The executive director of the Nassau County Industrial Development Agency said last week that the decision of Kim & Bae Trading Corp. to move from New Jersey to Port Washington provides proof that companies located in the tri-state area will move to Nassau County “given appropriate economic relief packages.”
“The IDA is thrilled to be able to introduce K&B Trading to Nassau County,” Joseph Kearney said. “[It is] significant for the economic health and well being of [the county.]”
The IDA approved a tax break package for K&B, a hat company with operations in New York City and New Jersey, to purchase and renovate a 33,000-square-foot industrial building at 45 Seaview Blvd. in Port Washington, said Alan Wax, a spokesman for the IDA.
The package includes a 15-year payment-in-lieu-of-taxes agreement for discounted property tax payments totaling $2,573,904, the IDA said.
K&B is paying a fixed rate on the PILOT for the first three years of the agreement and the rate will increase by 1.56 percent per year for the following 12 years, Wax said.
Additionally, K&B can claim up to $48,875 in mortgage recording tax exemptions and up to $10,725 in sales tax exemptions from the IDA.
The $4.8 million project will produce more than $25 million in economic benefits over the duration of the compact and produce a net tax benefit of $195,736, Wax said.
Wax said the project will also create 20 new jobs in the county with an average salary of $35,000 per year without benefits, as well as 10 full-time-equivalent construction jobs during a six-month renovation of the industrial building.
Matthew Lamstein, who represents K&B’s owners Chul Soo Kim and Sung Min Bae in the transaction, said his clients felt Port Washington was a good location for their business because it allowed them to consolidate their distribution, as well as their warehouse under one roof.
K&B imports and distributes fitted caps, beanies and other hats across the United States, Wax said.
“My economic development team continues to attract new employers and their jobs to Nassau County,” said County Executive Ed Mangano. “I welcome K&B Trading to Port Washington and wish them much success in growing the company.”