Release #139-01

 

Contact:	Sunny Mindel / Lynn Rasic	(212) 788-2958
	Gregory Miley/Janel Patterson	212-312-3523

Mayor Rudolph W. Giuliani announced today that the New York City Industrial Development Agency (IDA) has agreed to assist five companies in expanding and improving their operations in New York City. The five companies - three not-for-profits and two manufacturers - will help keep more than 235 jobs in Manhattan, the Bronx and Brooklyn.

"Small businesses, not-for-profits and manufacturers play a key role in New York City's economy," said Mayor Giuliani. "The City is committed to helping small businesses in all industries to expand here. I am delighted that these five companies were able to turn to the IDA to help them grow and prosper."

Manufacturing Companies Baco Enterprises and Leo International Expand

Baco Enterprises, Inc. is a manufacturer of structural steel and threaded products used for bridge and highway construction. Baco is planning to purchase and renovate a 22,000 square foot building at 1190 Longwood Avenue in the Hunts Point Empire Zone, in the Bronx. This will be used as the manufacturing site for Baco's products and office space for Baco's sales staff. Baco currently employs 38 workers and is scheduled to receive approximately $2.3 million in triple tax-exempt bond financing and $842,967 net present value (NPV) over 25 years, in real estate tax benefits and sales tax exemptions.

Leo International, Inc. is a manufacturer and wholesale distributor of plumbing supplies. Leo is seeking to purchase an approximately 62,000 square foot parcel of land
at 471 Sutter Avenue in Brooklyn and construct and equip an approximately 29,300-square-foot building. The new facility will be used to expand the company's production
and storage facilities. Leo currently employs 12 workers and plans to add an additional 9 employees. The organization will receive approximately $659,075 (NPV) over 25 years in real estate tax benefits and sales tax exemptions.

"The manufacturing industry is an extremely important sector for New York City's economy," said Deputy Mayor for Economic Development and Finance Robert M. Harding. "The IDA enables these companies to make new investments in their operations that result in increased economic expansion and continued job growth. New York City is affirming its commitment to ensuring the stability and success of its manufacturing sector."

Three Not-For-Profit Organizations Plan Their Future in New York City

The Child School is a not-for-profit school serving elementary through high school age children with learning disabilities and behavioral disorders. The school plans to expand and improve its current facility at 317 East 33rd Street in Manhattan by adding three floors and extending the facility's structure. The Child School employs 62 workers and plans to add an additional 10 employees. The company is scheduled to receive approximately $8 million in triple tax-exempt bond financing and $214,525 in a mortgage recording tax waiver.

The Federation of Protestant Welfare Agencies, Inc. is a not-for-profit social services advocacy organization that assures, through service to membership agencies and policy and program efforts, the social and economic well-being of many New Yorkers. The Federation plans to renovate its current 39,340-square-foot facility at 281 Park Avenue South in Manhattan and refinance existing IDA bonds. The Federation currently employs 47 workers and is slated to receive approximately $5 million in triple tax-exempt bond financing and $49,968 in a mortgage recording tax waiver.

The Therapy and Learning Center, Inc. (TLC) is a not-for-profit preschool and daycare facility serving children with and without disabilities, largely focusing on children from birth to five years old. TLC is planning to purchase and renovate a facility at 1723 8th Avenue in Brooklyn to expand its present program. The proposed expansion will allow the school to increase its number of students and offer more classes. TLC currently employs 37 workers and plans to add an additional 20 employees. The organization is projected to receive $3.5 million in triple tax-exempt bond financing and $96,071 in a mortgage recording tax waiver.

"New York City benefits when not-for-profits continue to be a part of our community makeup," said IDA Chairman Michael G. Carey. "Not-for-profits in the City not only provide important information and services, they also provide jobs for more than 480,000 people."

The IDA is the City's primary vehicle for providing financing assistance to businesses, including small industrial and manufacturing companies, and not-for-profit organizations. The IDA is a conduit agency that issues tax-exempt industrial revenue bonds to assist eligible industrial, not-for-profit and other qualified entities to finance expansion opportunities. The IDA also offers qualified companies abatements on sales, real estate and mortgage recording taxes.