Corrections or additions?
These articles by Bart Jackson and Kathleen McGinn Spring were prepared for the June 12, 2002 edition of
U.S. 1 Newspaper. All rights reserved.
Trenton Builds An Investor’s Dream
When did your leasing agent last offer to lower your
rent by $20,000? When did your client last hasten to adjust his needs
to your schedule and capacity? When were you absolutely guaranteed
incremental payment that arrived on time? Well, everyone from real
estate brokers to construction folk to retail and wholesale firms
of all sizes get ready. The city of Trenton is offering all these
in a massive, many-million-dollar rejuvenation sweep.
Individuals and businesses seeking a piece of this action will want
to attend "Business Opportunities in the New Trenton" on Wednesday,
June 19, at 7:30 a.m. the Nassau Club, sponsored by the Princeton
Chamber of Commerce. Cost: $24. Call 609-520-1776. Mercer County Executive
reconstruction, along with the benefits for building, investment,
and business relocation.
"The goal here is to recreate neighborhoods," says Prunetti,
"to embellish, without dispossessing. Over the next three years,
it will create one of the most meaningful changes the city has seen."
Prunetti knows about Trenton and change. Born and raised in the city,
he graduated from Trenton High and then from Trenton State, now the
College of New Jersey. Living now in Ewing, he has spent the last
seven years as Mercer’s top administrator.
Forty-one million dollars will go just for the construction of expanded
parking facilities in four different locales. The over 2,000-car capacity
will help clear the streets, laid out well before the invention of
the automobile, and afford access to the new light rail systems in
the city. In each of the four cases, the parking facilities are only
vertically expanding existent parking areas. New residences, restaurants,
businesses, and office spaces will be built in front of them and around
them. Also, old residences will be refurbished by individual contractors.
Planned neighborhoods will be rebuilt with a mix of residential and
Targeted areas include:
block away from the city sports arena where a new restaurant row is
planned in front of an expanded parking facility. Keating Construction
intends to break ground on the multi-story garage project this winter.
site, across from Route 129, has been cleaned up. The new parking
facility here will serve the adjacent light rail shelter. In addition,
office space, commercial, and retail frontage is planned.
of Apex Lumber, this area is slated to become a blended complex of
residences, retail stores and office space. An innovative parking
structure, as yet to be determined, will support the nearby light
Market and Kids’ Bridge Museum, along with the upcoming Invention
Factory and a new school, are expected to transform this refurbished
neighborhood into a city-wide education center.
"Opportunities, particularly for local firms, absolutely abound,"
(MCIA). Dixon, a man whose Rutgers Ph.D. in urban planning launched
him into a 20-year career of improving Central Jersey life, has melded
a multitude of programs to provide avenues for investors and participants:
any firm planning to build or locate within the above areas, which
are designated as urban enterprise zones. Within these zones, retail
shops charge only three percent sales tax, rather than the normal
six percent, on all goods. No sales tax is paid on any material used
in building or refurbishing your office and shop. A host of state
and county low and no-interest startup loans are available.
receive the benefit of the Home-ownership and Neighborhood Development
Program (HAND.) Incentives include a $20,000 forgivable loan for current
residents and for newcomers seeking to refurbish. For a property valued
at $80,000, HAND offers either the buyer — whether it is an individual
or a construction firm — a low-interest $60,000 mortgage with
the remaining $20,000 provided a a grant. The note for the $20,000
does not fall due until a profitable sale is made. MCIA will link
homeowners with groups of contractors to handle refurbishing tasks.
residences or vacant properties have a good chance of seeing their
properties increase in value. MCIA will aid in redevelopment by linking
investors with contractors of equal means and capacity. Brokers can
receive a full, detailed list of available properties and new structures.
by Mercer County to handle most of the major parking facility funds.
Yet backers are still very much sought for all the other construction
from the museums to the sports bars. Dixon and his MCIA stand ready
to facilitate loans, connecting investors with businesses of all sizes.
with profitable participation for all kinds of business. Those interested
may directly contact the Mercer County Improvement Authority at 609-278-8080.
The MCIA has developed a CD detailing the scope and specifics of the
— Bart Jackson
Last year nearly 40 high tech Princeton companies raised
cash by selling their tax losses to other businesses. They successfully
applied to New Jersey’s Technology Business Tax Certificate Transfer
Program, which made $40 million available to 118 businesses.
Maybe your company is eligible to sell its tax credits too. The deadline
to apply is Friday, June 28.
To be eligible, the company must have a new or expanding technology
or biotechnology and have no more than 225 employees. At least 75
percent of the employees must work in New Jersey, and the company
must do a major part of its business in New Jersey. Companies can
keep on applying every year until they reach a lifetime cap of $10
It’s as if a minimum wage earner who pays no income tax could sell
her deductions to someone in a high tax bracket. Technology companies
can take research and development tax credits to offset the nine percent
corporate tax, but young companies are so poor they aren’t paying
Under the law passed four years ago, the young and poor firm can sell
the tax credit to the more profitable firm. The bigger company pays
at least 75 percent of the value of the credit but gets to take 100
percent off its state tax. The small company can use the proceeds
mostly for fixed assets but also for salaries and working capital.
Another potential deduction that can be sold is the one for net operating
loss (NOL). Companies can sell NOL carryforwards and unused research
and development tax credits to other New Jersey corporations for at
least 75 percent of their value.
"Last year, a record 119 companies were approved to share the
$40 million available annually through the program, says
S. Franzini, the New Jersey Economic Development Authority’s executive
director. The NJEDA administers the program in conjunction with the
state taxation division and the Commission on Science and Technology.
Among the major buyers for these credits have been the Bank of New
York, PSE&G, Tiffany and Company, the New York Times Company, BNY
Capital Markets Inc., Comcast Cablevision of New Jersey, and Merrill
Lynch Professional Clearing Corp. Approvals will be made in early
For a detailed guide to EDA programs, "The Power to Help New Jersey
Business Grow," call 609-292-1800 or write to NJEDA, Box 990,
Trenton 08625, or go to
for the Resources/Applications/New Applicants Selling Business Application.
The site also has a clickable map locating EDA projects by county
and a questionnaire that helps companies figure out what programs
might work in their business.
Of last year’s successful applications, nearly 40 are from Central
Jersey. Two have ceased operating (Princeton Teaching Associates Software
Inc. and Ariel Corp., the digital signal processor company). Another
of last year’s recipients, Anthra Pharmaceuticals, is downsizing its
offices at the Carnegie Center. EchoCath, the medical device company,
is down to a handful of people at 4326 Route 1 North.
Last year’s pharmaceutical and biotech sellers included Xechem Inc./Xechem
International, a generic and proprietary drug company on Jersey Avenue
in New Brunswick; Aesgen Inc. on Research Way, Gynetics Inc. on Route
1 in Lawrenceville; Hymedix Inc., the hydrogel/drug delivery
company in Dayton; and Morphochem/Small Molecule Therapeutics at Princeton
Corporate Plaza. Among the other R&D sellers of tax credits:
08512. 609-655-5300. Www.biomira.com
Research and development of immunotherapy products for treating cancer,
formerly OncoTherapeutics Inc., owned by Alberta-based firm.
5308, Princeton 08543-5308. 609-987-8200. Www.cytogen.com
Marketing and development of products for targeted delivery of diagnostic
and therapeutic substances directly to sites of disease.
Drive, Monmouth Junction 08852. 732-329-3407. Www.delsyspharma.com
Privately-held developer of automated drug manufacturing and drug
delivery systems through electrostatic dry powder, with a total of
Box 688, Plainsboro 08536. 609-275-0500. Home page: www.integra-ls.com
Tissue and organ replacements, including artificial skin, cartilage,
and nerve conduits.
08540. 609-452-7060. Www:elan.com
Development of advanced liposomal drugs for the treatment of cancer
and infectious diseases, also at 600 College Road and 4 Corporate
Drive at Exit 8A.
Princeton 08543. 609-750-2200. Www.orchid.com
Production services and technologies of single nucleotide polymorphism
(SNP) scoring and genetic diversity analysis, with 300 employees overall.
Suite 200, Princeton 08540. 609-520-1911. Www.palatin.com
Products for sexual dysfunction and appendicitis detection.
420, New Brunswick 08901. 732-296-8400. Home page: www.senesco.com
Agrobiotechnology — developing gene technology to extend the shelf-life
609-490-1090. Home page: www.blacklightpower.com
Research and development of novel hydrogen chemistry with applications
of novel compounds and alternative power sources.
Cranbury 08512. 609-925-8100. Home page: www.princetonlightwave.com
High performance optical components including high-power pump lasers
and modules for advanced network applications.
Also among the sellers last year were Fullcomm Inc.,
a computer hardware company at the Straube Center; Digital Demographics,
a New-Brunswick-based Internet advertising and marketing firm; Dotphoto.com,
Glenn Paul’s online photo company in Ewing (www.dotphoto.com), and
Panama Tech, an E-commerce company at 5 Independence Way.
Princeton Video Image (PVI), which has innovative software and hardware
for television advertising, also tried to help out its financial situation
by selling the tax credits. Other sales were by Datamark Technologies,
the developer of electronic customer loyalty programs that is now
part of American List Counsel and Impower at the Dow Jones campus;
Knowledge Window Inc., a distance learning software company at Princeton
Service Center; Voxware Inc., voice-based solutions at Franklin Corner
Also Envirogen, the bioremediation company on Quakerbridge Road; i-Stat
Corporation, the diagnostic blood analysis equipment manufacturing
in East Windsor; Ocean Power Technologies on Reed Road; Quantem Corporation,
a thermal sensing and control device company on Lower Ferry Road,
Systech Solutions Inc., maker of automatic inspection systems in Cranbury;
WorldWater Corp., the renewable energy company at Pennington Business
Park: and Laser Energetics Inc., maker of laser processors on Quakerbridge Road.
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