Notice of Public Hearing – Global Food Solutions

11/03/22

Application
CBA
Cover Letter

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 Town of Brookhaven Industrial Development Agency (the “Agency”) on the 15th day of November, 2022, at 10:00 a.m. local time, at the Town of Brookhaven Town Hall, Industrial Development Agency, 1 Independence Hill, 2nd Floor, Farmingville, New York 11738, in connection with the following matters:

Global Food Solutions, Inc., a business corporation organized and existing under the laws of the State of New York, on behalf of itself and/or the principals and/or equity investors of Global Food Solutions, Inc. and/or an entity formed or to be formed on behalf of any of the foregoing (collectively, “GFS” or “Company”), has applied to the Agency for assistance in connection with the acquisition of an approximately 4.94-acre parcel of land located at 905 Waverly Avenue, Holtsville, New York 11742 (SCTM# 0200-804.00-01.00-001.002) (the “Land”), the acquisition of an approximately 50,000 square foot existing building located thereon, and the construction and equipping of an approximately 10,000 square foot addition to the existing building, together with the acquisition, installation and equipping of improvements, structures and other related facilities attached to the Land (the “Improvements” and “Equipment”; and together with the Land and the Improvements, the “Facility”), which Facility will be leased and subleased by the Agency to the Company, and an approximately 56,800 square foot portion of the Facility will be used by the Company as a food manufacturing, food assembly, food storage and food distribution operation for the school food service and general food service industry, and the remainder of the Facility will be further subleased by the Company to (i) Advantage Food Marketing Corp., a New York a business corporation (“Advantage”) (an approximately 3,000 square foot portion of the Facility) for use as office space and (ii) LineCor Distribution Solutions Inc., a New Jersey a business corporation (“LineCor”, and together with Advantage, the “Sublessees”) (an approximately 200 square foot portion of the Facility) for use as office space (the “Project”). Subject to the possible Reverse 1031 Exchange described below, the Facility will be initially owned, operated and/or managed by the Company and the Sublessees.

GFS has notified the Agency that GFS may to enter into a reverse 1031 exchange as provided in the Internal Revenue Code of 1986, as amended (the “Reverse 1031 Exchange”), prior to acquiring the Facility. To effectuate the Reverse 1031 Exchange, if any, a qualified exchange company or an entity to be formed by the qualified exchange company (the “Exchange Agent”) will initially acquire the title to the Land and Improvements, for a period not to exceed 180 days (the “Exchange Period”). The Exchange Agent would initially lease the Land and Improvements to the Agency pursuant to a Company Lease Agreement (the “Company Lease”), and the Agency would lease the Facility back to the Exchange Agent pursuant to a Lease and Project Agreement (the “Lease Agreement”, and together with the Company Lease, the “Agency Leases”). At the expiration of the Exchange Period or the prior completion of the Reverse 1031 Exchange the Exchange Agent shall transfer its interest in the Land and Improvements to GFS and GFS shall become the beneficial party to the Agency Leases.

The Agency contemplates that it will provide financial assistance to GFS and the Sublessees in the form of exemptions from sales and use taxes and abatement of real property taxes, consistent with the policies of the Agency.

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 GFS and/or the Sublessees or the location or nature of the Facility. Prior to the hearing, all persons will have the opportunity to review on the Agency’s website (https://brookhavenida.org/), the application for financial assistance filed by GFS with the Agency and an analysis of the costs and benefits of the proposed Facility.

Dated: November 5, 2022
TOWN OF BROOKHAVEN INDUSTRIAL DEVELOPMENT AGENCY
By: Lisa MG Mulligan
Title: Chief Executive Officer

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