NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that a public hearing pursuant to Article 18-A of the New York State General Municipal Law, will be held by the City of Utica Industrial Development Agency (the “Agency”) on the 28th day of January 2025, at 11:00 AM, local time, at Utica City Hall, Urban & Economic Development Corporation conference room, Second Floor, One Kennedy Plaza, Utica, New York, in connection with the following matters:

Utica Harbor Lodging Group LLC, on behalf of itself and/or the principals of Utica Harbor Lodging Group LLC and/or an entity formed or to be formed on behalf of any of the foregoing (collectively, the “Company”) has applied to the Agency to enter into a lease-leaseback transaction in which the Agency will assist in acquisition of parcels of land measuring 20± acres in the aggregate located at Wells Avenue, Utica Harbor Point, City of Utica, Oneida County, New York (collectively, the “Land”) to undertake the following: (A) (i) construction of residential apartment buildings containing a total of approximately 82 units, parking and storage for residents, fitness center and other common area amenities, an office for administration, together with all infrastructure to support the same (collectively, the “Residential Improvements”); and (ii) acquisition and installation of furniture, fixtures and equipment in the Residential Improvements (the “Residential Equipment”); all designed to attract residents that are currently either underserved by Utica’s existing apartment stock or living outside the City and to fill a demonstrated need for market rate housing (the Residential Improvements and the Residential Equipment are referred to collectively as the “Residential Facility” and the acquisition, construction and equipping of the Residential Facility is referred to collectively as the “Residential Project”); and (B) (i) construction of two extended stay hotels, each with approximately 100 rooms, together with all parking and infrastructure to support the same (collectively, the “Hotel Improvements”); (ii) acquisition and installation of furniture, fixtures and equipment in the Hotel Improvements (the “Hotel Equipment”), designed to cater to families and transient business as well as guests seeking a more upscale destination lodging experience (the Hotel Improvements and the Hotel Equipment are referred to collectively as the “Hotel Facility” and the acquisition, construction and equipping of the Hotel Facility is referred to collectively as the “Hotel Project”) the Land, the Residential Facility and the Hotel Facility are referred to collectively as the “Facility;” and the Residential Project and the Hotel Project are referred to collectively as the “Project, ” all of which are in furtherance of enhancing economic development in downtown Utica and specifically within the Harbor Point area. The Facility will be initially operated by the Company.

The Company will lease the Facility to the Agency for a term of approximately twenty-four (24) years (the “Lease Term”). The Agency will lease the Facility back to the Company for the Lease Term, and the Company will further sub-sublease the Residential Facility to residential tenants to be determined from time to time. At the end of the Lease Term, the Agency will terminate its leasehold interest in the Facility. The Agency contemplates that it will provide financial assistance to the Company in the form of exemptions from sales and use taxes on materials incorporated into the Facility, exemptions from mortgage recording taxes and abatement of real property tax for a period of twenty-four (24) years, during which time the Company will pay as PILOT Payments (a) during the construction period: an amount equal to taxes calculated using the assessed value and taxable status of each property as of March 1, 2024; and (b) after the issuance of a Certificate of Occupancy: fixed payments for twenty (20) years. PILOT Payments will be allocated among the taxing jurisdictions in the same proportion as taxes would be allocated but not for the Agency’s involvement, unless the taxing jurisdictions enter into a written agreement assigning a different allocation. The proposed financial assistance is a deviation from the Agency’s Uniform Tax Exemption Policy, more particularly described in the Inducement Resolution adopted by the Agency on January 15, 2025, and to be confirmed in in a Final Authorizing Resolution to be adopted by the Agency prior to the closing of the transactions described herein.

A representative of the Agency will at the above-stated time and place hear and accept written comments from all persons with views in favor of or opposed to either the proposed financial assistance to the Company or the location or nature of the Facility. Comments may also be submitted to the Agency in writing or electronically prior to the Public Hearing. Minutes of the Public Hearing will be transcribed and posted on the Agency’s website. A copy of the Application for Financial Assistance filed by the Company with the Agency, including an analysis of the costs and benefits of the proposed Project, is available for public inspection at the offices of the Agency, One Kennedy Plaza, Utica, New York and on the Agency’s website.