New York Codes, Rules and Regulations › Title 21 - Miscellaneous › Chapter L - New York State Urban Development Corporation › Part 4230 - Minority And Women-owned Business Development And Lending Program › Section 4230.11 - Incubator assistance

Current through Register Vol. 46, No. 28, July 10, 2024
(a)
				Eligible incubator projects. Only eligible incubator projects may receive
				incubator assistance from the corporation. In order to constitute an eligible
				incubator project, an incubator must satisfy the criteria set forth below,
				provided that no such incubator shall constitute an eligible incubator project
				if it shall be owned, controlled or operated by any person, partnership,
				corporation or other entity, a controlling interest of which is legally or
				beneficially owned by one or more employees of the State or of any
				instrumentality of the State, or by any member of the immediate family of any
				such employee:
(1) It consists of a facility,
				or a portion of a facility, which is specifically dedicated to assist the
				establishment and promote the growth of eligible incubator tenants.
(2) It is owned by an eligible incubator
				sponsor or it is leased by an eligible incubator sponsor on terms and
				conditions satisfactory to the corporation.
(3) It leases or proposes to lease small
				units of space to eligible incubator tenants on favorable terms and conditions
				satisfactory to the corporation. Such terms and conditions shall include, but
				not be limited to, flexible leasing arrangements and competitive rates for the
				leased space.
(4) It leases or
				proposes to lease not more than 25 percent of its net leasable space to
				nonprofit organizations which provide business development services to eligible
				incubator tenants of the eligible incubator project on a priority basis.
				Examples of such organizations include, but are not limited to,
				entrepreneurship support centers, minority and women business enterprise
				development centers, small business development centers and technology
				development organizations. Eligible incubator sponsors and incubator operators
				may occupy space in the eligible incubator project only to the extent necessary
				to manage the eligible incubator project and provide services to eligible
				incubator tenants.
(5) It provides
				or proposes to provide business development services for the benefit of the
				eligible incubator tenants free of charge or at a nominal cost.
(6) It operates or proposes to operate
				pursuant to a management and business plan satisfactory to the
				corporation.
(7) It possesses all
				permits, licenses and certificates of occupancy necessary in order to operate
				as an incubator for the types of businesses to which it proposes to lease
				space.
(8) It has received
				financial commitments from public or private sources in an amount sufficient to
				undertake the eligible incubator project. In order to satisfy the requirements
				of this paragraph, a commitment to provide financial support to an eligible
				incubator project must be an unconditional, written commitment, or a written
				commitment conditioned only upon the grant of incubator assistance.