NJ Towns Using State Law to Revitalize the Local Economy
Many towns in South Jersey are using New Jersey's Housing and Redevelopment Law to designate areas for redevelopment that will attract businesses and jobs.
Galloway Mayor Tony Coppola says under this law the state recognizes two economic initiatives that a municipality can enact.
One is renewal to rehabilitate properties in that area — flipping homes, for example. Profits from flipping real estate come from either buying low and selling high, often in a rapidly rising market, or buying a house that needs repair and fixing it up before reselling it for a profit.
Towns can also designate an area in need of redevelopment to attract businesses and jobs.
"Manufacturing jobs are really the holy grail of economic development," he said.
"Studies have shown that for every one manufacturing job that is created, another three ancillary jobs are created to support the industry — food service, shipping and receiving, transportation and trash removal. Those types of jobs are created by manufacturing jobs. Manufacturing jobs are what we are all looking for."
According to Coppola, "the incentives are a little bit higher with the redevelopment designation than they are the rehabilitation designation."
Low interest rates and a favorable business climate allow towns to take advantage of the law to give certain areas an economic boost.
Joe Cutter is the afternoon news anchor on New Jersey 101.5