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Developer Requests Tax Deferment For New Commercial Project

August 9, 2018

NorthPoint Development, the company that helped bring chewy.com to Luzerne County, is seeking a tax deferment for a proposed third commercial project in the South Valley region. The company has already developed a three-building commercial complex in Hanover Twp. that includes the 800,000-square-foot chewy.com fulfillment center, as well as warehouse buildings that will soon house athletic apparel giants Adidas and Patagonia Inc. It also is developing a 330-acre tract that stretches from Hanover Twp. into Nanticoke, on which it plans to build three large commercial warehouses. Now NorthPoint plans to purchase a 150-acre tract in Hanover Twp. between the Sans Souci Parkway and South Main Street, on which it hopes to build three more commercial warehouses, according to Brent Miles, NorthPoint’s vice president for economic development. Part of the tract is mine-scarred land owned by Earth Conservancy, Miles said. The Luzerne County Industrial Development Authority also owns part of the parcel. NorthPoint has requested that Hanover Twp., Hanover Area School District and Luzerne County — the three relevant taxing bodies — defer tax revenue for 10 years on the buildings the company plans to construct. The tax deferment, through the state Local Economic Revitalization Tax Assistance program, or LERTA, would apply only to new construction and not to land or existing structures. The township, school district and county approved similar LERTA deferments for NorthPoint’s first two projects. The company has requested 100 percent tax abatement for the first seven years, with 90 percent abatement in year eight, 80 percent abatement in year nine and 70 percent abatement in year 10, Miles said Wednesday. The Hanover Area School Board approved the requested tax deferment this week. Hanover Twp. commissioners on Monday will hold a public hearing on an ordinance that would authorize the deferment, according to township Manager Sam Guesto. Luzerne County Council could discuss the request at its next meeting, on Tuesday. NorthPoint is confident it will find tenants for all of its planned structures, Miles said. The company has developed an excellent working relationship with officials at all levels of government and business in Luzerne County, Miles said. “We’ve had great political support,” he said. “I know that isn’t easy when you talk about tax abatement. ... A lot of people have been huge advocates of us.” According to the company’s website, NorthPoint Development is “one of the most active development firms in the country.” It is based in Kansas City, Missouri. Contact the writer: emark@citizensvoice.com 570-821-2117

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