ICYMI: NJEDA Board Makes Wide-Ranging Set of Approvals to Continue Growing NJ’s Economy

TRENTON, N.J. (May 22, 2023) – The New Jersey Economic Development Authority Board made several key program and policy approvals during its May meeting, including its first awards of residential projects under the Aspire Program, additional funding for the Authority’s child care programming, and record-breaking investments in venture capital. Collectively, these programs will help revitalize communities, support small businesses, and boost New Jersey’s economy.

“The approvals made at this month’s Board meeting make critical investments in New Jersey’s entrepreneurs of color, affordable housing, child care facilities, our innovation economy, and our life sciences industry,” said NJEDA Chief Executive Officer Tim Sullivan. “Together, these will spur development, generate economic activity, and create jobs across the state, all while building a stronger and fairer New Jersey for generations to come.”

Approvals made by the NJEDA Board include:

Aspire Program:
Three residential development projects in Camden, Morristown, and Newark were approved under the Aspire Program for tax credits to help bridge financing gaps. This marks the first residential Aspire Program approvals, which was created by the New Jersey Economic Recovery Act of 2020. The three projects will create or rehabilitate 728 safe, modern housing units, 80 percent of which will be designated as affordable housing.

Black and Latino Seed Fund:

Three venture capital firms were approved to manage the $20 million Black and Latino Seed Fund, which is the only investment fund in the nation aimed at increasing capital access for early-stage innovative companies founded by diverse entrepreneurs throughout the State. The fund aims to address the nationwide investment crisis within the innovation economy by helping close funding gaps that exist for far too many entrepreneurs of color.

State Small Business Credit Initiative:
Several firms were approved to manage and deploy capital for three unique investment strategies funded through the federal State Small Business Credit Initiative. The managers of the Blended Capital Fund, Life Science/Health Care Fund, and Socially & Economically Disadvantaged Individuals Seed Fund will be responsible for raising private capital, managing the fund’s day-to-day operations, and developing and maintaining a pipeline of prospective New Jersey-based small businesses that can benefit from the fund.

NJ Innovation Evergreen Fund:
The Board approved three Qualified Venture Firms to onboard to the New Jersey Innovation Evergreen Fund (NJIEF). The QVFs will be able to apply and access up to $12.5 million annually from the NJIEF to co-invest in innovative, high growth New Jersey-based businesses. The NJIEF is a first-of-its-kind tool to increase New Jersey startups’ access to venture capital and strategic resources.

Child Care Facilities Improvement Program:

An additional $50 million was approved for the Child Care Facilities Improvement Program, increasing the total funding to nearly $75 million. Since the program launched last November, the NJEDA has received over 450 applications from child care centers that serve over 36,000 children and employ nearly 9,000 workers. The additional funding will help meet the overwhelming demand of the program, which allows child care centers to make critical interior and exterior facility improvements.

Stranded Assets Repositioning Investment

The Board approved a policy for investment in the redevelopment of stranded assets such as vacant or partially vacant office parks, retail malls, and healthcare facilities into new commercial, industrial, or mixed-use development projects. Through the creation of a $25 million Stranded Assets Repositioning Investment, the NJEDA will add to its suite of resources designed to help communities redevelop and reposition their underutilized properties into viable commercial real estate.

About the NJEDA

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources for businesses, call NJEDA Customer Care at 844-965-1125 or visit https://www.njeda.com and follow @NewJerseyEDA on Facebook, Twitter, Instagram, and LinkedIn.

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