.

Is Amazon Looking to Move Into Woodbridge?

The giant etailer may be making a play for an Avenel warehouse, according to a NJBIZ report.


Is Amazon looking to move into Woodbridge?

The giant online etailer is rumored to be looking into a warehouse in the Avenel section of Woodbridge, according to a report on NJBIZ.com.

KTR Capital Partners announced in January that they were building a $200 million Amazon warehouse in Robbinsville Township, with the facility to open sometime in 2014. The same corporation is said by a source speaking to NJBIZ to have a contract to purchase the old C&S Wholesale Grocers building, located on Blair Road in the Avenel section of the township.

C&S closed their doors

If the deal goes through, the Avenel site, the second in the state, is said to offer hundreds of local jobs. The C&S facility is approximately 500,000 sq. ft., NJBIZ said.

Amazon crafted a deal with Gov. Chris Christie in May of 2012, in which in exchange for the New Jersey warehouses and Economic Development Authority (EDA) tax incentives, Amazon would begin collecting sales tax on purchases made by New Jersey residents.

That will happen sometime in 2013. New Jersey will join 13 other states where sales tax is collected on Amazon purchases.

There was also no word on whether the Amazon location in Woodbridge will be eligible for Payment in Lieu of Taxes (PILOT) arrangements that Mayor John McCormac makes with many businesses.

That means that corporations pay the municipal government a flat rate for a set number of years. The businesses are exempt from paying Board of Education (BOE) taxes for the same time period, by far the largest portion of Woodbridge homeowners property tax bill.

The numerous PILOT programs in Woodbridge means that township taxpayers pay higher BOE taxes so they can make up the tax difference to the BOE.

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Irina February 14, 2013 at 01:38 PM
This PILOT program is a loser for the taxpayers and winner for the corporations. No wonder the property tax rate in Woodbridge is one of the highest in the state. Between municipaL mismanagement and these sweetheart deals.....I want to vomit when I see a Woodbridge tax bills.
stephen mckessy February 14, 2013 at 02:10 PM
Make them pay their fair share in taxes for you know how much money they make? How about this big Mac you make up the difference in the taxes your letting them get away with then for once maybe yes I said maybe I'll agree with you but I doubt that when can we finally get rid of the freeloading mayor already?
Irina February 14, 2013 at 03:17 PM
Think about this Stephen.....How many stores, malls, diners, hotels, restruants, gyms...get this same PILOT deal...Too many to mention. It's the PILOT program that killing you folks. http://www.state.nj.us/treasury/taxation/lpt/taxrate.shtml The Woodbridge property tax is $9.114 per $100.00 accessed value. I provided the link to see what every town in NJ pays. This will shock you. Share this with your friends and neighbors. I'm sure any concerned taxpayer would be interested to see what Mac and crew did to Woodbridge.
slyfox1961 February 14, 2013 at 03:43 PM
@I have spoken: as I have tried to explain to you many times, the assessed value of a home varies tremendously from town to town. Each town used a different method of computing the tax bill based on the assessment. This is not an apples to apples comparison. Learn about your tax bill first, and stop spreading mis-information.
Irina February 14, 2013 at 04:00 PM
@slyfox1961 http://www.state.nj.us/treasury/taxation/lpt/taxrate.shtml I guess the state department of taxation is lying. All I did was post the info. This is NOT misinformation. Why not stop your BS and get with the picture.
slyfox1961 February 14, 2013 at 04:41 PM
@I have spoken: the info presented by the State Tax Dept. is without question accurate. Your interpretation is of that information is not. You are the one who needs to "get with the picture". Learn what you are going to post about so next time you won't look like an a$$.
Teresa February 14, 2013 at 05:35 PM
When will Woodbridge attract jobs that pay an actual living wage? I'm tired of all the hoopla about these $9 to $10 an hour jobs. These jobs aren't helping anyone. You cannot survive in Woodbridge on these wages.
Paul Pelosi February 14, 2013 at 06:09 PM
I don't have a dog in this fight; I don't live in Woodbridge. But I do know that the "tax rate" is only half of the equation for figuring out your tax bill. The other half is the value of your property. So, if a town has a high "tax rate" but undervalues the "value", taxes are nowhere near as bad as when the rate is high and the valuation is also high. That's the point slyfox1961 is trying to make; he's right! By the way, there are loads of municipalities in this state where both the rate and the valuation are high -- they are the ones without companies like Amazon feeding the local economy. As to minimum wage jobs, Teresa, let's face it; is a 6-figure salary research chemist going to want to work in a 500,00 sq. ft. warehouse on Blair Rd. or new facilities near Princeton? Don't be so picky! An infusion of new jobs (including higher-paying management ones, leads to economic growth and will benefit the town. Certainly more than a huge empty warehouse does.
slyfox1961 February 14, 2013 at 06:23 PM
agreed.
slyfox1961 February 14, 2013 at 06:29 PM
@docbear: thank you for seeing my point, as I had tried to explain to him many times before. When you use the multiplier factor to bring all the towns to an equitable value for comparison, Woodbridge provides services far beyond the other surrounding towns for the taxes actually paid to the town. The BOE is another story, but that has no bearing on the town taxes. People do not understand that if we don't attract the warehouse, another town will. If the warehouse comes to Woodbridge, hundreds of workers will be spending money at local businesses for lunch, after work shopping, having their care repaired locally while they are at work, etc.
OFFICIAL BUSINESS February 14, 2013 at 06:40 PM
Woodbridge can only attract Minium wage jobs, like WaWa, Burlington Coat,Alida & warehouse Work. But if your a Corporation you get a very big tax break. Look what happen in Edison with the New York Times, 10 Millon a year in tax breaks for 15 years, Then close the plant after the tax break ends.
slyfox1961 February 14, 2013 at 07:28 PM
@official business: not sure I agree with that statement. Look at all the office buildings off Main Street, Metro Park, Woodbridge Center Drive, and the part of Raritan Center that is in Woodbridge. All those jobs are white collar. There are also plenty of MRI Offices, Doctors, Law Firms, etc., popping up in Woodbridge all the time.
Paul Pelosi February 14, 2013 at 08:09 PM
The amount of higher-than-minimum-wage jobs required to support those minimum wage workers comes with the territory. A growth in the number of skilled professionals (health care, mechanics, first responders, etc.) in the area comes with employment growth, no matter what kind of workers are there.
BobDee February 15, 2013 at 07:32 AM
This is corporate welfare. In lieu of paying taxes, PLUS a sales tax on purchases, how exactly does this benifit the taxpayer? This is taxation without representation.
slyfox1961 February 15, 2013 at 12:53 PM
You have always been required to pay sales tax on purchases via the internet or mail order, just now they will be required to collect it, since no one seems to be honest enough to declare the purchases and pay the tax by "the honor system." As for the PILOT programs, while I am not a fan of them, this is what towns need to do now to attract new businesses, or they will just go where they are offered better deals. Do you really think the towns that offer these programs are doing because they feel generous to the businesses? It is better to have them at reduced taxes than not at all. At least the local businesses benefit with added customers. Even states are wooing businesses from other states with tax offers. Some offer zero tax for a fixed number of years as an incentive, just to get the business to relocate so the local merchants have more customers. When the economy improves, these PILOT programs will disappear everywhere, because they will no longer be needed.
unknownauthor February 15, 2013 at 01:53 PM
@slyfox 1961. You may be right about the Pilot Programs disappearing, when the economy improves. Do you see the economy improving any time soon, especially under Obama? An even if this country gets off the road to socialism Obama has it on, all those Pilot Programs tax breaks last for decades! It the interim, some jobs, mostly low paying and not necessarily local hires, school taxes go up, municipalities and counties (counties don't get money from Pilot Programs, nor do school districts) have more stress and upkeep on infrastructure, which goes to higher taxes and/or worsening infrastrucuter, i.e., roads! Do you think those companies, like XXXX Redevelopment LLC's and the like, contribute to PAC's (Political Action Committees, or might they be consider Politicians Accept Contributions)?
Paul Pelosi February 15, 2013 at 04:04 PM
I grow tired of hearing the term "corporate welfare." US corporations are taxed at one of the highest rates in the world. If it's so welfare-laden, why do US corps. flock to go overseas? One reason, aside from the obvious lower taxes, are the hidden "taxes" of operating a business in the US. US corporations must adhere to stringent environmental laws, bargain collectively, draw from a labor pool older than 10 years of age, pay a minimum wages in excess of $2/hr., etc., etc., etc. None of that is the case in China and other "developing" countries. So let's make sure we all gripe about relatively small corporate tax breaks while at the same time cry the blues about how we're unemployed and our kids are underemployed (if they can find a job at all.)
slyfox1961 February 15, 2013 at 04:07 PM
@Tom Maras: I agree with you about Mr. Obama, although the economy is improving slowly, and the downside of the tax programs for the lack of school taxes. I wouild also add that we need to get rid of the extremists on the right, who are destroying the middle class with their support of big business and Wall Street. I disagree with you about how long the tax programs last. They are all negotiated individually. Some may last only a few years.
Michael John Lance February 15, 2013 at 05:44 PM
We need to dump everyone in the township and find someone to end this big corporation tax relife program. I to get sick of them showing BIG profits every year in the billions and the mayor and his croneys saying look at the jobs its creating! what $7.50 per hour and the big wigs go laughing all the way to the bank includeing all the others we need to get rid of McCormac and all the other counsil members.
Deborah Bell (Editor) February 15, 2013 at 06:29 PM
Yes, dumping millions of BOE taxes on Woodbridge taxpayers can be legitimately characterized as a "downside," particularly since so many people are unaware that this is a contributing factor to the huge cost of BOE taxes. It would seem that for the average Woodbridge taxpayer, an unoccupied warehouse that is paying municipal, county, and BOE taxes is much less painful for taxpayers than one that's occupied and is under a PILOT program. And as for whatever benefits are touted by PILOT programs, I think the poster Official Business had the best anecdote: "Look what happen in Edison with the New York Times, 10 Millon a year in tax breaks for 15 years, Then close the plant after the tax break ends."
gam February 15, 2013 at 06:54 PM
I am assuming that none of these properties are long term leased properties? Amazon is purchasing the property to get this deal? Coming to Woodbridge and buying in Woodbridge are two different things.
slyfox1961 February 15, 2013 at 07:21 PM
@Deb: I agree with all you said. My only point is we are better off with the business than without, as they will simply go somewhere else. I know several workers who were employed at the NY Times in Edison, and at least they spent money locally while emplyed there. The NY Times also paid contrators to maintain the facility, who were local, who spent money locally, etc. It is better to have this local business than not to. They will simply go somewhere else, and the bulding will sit vacant, and the local merchants won't have the business, and less people will be employed across the board, at every level. If the tax incentives were eliminated in every state, and every state had a level playing field, I am all for it. In the meantime, this is the way the game is played.
Deborah Bell (Editor) February 15, 2013 at 07:38 PM
Sly, of course I'd agree we're always better off having a prosperous, open business than someone just holding onto a vacant property. But at least the vacant property owner is paying his share of all taxes levied on his property, whereas the prosperous business may be prosperous by virtue of the tax break he gets, and which every other property owner in Woodbridge who doesn't have that benefit has to pay MORE for. The benefits to Woodbridge taxpayers are nebulous at best. Someone gets a minimum wage job? Is that $8 or $9 an hour job worth the massive tax increase every taxpayer gets when the property owner with the PILOT program isn't paying his fair of taxes? And as has been said, there's no guarantee the minimum wage employee even lives in Woodbridge! The benefits of PILOT programs need to be explained in a lot more detail - but then, they aren't ever explained. You can OPRA all you want, but at the end of the day, someone in authority has to be responsible and has to tell residents what is actually going on. We do not have that in Woodbridge.
Irina February 16, 2013 at 11:44 AM
@slyfox1961 Typical Mac sheeple answer. I just passed on what the state says Woodbridge is paying per $100.00 assessed value. I interpretated the info correctly. Is there anytime your not kissing Mac's rump? I still sware your Mac hiding behind the screen name of Slyfox1961,
Irina February 16, 2013 at 11:48 AM
@docbear.....Slyfox is NOT right. Nowhere near. Matter-of fact look at the math example the state supplies. I guess that's wrong too. Another Mac rump kisser here.
slyfox1961 February 16, 2013 at 05:01 PM
@I have spoken: since you have an obvious reading comprehension issue, try reading this SLOWLY and maybe you will get it. "The assessed value of a home varies tremendously from town to town. Each town used a different method of computing the tax bill based on the assessment." Of course the tax web site example is correct. What I am saying is that EACH TOWN uses a DIFFERENT method of computing the tax based on the ASSESMENT formula they use, THEREFORE you CANNOT compare one town to the next UNTIL YOU convert each town's assessment into an apples to apples comparison. The average home in Woodbridge is assessed at 75k; it is different in Sayreville, and different yet again in Edison, because EACH town uses a different computation. Why is that so hard for you to comprehend?
OFFICIAL BUSINESS February 20, 2013 at 12:45 AM
You will never get the truth from Woodbridge Township on Anything!
unknownauthor February 22, 2013 at 12:48 PM
@gam and Official business. If you know the lot and block number(s), go to the Tax Office at 1 Main St and look at the tax books. It will show who is getting the tax bil and for how much. Then go back in thr records and see if the ownership has changed, as well as the rate.
Nicole Raposo March 01, 2013 at 07:58 PM
I think they should put a amazon warehouse in Avenel & Rahway

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