Glen Cove IDA Approves Garvies Point Tax Abatement Application

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In late July, the real estate development company, Georgica Green Ventures LLC was seeking financial assistance from the City of Glen Cove to help construct affordable housing units at Garvies Point. At the initial hearing, which took place on July 27, many residents made their comments, concerns and complaints regarding the application known to the members of the board. The development company appeared before the IDA for a second time on Aug. 18 to hear the status of their application.

During the July meeting, many residents voiced their frustration with the way finances in the city have been handled in the past. Residents were frustrated with the number of development projects that have been approved in the city in the last few years, and felt that a tax abatement would just be another overburden for the city’s taxpayers.
Members of the IDA board stated during the Aug. 18 meeting that they throughly listened to all of the residents comments, but ultimately decided to approve the application.

“There was a couple of things I wanted to point out that I think are relevant and really does affect this application,” Mayor Timothy Tenke said. “I had asked for a cost analysis to the city, what it would actually cost to grant this application and it was $572 for the tax and mortgage abatement and in return we get workforce housing, which is much needed in Glen Cove. Overall, the benefit to the city in increased sales tax is somewhere around $4,000. What we are getting in return certainly out weighs not doing this.”

“We appreciate the IDA calling a special meeting, we are up against the deadline to file for the state funding that’s required as part of this,” Dan Deegan, an attorney from Forchelli, Deegan, Terrana LLP, said. “Without the IDA’s support, that funding application is not looked at as favorable, so we really needed the IDA’s support to show the state that the local government is behind this project and that enhances it’s chances for success.”
The IDA voted in favor to move forward with the application, Georgica Green had to submit their application to the state by the Aug. 26 deadline.

Georgica Green Ventures plans to begin construction on the Garvies Point workforce housing this December, with final completion by September 2022. The real estate development company is hoping to have the units fully leased and operational by May 2023. The next Glen Cove IDA meeting will take place on Sept. 22 at 6:30 p.m.

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