Hearing set for Wednesday night on Harbor Point tax credit

PoliticsTax CreditsCredit and DebtExelon Corp.Maryland Department of Business and Economic Development

The Baltimore Development Corp. is to hold a hearing Wednesday evening to discuss whether Harbor Point, the future home of Exelon Corp.'s Baltimore headquarters, should again be included in a state-wide tax credit program.

John Paterakis' Harbor East Development Group LLC has put together an application requesting that Harbor Point and two nearby blocks between Fleet and Lancaster streets be included in Baltimore's Enterprise Zone. The submission would need approval from the Baltimore City Council and the Maryland Department of Business and Economic Development for the roughly 32-acre site to be included.

If the council approves Harbor Point's application, the BDC said it expects to submit the expansion request to the state agency in mid-October.

Inclusion in the Enterprise Zone would make Harbor Point eligible for 10-year local property tax credits based on the amount of capital invested in the property. The savings from these credits are routinely passed on to tenants, who are also eligible for a state income tax credit based on the number of new jobs they create in the zone.

The state reimburses local governments for half of the property tax revenue lost due to the credit.

Harbor Point, formerly the site of a chromium plant, had long been included in the city's Enterprise Zone. It was removed earlier this year when the size of the zone was reduced by more than a third.

At the hearing, representatives from Harbor East Development Group are to explain their plans for the Harbor Point project and answer questions, according to a statement from the BDC.

The Harbor East Development Group expects that construction at Harbor Point will take place in phases over a 10-year period. The final complex on the site is to include 1.5 million square feet of office space, 1,000 residential units, 230,000 square feet of retail space, an 86,000-square-foot hotel and 3,000 parking spaces, the application said.

A request to include the Alameda Shopping Center in the Enterprise Zone, which had been scheduled for discussion at Wednesday's hearing, has been withdrawn, according to Joann Logan, BDC spokeswoman.

Wednesday's hearing will be held from 6:30 to 8:30 p.m. at the Emerging Technologies Center, 1101 E. 33rd St., Baltimore.

steve.kilar@baltsun.com

twitter.com/stevekilar

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