| Company | Bloomberg |
| Date Announced | 5/8/2000 |
| Site | 59th Street and Lexington Avenue |
| Total Subsidy | $14 million |
|
$8.4 million |
| Promised Job Creation | 2,300 |
| Promised Job Retention | 1,700 |
| Length of Contract | 20 years |
| Competing Sites | none |
| Conditions | 60% of the incentives are contingent on increasing workforce to 4,000 over next 20 years. |
| Notes |
Shortly after winning the mayoral election in November 2001, Michael
Bloomberg, founder and head of Bloomberg, L.P., sent a letter to the IDA
turning down this subsidy package. The move was regarded as an
acknowledgement that taking the money could create conflict-of-interest
problems for his new administration. Mr. Bloomberg had in the past been
critical of subsidy deals, despite negotiating one for his company. In
turning down the package, he told The New York Times: "Any
company that makes a decision as to where they are going to be based on
the tax rate is a company that won't be
around very long... If you're down to that incremental margin, you don't
have a business." (NYT 11/8/01)
-------------------------------------- The Giuliani administration granted the financial news firm Bloomberg $14 million in incentives to facilitate its move into a new headquarters on the site of the former Alexander's department store at 59th & Lexington. As of September 2000, the planned building is a 75-story, 1.3 million square-foot skyscraper slated to include expensive retail stores, a five-star hotel and 200 "superluxury" condominiums with a projected price of $6 million for a 3,000 square-foot apartment. |
| Corporate Notes | |
| Critics | |
| A
note on sources -- or why many of these profiles appear incomplete.
They are. Good Jobs New York compiled the numbers in these profiles from
press releases and news accounts of the deals. Unfortunately, more
detailed information on these subsidies is very difficult to obtain --
even though it should be readily available to the public. In many cases,
neither the company nor the city nor state released certain information,
particularly the terms of the agreement, i.e., the conditions which the
company had to meet in order to receive the subsidy. It should also be
noted that the value of the subsidy may not end up being equal to the
value estimated at the time of the agreement. And it should not be assumed
that the actual number of jobs retained and created will be the same as
the numbers predicted.
Because the public deserves easy access to information about how taxpayer dollars are being spent, Good Jobs New York will update these profiles as we uncover more information. Good Jobs New York - May 25, 2001 |
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