2010 Archives

Keystone Opportunity Zone Available Sites Announced

HARRISBURG (July 12, 2010) -   A press conference was held today at 1527 Swatara St., Harrisburg (the site of one of the first homes sold in the KOZ) to announce the availability of Keystone Opportunity Zone (KOZ) sites and benefits in the City of Harrisburg.  The press conference was held by the Harrisburg Regional Chamber & CREDC in conjunction with Tri County Housing Development.  The Harrisburg Regional Chamber & CREDC was designated as administrators of the KOZ in Dauphin County.

Zones of various types are located within the City of Harrisburg (9 acres within 151 parcels) and the Borough of Steelton (161 acres in 6 parcels). 

Speakers included David Black (President & CEO, Harrisburg Regional Chamber & CREDC), Ray Spencer (Executive Director, Tri County Housing Development), and Doug Neidich (Chairman, Greenworks Development LLC). 

The benefits of a KOZ include no state taxes for residents who live in a zone or for businesses that are located or locate in a zone until 2020.  Property taxes are set at 2009 rates and based on assessed valuation prior to any improvements.  Property taxes are paid through a PILOT (Payment in Lieu of Tax agreement).

Properties selected as KOZs have generated minimal state and local taxable revenue and have been deemed vacant or blighted. The KOZ designation is expected to attract development where little or no activity existed beforehand or to help parcels reach their maximum potential where they are underutilized. This development should produce spin-off taxable activity outside the designated zone.

Since the KOZ program's inception in 1999, it has led to the creation of new jobs and produced capital investment in real estate. Due to the success of the KOZ initiative, additional zones were added in 2001, 2003, 2004 and 2009.