Economic Development Lawyer
major economic development project that
usually involves a CEO and a politician,
holding a media conference to announce the
creation of many new jobs, a major capital
investment, and millions of dollars worth
of economic incentives from government
agencies. Do you ever wonder what went
on behind the scenes to reach that happy
occasion, its legal basis, and how you might
be able to obtain those deals? This is what I
do for a living as an economic development
and commercial real estate lawyer for
companies and public agencies in North
and South Carolina.
field that can be amorphous more accessible
for agencies and companies that deserve the
benefits that these projects provide, and to
make it more accessible for their lawyers as
well. This is where law, politics and business
meet to make deals. I believe wholeheartedly
that it will happen more in the future as
we compete for limited resources in an age
of increasing automation, public scrutiny
and expectation by shareholders, workers
and voters. Regardless of one's political
orientation, we see the new administration
making job creation, job retention and
capital investment in the U.S. a high priority.
Consider engaging an economic
development lawyer whenever you are
working on a project that involves significant
capital investment and new jobs. The
capital investment will result in a greater
property tax base, and employment will
broaden the economic base of a community
in multiple ways. A project that involves a
high proportion of "business property" such
as robotics and other technical equipment
for sophisticated manufacture is ideal
because of the great initial investment, the
rapid depreciation and the ongoing need to
replace the equipment in industries such as
pharmacology, data and high performance
engine assembly. The significance of the
fixtures, furnishings and equipment is
frequently overlooked in the hoopla over the
size of the plant and the hundreds of new
jobs, but often it is this renewable value
which makes the numbers work on public
investment in the project. Lots of skilled and
well-paid jobs tend to go with this kind of
project too the kind of success that elected
officials love to sell.
The jobs are frequently what galvanize
public support and public investment. This
is understandable and generally justified. No
opportunity and the almost innumerable
benefits it brings to communities. The jobs
are what usually bring the states to the
table because they are likely to be the most
direct beneficiary in the form of a greater
income tax base. Incentives at the state
level frequently key off of projected wages
and personal income taxes, so the economic
development lawyer's knowledge of how
these programs are screened, scored and
administered can be crucial to negotiating
terms and in that lawyer helping a company
or an agency determine the most effective
location for a project.
The sleeper statistic for states is sales
tax revenue. It is indirect and driven largely
by job count and the quality of those jobs.
Hundreds of new jobs means thousands of
new consumers, and new revenue streams
from taxes on everything from wine to energy
consumption. Just like financial institutions,
states have become more creative in mining
for fee-based income as conventional
employment and the withholding taxes that
go with it have become less certain. The
ability of a lawyer to evaluate those numbers
and use them in objective advocacy for
a project is highly valuable to the client,
whether in the public or in the private sector.
The local level is where the greatest
impact of a successful project is felt,
although that impact is often indirect and
intangible. This is why we frequently see
local governments (and states) investing in
projects seemingly beyond their projected
economic return. Sales taxes from increased
sales at the grocery stores may bring
hundreds of thousands of dollars a year in
additional tax revenue. Real property taxes
and values may jump as employees and their
families consume as-built housing stock and
estate and governmental transactions lawyer. He
designs and prepares economic development
agreements between local governments and
private companies for commercial and public-
private projects. He also represents private
investors and operators in the acquisition,
financing and sale of real estate projects for
hotel, office, apartment, retail, medical, industrial
and resort development.
2600 One Wells Fargo Center
301 South College Street
Charlotte, North Carolina 28202
horacktalley.com