The state Economic Development Authority voted this morning to approve a 10-year, $33 million tax credit for a $106 million mixed-use project adjacent to the New Jersey Performing Arts Center in downtown Newark.
Known as Two Center Street, the Dranoff Properties project is part of the One Theatre Square development. Plans call for a LEED Silver designated 22-story brick and glass tower, which will feature 244 apartments and just under 15,000 square feet of retail space. It will be able to accommodate up to five tenants.
The project, located on a 1.2 acre site across the street from NJPAC and Military Park, also will include 543 parking spots, 320 of which will be purchased by Prudential for company use. It is located in the Newark Downtown Business Improvement District as well as within a designated Urban Enterprise Zone.
The tax credit is being awarded through the Urban Transit Hub Tax Credit program and represents 33.38 percent of the project's total eligible costs under the program of $98.85 million.
Up to 200 construction jobs and 10 permanent jobs will be created, according to the EDA. By June 30, 2014, the project should be ready for construction, which is expected to last approximately two years.
The project had previously been approved by the EDA for a $38 million UTHTC in January 2010, but plans have been scaled back since then due to a downturn in the economy.
Other Dranoff projects include the Symphony House in Philadelphia as well as the transformation of the former Nipper Building in Camden, which housed RCA, into 341 luxury loft-style apartments.