ECIDA Approves Incentive Packages Totaling $2.8 Million to Support Nearly $77 Million in AdaptiveReuse of Endangered Buffalo Buildingsby chocieni
January 11, 2010 - Buffalo, NY - The Erie County Industrial Development Agency Board of Directors today approved a pair of tax abatement packages that will lead to $76.6 million in adaptive reuse investments. Some $70 million of that will be used to bring the idle AM&As site back to life.
The board agreed to incentives totaling at least $1.9 million in sales tax forgiveness, plus a mix of property and mortgage recording tax abatements for the landmark downtown site. The final amount will reflect the as-yet-to-be-determined building purchase price.
ECIDA Executive Vice President John Cappellino said said Signature Development of WNY, LCC's plan to revive the downtown landmark as a mix of hotel, office and other commercial space is a great fit with the agency's support of adaptive reuse projects.
"That building is a poster child for adaptive reuse," Cappellino said. "It's such a well-known site that sits in the heart of downtown Buffalo."
Buffalo developer Rocco Termini plans for the century-old, 10-story structure include a Hilton Garden hotel. The Amherst-based Hamister Group is co-developing the hotel and plans to move its headquarters to the building at 377 Main St.
The project is expected to create 50 new jobs.
The ECIDA board also approved a $245,000 package of sales and mortgage recording tax abatements for Newark Niagara, LLC for a $6.6 million project at 55 Chicago St., in Buffalo. The group, led by Buffalo architect Clinton Brown plans to overhaul the former E & B Holmes Machinery Co. complex into live/work lofts and commercial space. The Civil War-era former barrel-making, which will be known as The Cooperage, plant is located along the Buffalo River.
The ECIDA board also renewed a previously-approved funding package for Iskalo Development Group for an $8.6 million redevelopment project at 2780-2800 Delaware Ave. in Kenmore. Islako, which overhauling the former Kane-Doyle auto dealership site, was originally approved for tax abatements and an industrial revenue bond in February 2009.
The board also renewed a $1 million industrial revenue bond for Arrow Grinding, Inc, which is expanding its business at 525 Vickers St. in Tonawanda. The bond sale received initial approval in 2008.