Aiming to transform its economic landscape, New Jersey has offered $400 million in tax incentives to attract the Philadelphia 76ers’ relocation.
At a Glance
- New Jersey is offering up to $400 million in tax credits to lure the Philadelphia 76ers to Camden
- The proposal includes a multibillion-dollar mixed-use waterfront development
- The 76ers are currently negotiating with Philadelphia over a $1.3 billion arena
- The team’s lease at the Wells Fargo Arena expires in 2031
- The team has described the offer as “thoughtful and compelling”
New Jersey’s $400 Million Offer
New Jersey has made a significant move to strengthen its economic sector by proposing up to $400 million in tax credits to the Philadelphia 76ers if they relocate to Camden. This bold offer aims to generate economic growth through job creation, tourism, and spending within the state.
In addition, the plan includes a comprehensive waterfront development project that will feature residential, commercial, and retail properties. Such developments are expected to further enhance New Jersey’s economic landscape.
The Philadelphia 76ers, in light of their expiring lease at the Wells Fargo Arena in 2031, are also in talks with Philadelphia over a $1.3 billion arena near the city’s Chinatown neighborhood. However, the offer from New Jersey has added a new dimension to their deliberations.
A New Jersey official mentioned the possibility of up to $400 million in tax incentives in the latest pitch to move the Philadelphia 76ers to Camden. https://t.co/aIn4SOKXO0
— NBC10 Philadelphia (@NBCPhiladelphia) September 3, 2024
Economic and Community Benefits
The proposed waterfront project is envisioned to transform Camden’s landscape, featuring extensive mixed-use development. The relocation of the 76ers could serve as a catalyst for additional development in the area, as supported by Camden Mayor Victor G. Carstarphen.
“We believe the Aspire program, a critical component of the ERA toolkit, could support two awards of up to $400 million of tax credits: one to support an arena and ancillary infrastructure (parking, open space, etc.) and one to support significant residential, retail, and office development as part of a broader mixed-use neighborhood development strategy with the potential to transform the surrounding areas of the City,” Tim Sullivan, CEO of the New Jersey Economic Development Authority, wrote.
Governor Phil Murphy’s administration is behind the proposal, emphasizing the potential economic and community benefits. The development plan envisions Camden’s landscape being significantly altered, thanks to a state-owned, shovel-ready former prison site.
Current Negotiations and Future Prospects
The Philadelphia 76ers have already invested in Camden with a training complex and headquarters. They described New Jersey’s offer as “thoughtful and compelling” while continuing discussions with Philadelphia leaders about a possible Chinatown relocation.
The urgency of the situation is growing for the 76ers. “The reality is we are running out of time to reach an agreement that will allow the 76ers to open our new home in time for the 2031-32 NBA season,” team spokesperson Molly Mita McEndy wrote.
Despite the uncertain future, Pennsylvania Gov. Josh Shapiro expressed hope, indicating that the team wishes to remain in Philadelphia and has not requested or been offered tax incentives from the state.
Meanwhile, some community members in Philadelphia’s Chinatown are concerned about potential negative impacts of the proposed arena, such as parking, traffic, and festival disruptions.
