Freeholders Unanimously Back LG Project

HACKENSACK, NJ-The Bergen County Board of Freeholders unanimously adopted a resolution Tuesday evening supporting the proposed LG Electronics' new headquarters project in Englewood Cliffs.

A mostly pro-LG contingent packed the public hearing here. The Board adopted the resolution after more than two hours of public comment both for and against the project. Preservationists argued that the headquarters is too large and will obstruct views of the Palisades. Supporters of the $300-million project cited the needed jobs the new headquarters will bring to Bergen County.

"The support of the Bergen County Freeholders underscores the significant impact of the LG project on our county and our state," stated I.D. Kim, the LG Electronics USA vice president overseeing the project in a press release. "This project will create and retain thousands of jobs in Bergen County, and it's expected to be the largest LEED Platinum project in the state."

“There's no reason we should be at a meeting like this,” said Arlene Post of Englewood Cliffs. “There should be a compromise. LG should be a good corporate neighbor. It's up to them.”

A few hours before the meeting, the results of study commissioned by Bergen County, calculated that LG Electronics' new North American headquarters project would generate than $500 million in direct, indirect and induced revenues to the State of New Jersey, the region, the county and the Borough of Englewood Cliffs over a 20-year period.

“This analysis affirms that the LG headquarters project will be a boon for Bergen County, both in the near- and long-term,” states Bergen County Executive Kathleen A. Donovan. “The State of New Jersey and Bergen County need jobs, and this project will not only bring jobs, but it will help drive a strong local tax base and spur economic activity for years to come.”

The analysis estimates that the LG project will create and retain over 1,100 direct permanent jobs and create more than 2,200 direct construction jobs. Once fully phased-in by 2020, the project would generate an annual benefit of approximately $26 million in direct, indirect and induced recurring revenues. The cumulative benefit of these ongoing revenues to New Jersey over 20 years, assuming 3% annual inflation, is projected to be $538 million, which equates to a present day value of more than $287 million.

In addition, the study shows that the construction of LG's new headquarters will also generate an estimated $25 million in one-time direct, indirect and induced revenues. See story in The Record.