Jericho Plaza hotel wins 22 years of IDA tax breaks
A hotel and conference center proposed for parking in Jericho has won 22 years of Nassau County tax breaks.
The 113,800-square-foot Jericho Plaza hotel does not yet have a name but will be part of Hilton’s Curio collection, real estate developer Paul Amoruso told Newsday.
Curio consists of over 120 full-service hotels in 27 countries and territories, including upscale Martinique and Renwick in Manhattan, the St. Louis Union Station hotel in St. Louis, and The Reach resort in Key West. .
“It will be a boutique hotel with its own personal touch,” said Amoruso, who has been opening hotels on Long Island for decades. “There will be a restaurant, a gym, a spa, a concierge, rooftop lounge and other amenities. “
The $ 56 million project got tax breaks last month from the county’s Industrial Development Agency. The property tax savings will be over 22 years, two more than what the developer requested in a request for assistance filed in October.
Even with the tax break, the hotel will pay $ 5.7 million more in property taxes over the period than if the land remained a parking lot, according to an economic development analysis conducted by research firm Camoin Associates and paid for by IDA.
Amoruso said last week that the 180-room hotel will accommodate business executives on weekdays and tourists and families on weekends.
“We try to appeal to the traveler who in the past was unhappy with the standard of accommodation on Long Island and chose to return to town to stay at the W hotel, the Four Seasons or another hotel in modern luxury, ”he said.
There is no target opening date yet. “The completion date is subject to funding,” Amoruso said.
Amoruso, together with the owner of the Jericho Plaza office complex, owns 70% of the project. The four-story hotel will be built on six acres of asphalt adjacent to the two office buildings, which house the headquarters of 1-800-Flowers.com, Morgan Stanley, UBS and two major accounting firms, among others.
In addition to property tax breaks, the IDA has granted a sales tax exemption of up to $ 2.6 million on the purchase of building materials and supplies and up to $ 294,000 on registration tax. mortgage.
The agency agreed at the end of 2019 to negotiate an aid plan, but Amoruso said the coronavirus forced changes in the project, such as less public space on the hotel’s first floor.
In exchange for IDA’s assistance, Amoruso and its partners pledged to create 52 jobs over three years. Thirty-nine of the positions are in maintenance, housekeeping and food service, with an annual salary of $ 36,000 to $ 38,000, depending on IDA’s request.
About 35 unionized construction workers attended the IDA meeting last month, but left after Amoruso assured them and the IDA board that the unionized contractors would be in. able to bid for project work.
IDA President Richard Kessel said at the time: “We want to [union construction workers] on each job as much as possible. This is one of our highest priorities as an agency. “
Separately, Amoruso and another developer recently began building a Hilton Hampton Inn & Suites on the site of a former golf driving range in East Farmingdale. The 101-room hotel has benefited from 20 years of property tax savings from the Babylon Town IDA, according to IDA records.