The Niagara County Industrial Development Agency board has adjusted its tax incentives for Amazon and granted around $1.8 million toward projects in Lockport and North Tonawanda.
Amazon’s $587.5 million yet-to-open fulfillment center on Lockport Road had its $123.4 million in various incentives change with the addition of $3 million in sales tax benefits and the elimination of $3.5 million in mortgage recording tax exemptions. The benefits now stand at around $94 million in property tax exemptions and $29 million in sales tax exemptions.
Amazon officials have previously said the changes are due to an increase in material handling equipment systems and design updates, causing a $37.5 million price tag increase.
In other business, Savarino Companies received around $1.3 million in incentives for its redevelopment of Lockport’s F&M building into new retail space and 16 market-rate apartments. The amount is made up of $994,964 in property tax exemptions, $347,758 in sales tax exemptions, and $23,656 in mortgage recording tax exemptions.
In addition, the neighboring 120 Main St. would have 31,800 square feet divided into three sections for commercial use; 10,000 square feet facing Frontier Place would have 22 off-street parking spaces for F&M building tenants, and another 1,632 square feet for mechanics and building utilities.
The Savarino’s request includes a 15-year PILOT instead of a standard 10-year PILOT, so it would give the whole property time to stabilize and get the commercial tenants needed to make this viable.
Its IDA application states the $12.6 million redevelopment would create five full-time equivalent jobs in management, administrative, and maintenance work, with salaries ranging from $25,000 to $45,000.
This has already received $5.57 million in public funding, which includes a $2 million Restore NY grant, $1.35 million each from Lockport’s Downtown Revitalization Initiative grant and state historic tax credits, and $862,731 in federal historic tax credits. Other funding includes $3.15 million in bank financing, $2.9 million in equity, and $500,000 each from the county’s Revolving Loan Fund grant program for brownfield cleanup and a deferred developer fee.
Techniglass, a North Tonawanda-based manufacturer of glassmaking equipment, received $532,265 in incentives as it looks to build new spaces for manufacturing and holding business incubators. The amount comes from $418,665 in property tax exemptions and $113,600 in sales tax exemptions.
The company’s $2.775 million project would build two new 12,000-square-foot incubator buildings across the street from its Thompson Street location before eventually moving into a 20,000-square-foot space at the business park on Oliver Street.
It plans to create 13 new full-time production jobs within three years, with an average annual salary of $37,700, and eventually expand from nine to 25 employees.
There were no public comments at any of the public hearings held for the projects during a meeting last week.