$52M Tax-Exempt Bond Financing Approved For NY Blood Center Campus

RYE, NY — Plans for a new campus, research space and distribution center for the New York Blood Center received a multi-million dollar boost.

The Westchester County’s Local Development Corporation (LDC) voted preliminary approval on October 20, of $52 million in tax-exempt bond financing for the redevelopment of the former Avon headquarters in Rye into a 187,000-square-foot facility to be leased to the New York Blood Center Inc. The New York Blood Center will occupy the entire property for office space, testing and research laboratories, and processing storage and distribution of blood and associated supplies.

"The adaptive reuse of a vacant headquarters building into modern offices and lab space is another example of the continued strength and vitality of Westchester’s economy," Westchester County Executive George Latimer said in a statement released this week. "We welcome New York Blood Center to our County’s dynamic health care sector."

SEE ALSO: Disused Avon Campus In Rye To Get New Life Through NY Blood Center

Located at 601 Midland Avenue, the property is undergoing complete rehabilitation. Improvements include all new HVAC, electrical systems and switch gear, new windows, roof, plumbing upgrades, repairs and improvements to the building façade, landscaping, new paving, the construction of clinical and research laboratories and exterior lighting. All improvements will meet or exceed current energy and environmental requirements. The $108 million project is estimated to take 12 to 18 months.

"The LDC is pleased to vote preliminary approval of tax-exempt bond financing to one of the largest community-based, non-profit blood collection and distribution organizations in the nation," LDC Chair Joan McDonald said. "This important project will generate significant fiscal benefits for the County while creating hundreds of construction and full-time jobs."

The project is estimated to create $9,958,855 in total fiscal benefits, including $141,767 in sales tax revenue from construction earnings, $9,717,088 in sales tax revenue from on-site employees spending over 30 years and $281,250 in fees to be collected by the LDC based on bond sale proceeds. The project is also projected to create 124 construction jobs and 686 jobs from on-site operations.

Serving New York since 1964, New York Blood Center Inc. is one of the largest independent, community-based blood centers in the world. The former Avon offices and data center facility has been vacant for approximately four years. The building is located on 14.8 acres.

The LDC assists Westchester not-for-profit organizations in securing tax-exempt bond financing benefits. These benefits are provided at no cost or risk to the taxpayers of Westchester County. Since its inception in 2012, LDC has assisted not-for-profit organizations in securing tax-exempt bond financing totaling over $1.53 billion.