Syracuse IDA approves inducement, pilot and final resolutions for 366 West Onondaga rehabilitation

The Syracuse Industrial Development Agency approved a package of resolutions to support the rehabilitation of a historic building at 366 West Onondaga Street, authorizing tax exemptions and a historic PILOT to facilitate renovation into a mix of commercial and residential uses.

According to the application presented on the record, 366 West Onondaga Street LLC (or an entity to be formed) will acquire an interest in roughly 14,000 square feet of land improved by a roughly 9,000-square-foot, three-story historic structure. The scope presented includes a gut rehabilitation to create about 2,700 square feet of commercial space on the first floor, approximately 2,500 square feet on the second floor for office/amenity space, and roughly 2,500 square feet on the third floor dedicated to four market-rate studio apartments. The basement was described as housing mechanicals, plumbing and tenant storage. Exterior work will include landscaping and repaving for parking and loading areas.

Staff noted the project was determined to be a Type II action for SEQR review and therefore no further environmental review was required. The inducement resolution authorizes the agency to undertake the project and appoints the company as agent; staff stated the project is eligible for state and local sales and use tax exemptions not to exceed $108,000 and an approximate mortgage recording tax exemption of $19,000 based on the application costs. The Board approved the inducement resolution by recorded motion (moved by Ricky Brown; second by Ken).

The Board also approved a 15-year historic PILOT schedule consistent with the agency’s Uniform Tax Exemption Policy (UTEP). Staff clarified that the PILOT applies only to new improvements; property tax on the current property value will continue to be assessed and paid as before, and the PILOT only abates tax on the added improvements.

The final approving resolution authorizes staff to execute the necessary lease and transactional documents to implement the benefits approved by the Board. The Board’s motions to adopt the inducement, pilot and final approving resolutions all carried; staff reminded the project principal that the agency agreement attached to the inducement resolution must be returned within 14 business days.

Luke Esposito, identified at the hearing as “one of the principals of the project,” said, “We're very excited for the future of this building, and we feel like the time is now to renovate this building.” No members of the public spoke in opposition at the hearing.

The Board’s approvals complete the agency’s review and authorize staff and the applicant to finalize transactional documents and proceed toward implementation. The PILOT schedule and inducement terms are recorded in the agency packet and on the agency website as updated.