Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: March 12, 2021
The Firm
201-896-4100 info@sh-law.comNew Jersey developers, property owners, and potential buyers may be eligible for a new loan program that can help offset the costs of brownfields redevelopment. However, the clock is ticking — applications for the Brownfields Loan Program must be submitted by April 13, 2021.
The Brownfields Loan Program provides financing to potential brownfield site purchasers and current brownfield site owners (including local government redevelopers) that intend to develop commercial (including but not limited to manufacturing), retail, mixed-use developments, expansions, or reuses. The minimum loan amount is $100,000, while the maximum loan amount is $5 million.
In order to participate in the program, applicants must be able to demonstrate site control or a path to site control. In addition, the applicant must provide owner equity equal to a minimum of 10 percent of the appraised value of the property in a remediated state.
With regard to site eligibility, the program is available to any former or current commercial or industrial site that is currently vacant or underutilized and on which:
If approved, Brownfields Loan proceeds may be used for a wide-range of costs associated with the investigation, assessment, and remediation of a brownfield, including but not limited to:
Use of funds can’t be duplicative of other approved State or Federal grants previously awarded that would pay for the proposed use of funds.
Projects seeking financing must submit an application, which will be evaluated during competitive application rounds established by NJEDA. Applications must be accompanied by a letter of support from the mayor of the municipality in which the brownfield site is located (or the governing body if the position of mayor does not exist)
Applications that meet the base eligibility requirements are further reviewed and scored by NJEDA using scoring criteria based upon the local or economic impact of the brownfields site/proposed project. Factors that are taken into consideration include:
The application fee is $2,500. Additional details regarding the application are available at https://www.njeda.com/bfloans.
Additional economic assistance for brownfields redevelopment is also coming in the form of tax incentives. The Brownfield Redevelopment Incentive, which was established under the New Jersey Economic Recovery Act of 2020, will provide tax credits to support brownfields remediation projects.
The Brownfield Redevelopment Incentive is a one-time tax credit intended to support costs associated with assessment, investigation, and remediation activities, as well as hazardous materials abatement, waste disposal, and structural remediation. The program is subject to a $50 million annual cap with a maximum $4 million tax credit per project. Tax credits will be awarded through a competitive application process, which the NJEDA is expected to announce later this year.
Given that the Brownfields Loan Program closes on April 13, 2021, time is of the essence. To determine if your business may benefit from the new loan program, we encourage you to contact a member of the Scarinci Hollenbeck Land Use Group at 201-896-4100.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]
Author: Matthew F. Mimnaugh
Special purpose acquisition companies (better known as SPACs) appear to be making a comeback. SPAC offerings for 2025 have already nearly surpassed last year’s totals, with additional transactions in the pipeline. SPACs last experienced a boom between 2020–2021, with approximately 600 U.S. companies raising a record $163 billion in 2021. Notable companies that went public […]
Author: Dan Brecher
Merging two companies is a complex legal and business transaction. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process that involves important corporate governance considerations. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process. However, […]
Author: Dan Brecher
The Trump Administration’s new tariffs are having an oversized impact on small businesses, which already tend to operate on razor thin margins. Many businesses have been forced to raise prices, find new suppliers, lay off staff, and delay growth plans. For businesses facing even more dire financial circumstances, there are additional tariff response options, including […]
Author: Brian D. Spector
Business partnerships, much like marriages, function exceptionally well when partners are aligned but can become challenging when disagreements arise. Partnership disputes often stem from conflicts over business strategy, financial management, and unclear role definitions among partners. Understanding Business Partnership Conflicts Partnership conflicts place significant stress on businesses, making proactive measures essential. Partnerships should establish detailed […]
Author: Christopher D. Warren
*** The original article was featured on Bloomberg Tax, April 28, 2025 — As a tax attorney who spends much of my time helping people and companies who have large, unresolved issues with the IRS or one or more state tax departments, it often occurs to me that the best service that I can provide […]
Author: Scott H. Novak
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!