A new pilot program that will provide grants to facilitate future redevelopment projects was announced Thursday by the New Jersey Economic Development Authority.
The $24 million Local Property Acquisition Grant Program will provide grant funding to municipalities, municipal entities, counties, county entities and/or not-for-profit local economic and community development entities for the acquisition of property in order to facilitate and enable the property’s future redevelopment as a part of local economic development priorities.
Funded from $70 million established for real estate project funding in the Fiscal Year 2023 Appropriations Act, the act allocates significant funding for strategic economic development investments to support key industries, advance the innovation economy, continue to bolster economic recovery following the COVID-19 pandemic and spur statewide growth.
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Of the $24 million in funding available, approximately $3 million will support acquisitions for strategic public use projects, including public plazas, parks and walkways, and the remainder of program funding will support acquisitions for future development projects, including commercial or mixed-use developments and research or laboratory spaces.
“The redevelopment of vacant or underutilized properties is essential to enhancing the economic future of New Jersey’s communities and will provide much-needed jobs to local residents and tax revenue to municipalities,” NJEDA CEO Tim Sullivan said. “The Local Property Acquisition Grant Program will support local economic development strategies across the state by turning unused real estate assets into thriving commercial properties and community gathering places.”
Maximum grant thresholds are $1 million for strategic public use developments and $4 million for future development projects. The minimum grant request for each product is $50,000. Grant funding for the program will be subject to a competitive application process expected to open in early 2024. After eligibility review and scoring, recommended applications will be sent to the NJEDA board for final approval.
For more information on the program, including application requirements, scoring parameters, and a full list of eligible projects, click here.