<em>June 01, 2010</em>

New York--The U.S. Department of Commerce has approved the new International Gem Tower in New York's Diamond District as a foreign trade zone (FTZ), the agency announced late last week.

The designation means that business tenants in the tower, which is still under construction, will be able to import foreign merchandise without customs entry or the payment of U.S. duties until the goods are sold. No duty will be payable on re-exported goods.

In a press release, Raizy Haas, senior vice president of tower developer Extell Development Co., said the approval of FTZ status is another key milestone in the progress of the tower, a 34-story commercial condominium designed specifically for the diamond, gem and jewelry trade.

"In 2012, New York will finally have a modern industry building to house the trade," he said. "And in addition to the beautiful design and technical innovation, we are focused on providing the services and amenities that drive value for our buyers."

Located at 50 W. 47 St. between Fifth and Sixth Avenues, the International Gem Tower is slated for completion in late 2012. More than 100,000 square feet of space has already been committed to various jewelry companies.

According to the release, the below-grade concrete and metal deck work is nearing completion at the construction site. Work is slated to soon begin on the utilities and slab on grade work and will take about three months.

The tower's development and sales teams will be at the upcoming Las Vegas Market Week shows, including at Couture 2010, Suite TS3 in the Diamond Pavilion, and at JCK Las Vegas, Booth L61

REF: <a href="http://www.nationaljewelernetwork.com/njn/content_display/diamonds/supply/e3if0e09b86f3dc219a6aeaff94fff1d371" target="_blank" >NYC gem tower approved now by foreign trade zone</a>
