The city received a $100,000 grant from the New Jersey Economic Development Authority to examine its zoning codes and regulations in eight federally designated opportunity zones to attract developers and investors.
Funds will also allow the city to produce a user-friendly catalogue of zoning codes and regulations. It will also boost efforts to revise old redevelopment with the opportunity zone program in mind.
“We are elated that Paterson is being acknowledged for boundless opportunities available in this great city,” said mayor Andre Sayegh. “We are thankful to the New Jersey Economic Development Authority for elevating our strategy to examine and catalogue street-level zoning codes, as well as update redevelopment plans, to better attract investors to our opportunity zones.”
Paterson wasn’t alone in getting a grant award. Jersey City, Hackensack, Flemington, and Cumberland County were other entities to receive $100,000 each. Each entered a challenge with a plan to win the grant funds.
“The five plans that will receive funding through this round of the Challenge represent the kind of proactive thinking we need to not only address the challenges we face today but also to lay the groundwork for long-term, sustainable economic growth,” Tim Sullivan, chief executive officer for the EDA, said.
Eight census tracts in Paterson were designated as opportunity zones last year by the U.S. Treasury to incentivize private investments into badly distressed parts of the city. Investors receive preferential tax treatment through temporary capital gains deferral, reduction in tax obligations, and tax exemption by investing in these designated zones.
“This grant opportunity is fantastic for the City of Paterson. It allows us to take advantage of this new federal program but to do so in a planned and impactful manner throughout the eight census tracts that we have in the city,” said economic development director Michael Powell.