Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: August 11, 2020
The Firm
201-896-4100 info@sh-law.comNew Jersey continues to roll out new programs aimed to help small businesses impacted by COVID-19. The latest, known as the Small Business Lease – Emergency Assistance Grant Program (SBL-EAGP) will allow eligible businesses to apply for grants of up to $10,000 for lease costs. The $6 million grant program will be funded via the CARES Act and administered by the New Jersey Redevelopment Authority (NJRA).
“We are committed to helping small businesses across our state survive this unprecedented crisis,” Governor Phil Murphy said in a press statement. “A stronger and fairer New Jersey starts from the bottom up. The Small Business Lease – Emergency Assistance Grant Program will infuse much needed funding into local economies by assisting both small businesses and the landlords that they rent from.”
To participate in the SBL-EAGP, businesses must be located in one of 64 eligible municipalities. They must also be commercial tenants currently leasing commercial space in mixed-use buildings, tenants leasing space in commercial buildings, and storefront businesses. Non-profits entities with the following designations will also be permitted to receive grant funding: 501(c)(3), 501(c)(4), and 501(c)(7).
To be eligible as a small business, the applicant’s leased premises must be less than 5,000 square feet of leasable space. Multiple locations leased by the same business must be aggregated. The program aims to assist businesses in need of assistance with monthly lease payments due to COVID 19; applicants do not have to be delinquent on their lease payment(s) to apply for this program. The NJRA will also assist applicants, delinquent as of March 1, 2020.
While most businesses will be eligible, the following are excluded: gambling and gaming activities, the conduct or purveyance of “adult” (i.e., pornographic, lewd, prurient, obscene or otherwise similarly disreputable) activities, services, products or materials (including nude, or semi-nude performances or the sale of sexual aids or devices); any auction or bankruptcy or fire or “lost-our-lease” or “going-out-of-business” or similar sales; sales by transient merchants, Christmas tree sales or other outdoor storage; any activity constituting a nuisance; or any illegal purposes. Tattoo shops, vaping and marijuana dispensaries and any business involved in selling alcohol are also ineligible.
Applicants must provide the following to be considered for the program:
Under the terms of the grant agreement, both the tenant and landlord are required to sign a commitment that once NJRA releases funds and “payment” is received for the lease obligations, the landlord must certify the tenant will not be displaced during this period of recovery (that is, for the time period for which the grant paid the lease obligations). Additionally, the landlord must agree not to seek any remedies against the tenant for not paying the lease obligations that were paid by the grant. In the event the landlord displaces tenant after receipt of the lease payment, the Landlord will be responsible for reimbursing the NJRA for the total amount of the grant awarded.
The application portal opened August 10, 2020 at 9:00 am. Applications will be handled on a first-come, first-served basis. According to the NJRA, “the volume of applications anticipated during this period is expected to reach numbers that may result in additional review of applications to determine eligibility.” Accordingly, time is of the essence for small businesses seeking to apply for a grant.
If you have any questions or if you would like to discuss the matter further, please contact me, Ashley Brinn, or the Scarinci Hollenbeck attorney with whom you work, 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.
Since his inauguration two months ago, Donald Trump’s administration and the Congress it controls have indicated important upcoming policy changes. These changes will impact financial services policies and priorities. The changes will particularly affect cryptocurrency, as well as banking rules and regulations. Key Regulatory Changes in Cryptocurrency For example, in the burgeoning cryptocurrency business environment, […]
Author: Dan Brecher
The retail sector has experienced a wave of bankruptcy filings over the last year. Brick-and-mortar businesses in financial distress include big-name brands like Big Lots, Party City, The Container Store, and Vitamin Shoppe. When large retailers seek bankruptcy protection, they are not the only businesses impacted. Landlords can be particularly hard hit. While commercial landlords […]
Author: Brian D. Spector
The bankruptcy legal landscape presents both challenges and opportunities for businesses navigating financial distress. Understanding current bankruptcy trends can help businesses make more informed and strategic decisions. Corporate Bankruptcy Filings Trending Upwards Bankruptcy filings continued to trend upwards in 2024. According to statistics released by the Administrative Office of the U.S. Courts, personal and business […]
Author: Brian D. Spector
In December, the U.S. Securities and Exchange Commission (SEC) announced charges against two privately held companies for failing to file a Form D notice, which is generally utilized for exempt securities offerings. Here, the SEC’s enforcement sends a strong message: compliance with regulatory requirements is not optional and failure to comply can have significant consequences. […]
Author: Kenneth C. Oh
On February 14, 2025, the Office of General Counsel (OGC) of the National Labor Relations Board (NLRB) under Acting General Counsel William B. Cowen issued Memorandum 25-05, “New Process for More Efficient, Effective, Accessible and Transparent Case handling.” The Memorandum rescinds nearly all of the Memoranda issued by his direct predecessor, Jennifer Abruzzo, setting the […]
Author: Matthew F. Mimnaugh
If you purchase real property from a foreign person or entity, you may be required to withhold taxes from your payment to the seller under the Foreign Investment in Real Property Tax Act (FIRPTA). The federal tax law is designed to ensure that foreign sellers pay any applicable capital gains tax on profits realized from […]
Author: Jesse M. Dimitro
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!