by Jeffrey Campbell, Peak Environmental, A Nova Group GBC Company
The New Jersey Economic Development Authority (NJEDA) kicked off the Brownfield Redevelopment Incentive Program (BRIP) in 2023 to provide funding to support redevelopment of under-utilized real estate in New Jersey. In May 2024 the program issued its first funding approval for a project in Elmwood Park, in Bergen County, New Jersey. The award was acknowledged as a great start for the BRIP by NJEDA CEO @Tim Sullivan, NJDEP Commish @Shawn LaTourette, and Bergen County Executive @Jim Tedesco. Also in attendance, @Mayor Robert Colletti confirmed the positive economic impact that the redevelopment will bring.
The Program will award up to $50M per year to fund project tasks from assessment through remediation, including demolition costs. BRIP funds can be stacked with other EDA programs, and the credit is transferable. Eligibility is very broad. The applicant does not need to own the property, but also cannot take title until a Redevelopment Agreement is signed. Successful applicants receive a one-time tax credit issued the year the remediation is complete. Similar to typical real estate projects, interested real estate developers should assemble a team of professionals to guide them through the application process.
The Elmwood Park project was supported by BCONE member companies Chiesa Shahinian & Giantomasi PC (“CSG Law”) and Peak Environmental, A Nova Group, GBC Company (Peak Environmental). CSG Law managed the application through eligibility requirements, environmental liability issues, financial aspects, developer qualifications, and environmental costs and planning. Peak provided due diligence services and conducted site characterization tasks necessary to complete a remediation cost estimate and schedule. Peak Environmental confirmed discharges occurred, provided an LSRP to oversee the project, evaluated possible off-site migration of contaminants, identified building material risks, and developed reasonable remediation costs. With the funding phase of the project complete, CSG and Peak Environmental will work with the developer to complete a remedial investigation, select a final remediation strategy, comply with green remediation requirements, obtain permits needed, and execute the remedial action.
About the Author:
Link to NJEDA BRIP page https://www.njeda.gov/brownfield-redevelopment-incentive/
Link to CSG Blog https://www.csglaw.com/newsroom/csg-law-alert-csg-client-obtains-first-approval-under-the-brownfield-redevelopment-incentive-program/
Link to Peak Blog https://peak-environmental.com/2024/06/12/peak-environmental-supports-first-brip-financing-approval/
