BRENTWOOD, NY—Score one for Long Island industrial and for incentives. The sector's biggest leasing deal locally has been signed at 50 Emjay Blvd. here, thanks in part to an economic benefits package from the Town of Islip Industrial Development Agency.
ELM Global Logistics has committed to a 15-year renewal of its lease for 542,000 square feet on 30.5 acres at 50 Emjay, which it has occupied since 1981. The company considered moving its base of operations to New Jersey, where it operates a 200,000-square-foot warehouse in the Philadelphia suburb of Burlington.
The Islip IDA on June 4 approved a PILOT (payment in lieu of taxes) program and $13,800 in sales-tax exemptions for landlord Brentwood Steel LLC and ELM. Bill Conboy, president of the privately held ELM, says Richard Cohen, president of brokerage Ashlind Properties, guided ELM in its approach to the Islip IDA for economic assistance. “I'm grateful we did it. It makes a lot of sense,” he said.
Conboy adds that a move to the Garden State could have resulted in lower costs for his customers at a time when the number of companies with large shipping requirements on Long Island is on the wane. The IDA incentives, he says, “enabled us to balance that out.”
For his part, Cohen says the renewal “allows one of Long Island's largest industrial property users to remain and support the local economy. It could not have happened without the help of the Islip IDA and the cooperation of the landlord.”
An affiliate of Bethpage, NY-based Steel Equities, Brentwood Steel has owned the building since 2006 and was self-represented in the lease renewal by Joseph Lostrito. The property was formerly a Hills Supermarket warehouse.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.