Gets east west mixed up?? The director of economic development?? Great.
That's tough.. you know.. if you don't say WE you'd never know west was <--- and east ---> on a map... In his defense he most likely went to a public school.
I don't spell check! Sorry... If you include "No offense" in a statement, chances are, your statement is offensive.
Does anyone other than me have an issue with Golub Chairman Neil Golub having a seat on the Board of Directors of the Metroplex while having two of his corporate projects (the Administrative offices at College Square and the warehouse expansion near Dolan Drive) sponsored by the Metroplex (according to their press releases)? This seems to me to be a conflict of interest. Does anyone know if Golub received any taxpayer funding for either of these projects in the form of "facade grants", low interest loans, or discounted purchase of real estate? The Golub Corporation certainly don't need corporate welfare. The company may be a good corporate citizen in providing jobs and donating a portion of their earnings to local charities, but, if indeed, it is accepting tax payer funding for its expansion projects, it would tarnish the image. IMHO
Here is the info on the Golub expansions. It appear as though the corporate headquarter building did not receive Metroplex money. It is owned by Galesi Group, and Golub is leasing it, so it becomes a tax write off for Golub. The warehouses are Metroplex funded, and they intend to apply for a PILOT (payment in lieu of taxes) at a reduced pro-rated schedule that only effects the land tax portion. Oh by the way, he was ranked the 115th largest private company in the country, and does over 3 billion a year in revenue. Do Ya Really Think He Needs Financial Help At Tax Payer Expense???
An aggressive expansion plan by The Golub Corp. will mean more Price Chopper supermarkets, bigger warehouses in Rotterdam and a new corporate headquarters in Schenectady.
The chain, which already has 116 stores in six northeastern states, is considering opening 30 more supermarkets over the next three to four years, according to Golub President and CEO Neil Golub.
Golub didn't identify the locations during a Nov. 15 press conference, but said the growth would come from new construction or acquisition of other stores within the company's existing territory.
Separately, the company will expand its stores in Saratoga Springs and Granville, replace stores in Colonie and Shrewsbury, Mass., and build new stores in four communities: Hamilton and Warwick, N.Y., and Durham and Windsor, Conn. An expansion of the Malta store was recently completed.
The growth will boost the size of a chain that is already ranked as the 115th largest private company in the United States, with $3.01 billion in revenue in 2006, according to a list published Nov. 8 by Forbes.com. Golub Corp. ranked 96th the year before, with the same revenue.
The company, which is celebrating its 75th anniversary this year, employs more than 24,000 people and is the largest private-sector employer in Schenectady County.
Golub and his family own 45 percent of the company; the remainder is owned by employees.
The company needs more storage space to supply the new stores. As a result, it will spend $19 million to build 524,000 square feet of warehouse space on Duanesburg Road in Rotterdam.
To accommodate the additional warehouses, the corporate headquarters will move to a vacant 9.5-acre parcel on Nott Street in Schenectady.
Golub announced the news inside the new GE Theatre at Proctors in downtown Schenectady, drawing applause from the 80 or so city and county officials, company executives and others in the auditorium.
The new six-story, 240,000-square-foot, energy-efficient headquarters will be built on the site of what was the Big 'N Plaza, a dilapidated shopping center that was demolished two years ago.
The site has sat empty since then, awaiting redevelopment in an area dubbed College Park North, across the street from a Union College dormitory (formerly a Ramada Inn).
"This is going to be as 'green' a building as we can make it," Golub said of the design.
The Galesi Group in Rotterdam, a large commercial real estate developer that now owns the property, will finance construction of the new headquarters and lease the building to the Golub Corp. for 30 years.
The land has contaminated soil that will be cleaned up prior to the start of construction, with the help of state and federal brownfields programs, said David Buicko, chief operating officer of The Galesi Group. The Schenectady Metroplex Development Authority is not providing any grants or loans, Buicko said.
Construction of the $22 million headquarters is expected to start in September 2008 and will be finished by October 2009.
About 750 people will work in the building, slightly more than are at the existing headquarters in Rotterdam because of the company's projected growth, said Mona Golub, company spokeswoman.
Neil Golub estimated 850 to 1,000 people--including employees, vendors and others--would visit the new headquarters in Schenectady daily, a surge of activity in an area not far from downtown.
The size of the new headquarters in Schenectady and the 800-space parking lot will take up all of the available room on the parcel, Neil Golub said.
As a result, he said the Capital District YMCA--which previously said it would build a new branch at College Park North--is considering an alternate location one block north, across Peek Street.
The fundraising campaign for the new YMCA has taken longer than expected. According to Mayor Brian Stratton, the YMCA has raised half of the $10 million needed to build the new headquarters.
Construction of the new warehouses in Rotterdam is expected to be finished within five years and will boost employment there by about 300, to between 1,100 and 1,200.
Avon, you need to look into PILOT programs a little more, the land is not the only thing that is looked at, any of the new construction can be part of that also. They are not bad programs though, as the new improvements will generate substantial tax base that the vacant land does not. If I am not misaken, they would pay 50% of the full taxes in year one, with 5% increasees each year for ten years. Also as with any commercial construction, no impact on schools, no stundent live in industrial buildings, so the school benefits from money without adding students or staff due to the project. As for this project, it is has good and bad, hopefully what ever the final descision it will be good for the town.
If the assest value of these new imrovements is $15,000,000 and the school tax would be $360,000 on that building, year one the school gets $180,000? Not sure of the exact tax rate, but as an example, you think the school would like that $180k, with at least 5% additional......IMHO....yes they would
Yes, Avon look into the PILOT/Metrograft connection. Golub Corp is NOT paying full assessed value for the new HQ. This is a typical Metrograft move that no one seems to understand. They will pay a much lower Payment In Lieu of Taxes than they would have under record property taxes. Nobody willingly pays the full tax burden.
Also this was not vacant land. A Hess station was on that corner for decades. They did not get any PILOT and generated hundreds of thousands in sales tax revenue every year. The Hess station brought in more taxes than this ever will. Yes, it looks better but....
Now the YMCA is looking across Peek Street? LOL! What happened to Center City? Will they move the housing from lower State to Peek St? And what about The Big House/Beauty School? When is that opening-if ever?
Avon, you need to look into PILOT programs a little more, the land is not the only thing that is looked at, any of the new construction can be part of that also. They are not bad programs though, as the new improvements will generate substantial tax base that the vacant land does not. If I am not misaken, they would pay 50% of the full taxes in year one, with 5% increasees each year for ten years. Also as with any commercial construction, no impact on schools, no stundent live in industrial buildings, so the school benefits from money without adding students or staff due to the project. As for this project, it is has good and bad, hopefully what ever the final descision it will be good for the town.
If the assest value of these new imrovements is $15,000,000 and the school tax would be $360,000 on that building, year one the school gets $180,000? Not sure of the exact tax rate, but as an example, you think the school would like that $180k, with at least 5% additional......IMHO....yes they would
Rotterdam IDA http://www.rotterdamida.org/main/forms.htm
"Upon completion of the project, the PILOT shall be computed by annually taking the mill levy rate for each jurisdiction (County, Town and School District ) and multiplying it against a percentage of the assessed valuation as follows:"
Depending on the project, the tax liability is scaled. For Warehousing, the first year is at a 40% rate, and goes up each year in 5% increments. My point is that if the revenue is so "desperately" needed, why would a PILOT be entertained at all for a company ranked 115th for private companies in the U.S., and doing over 3 billion a year in revenue? The disparity between Rotterdam tax payer affluence vs. Corporate affluence for this project is mind boggling! You have the right concept but your numbers are off a little, it's 40% tax the first year and 5% each year for 13 yrs. It amounts to a 390% full credit over the 13 years. VERY GENEROUS!
And then when the PILOT expires, you often see the company move out and secure another PILOT in another municipality. What will Golub's needs be in 13 years when the PILOT is up and there is no where for him to expand to after he has built out? Bye Bye most likely, IMHO.
Yes, Avon look into the PILOT/Metrograft connection. Golub Corp is NOT paying full assessed value for the new HQ. This is a typical Metrograft move that no one seems to understand. They will pay a much lower Payment In Lieu of Taxes than they would have under record property taxes. Nobody willingly pays the full tax burden.
Also this was not vacant land. A Hess station was on that corner for decades. They did not get any PILOT and generated hundreds of thousands in sales tax revenue every year. The Hess station brought in more taxes than this ever will. Yes, it looks better but....
Now the YMCA is looking across Peek Street? LOL! What happened to Center City? Will they move the housing from lower State to Peek St? And what about The Big House/Beauty School? When is that opening-if ever?
The YMCA indeed got a bit of a raw deel on the Golub headquarters. But to the tax base issue, the deel is now done, the building is going up, again not commenting on the process, but the end result. That project would have been great for Rotterdam, but to late to argue that. The end result tax base for Schenectady (County also), which Rotterdam residence pay taxes to is much more then the couple pumps at the old Hess Station. Lets not forget the amount the taxes of the property have increases, I don't have the numbers but it would be interesting to see how much the vacant land of the old strip mall and the Hess paid vs. the new tax base (even if at 50% to start, under a PILOT) is. I would guess the new tax payments will be WAY higher then the maybe $150k in sales tax from the Hess station. The numbers will show and unfortunately the residence of Rotterdam missed on that tax base......Let this lost project for Rotterdam be a lesson, that smart commercial development in the Town can help the tax rate for residence
What lesson? This hurts both the town and County. They move from taxes in Rotterdam to a PILOT in the City. The minor benefit is to the City only. Yes, the employees will buy nearby-this hurts Roman Villa and many other town eateries and gas stations. Because they have failed miserably in bringing any new Corporations into the County they shuffle existing ones within the County. Don't confuse movement with progress.
Great county economic development? Move businesses from Rotterdam to the City with taxpayer handouts that generate no new jobs. Then you wonder why sales tax revenue is tanking and unemployment booming?
Here's my question and concern...........Railex and the Golub Freezer comes to Rotterdam. How much did it save the taxpayers? Why are the taxpayers still screaming that their taxes are too high?
With all of the new development in the city, why are those people screaming that their taxes are too high?
I thought that the Metroplex and new development were going to 'decrease taxes'! Why after a decade are our taxes continuing to rise and there are no new jobs to 'really' speak of?
Why would the residents of rotterdam even consider any new development? There clearly is no proof in their tax bills that it is helping!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
Here's my question and concern...........Railex and the Golub Freezer comes to Rotterdam. How much did it save the taxpayers? Why are the taxpayers still screaming that their taxes are too high?
With all of the new development in the city, why are those people screaming that their taxes are too high?
I thought that the Metroplex and new development were going to 'decrease taxes'! Why after a decade are our taxes continuing to rise and there are no new jobs to 'really' speak of?
Why would the residents of rotterdam even consider any new development? There clearly is no proof in their tax bills that it is helping!
You are a pretty smart person, you already know the answer. This is all the Fairy Tale, that your taxes will get reduced. All that happens is that government gets bigger with the "extra tax revenue". People want to believe that their taxes will go down, it doesn't happen, so they look for even more development. Unless you get a committment from government that the taxes will be applied towards reductions, then it's business as usual. Needless to say, this has not proven to be the answer. The answer is a politician that delivers on this promise. Anybody know any?
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Why after a decade are our taxes continuing to rise and there are no new jobs to 'really' speak of?
