said City Planning Commissioner Amanda M. Burden. “I am delighted that grocery store operators are already taking advantage of the program to better serve these two Bronx neighborhoods. It is a great example of how the Mayor’s comprehensive strategy to improve the health of New Yorkers is achieving its goals.”
In 2006 Mayor Bloomberg in partnership with Speaker Quinn created the Food Policy Task Force with the goal of expanding the availability of nutritious, affordable food in underserved communities, enhancing the nutritional standards followed by City agencies in feeding clients, and improving access to food support programs. Over the past four years, the Administration has developed an aggressive food policy agenda to increase food security and increase the availability of healthy foods. This agenda includes the implementation of nutrition standards for 225 million snacks and meals served by City agencies, as well as the creation of the Green Carts program and the FRESH program.
“The FRESH program is a critical component of the comprehensive efforts of the Mayor’s Food Policy Task Force to promote access to healthy food for all New Yorkers,” said New York City Food Policy Coordinator Ben Thomases. “It is great to see that the incentives offered are already working to attract and retain supermarkets in the neighborhoods that need them most.”
Foodtown plans to enter into a long-term lease for the property at 283 E 204th Street and construct an approximately 11,000- square-foot market to replace the 7,500-square-foot market destroyed by fire in December which was one of the few affordable fresh food and produce operations in the area.
Western Beef proposes to acquire a 65,000-square-foot building at 2050 Webster Avenue to create a new supermarket to replace a smaller market located nearby that the company currently leases on a month-to-month basis. Ownership of the new facility, which will be about 10,000 square feet larger than the existing market, will enable the company to create an ideal showcase for its brand and provide space for new departments, such as a bakery with a brick oven and a full service deli. Western Beef will also install energy efficient equipment and HVAC systems, and use energy efficient building materials to reduce energy consumption.
P.S.K. Supermarkets LLC, the parent company of Footown., is a family-owned business that operates 13 supermarkets in New York State, eight of which are located in the City. Cactus Holdings Inc. does business as Western Beef and has been in business for more than 30 years. The company operates from an 11-acre complex in Maspeth, Queens, where it serves the corporate, warehouse and distribution needs of its 22 Western Beef operations and five Juniors Food Outlet stores. Its stores are located mainly in the five boroughs, with additional stores in Westchester, Long Island, New Jersey and Florida.
About NYCEDC
New York City Economic Development Corporation is the City’s primary vehicle for promoting economic growth in each of the five boroughs. NYCEDC’s mission is to stimulate growth through expansion and redevelopment programs that encourage investment, generate prosperity and strengthen the City’s competitive position. NYCEDC serves as an advocate to the business community by building relationships with companies that allow them to take advantage of New York City’s many opportunities.
About NYCIDA
The New York City Industrial Development Agency (NYCIDA) is administered by the New York City Economic Development Corporation and provides financing assistance to businesses, including small industrial and manufacturing companies and not-for-profit organizations. NYCIDA is a conduit agency that issues tax-exempt industrial revenue bonds to assist eligible commercial, industrial, not-for-profit and other qualified entities to finance expansion opportunities. NYCIDA also offers qualified companies abatements on sales, real estate and mortgage taxes. To request information and details on NYCIDA programs, call (212) 312-3600 or e-mail info (at) nycedc (dot) com.
About the Five Borough Economic Opportunity Plan
The Five Borough Economic Opportunity Plan is a comprehensive strategy to bring New York City through the current economic downturn as fast as possible. It focuses on three major areas: creating jobs for New Yorkers today, implementing a long-term vision for growing the city’s economy, and building affordable, attractive neighborhoods in every borough. Taken together, the initiatives that the City has launched to achieve these goals will generate thousands of jobs and put New York City on a path to economic recovery and growth.
