The Ulster County Economic Development Alliance is currently in negotiations with National Resources Inc. concerning approximately $6.8 million in unpaid taxes and mortgage payments linked to the iPark 87 development. This situation arises as the expiration of the site plan approval for the project signals ongoing challenges for this long-troubled property in the Town of Ulster.
Negotiations are being conducted behind closed doors, as both parties seek a resolution that meets the obligations of National Resources. County Executive Jen Metzger emphasized the urgency of these discussions, stating, “I hope that these discussions conclude soon. I hope that an agreement is reached that is the right thing for the taxpayer and the right thing for the local economy and jobs.”
Tax Issues and Development Challenges
The Ulster County Economic Development Alliance is addressing the back payments owed on both the east and west campuses of the iPark 87 site. Chairman Gregory Simpson confirmed that the discussions also include administrative and legal fees. While he refrained from disclosing specific details, he assured that any finalized agreements would be made public.
National Resources purchased the former TechCity property for $10 million after the county foreclosed on Alan Ginsberg, its previous owner, for nonpayment of taxes. The developer pledged to invest over $200 million into the site, promising to create approximately 1,000 jobs. However, progress has been slow, with the east campus seeing minimal development while the west campus remains completely vacant.
Assistant Deputy County Executive Amberly Campbell shared that the county signed a master lease agreement in July 2024 for office space but had to terminate those leases just months later. Metzger described the project as “on pause” as they await the outcome of the current negotiations.
Concerns About Future Development
Critics, including Legislator Kevin Roberts, have expressed skepticism about the county’s investment in the iPark 87 project. Roberts described the situation as “a complete disaster,” noting the lack of progress and the financial burden placed on the county. He questioned whether the county was misled regarding the potential of the development.
Particular attention is being paid to the west campus, a roughly 82-acre parcel purchased by National Resources in 2023. Despite making a $1 million mortgage payment for the east campus, the developer has not made any payments on the west campus aside from a $100,000 down payment. Metzger indicated that a proposed mortgage restructuring plan earlier this year fell through, leaving the future uncertain.
Legal actions have also been initiated by National Resources to seek a reduction in the assessed value of the east campus, while no such action has been taken for the west campus, raising concerns about the developer’s intentions. Roberts mentioned that sources have indicated the buildings on the west campus may require demolition, further complicating the situation.
County Comptroller March Gallagher noted that the Ulster County Economic Development Alliance’s decision to release valuable parcels on the east campus from the mortgage has limited the potential for foreclosure on that property.
In light of these challenges, Simpson reiterated the Alliance’s commitment to finding a viable path forward while balancing its fiscal responsibilities to the residents of Ulster County. He stated, “This is a responsibility the UCEDA board takes seriously and will continue to be front of mind as we continue our discussions.”
