Governor Mikie Sherrill's administration has nominated the area for federal tax incentives as major projects move forward near Borgata, Harrah's and Golden Nugget.
ATLANTIC CITY, N.J. — Atlantic City could soon gain another federally designated Opportunity Zone, a move city officials say would help attract private investment to the Marina District as several major development projects advance.
The proposed designation, announced Wednesday, November 4, would cover the entire Marina District and expand the city's existing Opportunity Zone footprint.
The recommendation was submitted to the U.S. Department of the Treasury by Gov. Mikie Sherrill's administration as part of a statewide effort to identify communities eligible for federal investment incentives.
Atlantic City currently has four designated Opportunity Zone areas extending along the beachfront from Maine Avenue to Annapolis Avenue, according to city officials.
The Marina District would represent a significant expansion of the city's investment opportunities if the new designation receives federal approval.
“Atlantic City is seeing a real development renaissance happening right now as investor confidence is at an all-time high,” Mayor Marty Small Sr. said in a statement.
“Adding another Opportunity Zone, especially one that includes the entire Marina District, is a big deal for us. I want to thank Governor Sherrill and our partners at the State for continuing to work with us and recognizing the tremendous potential in the Great City of Atlantic City.”
Major Development Projects Already Planned
The proposed designation comes as developers pursue two substantial projects in the Marina District.
MGM is planning a large-scale redevelopment involving approximately 70 acres between Borgata Hotel Casino & Spa and Harrah's Resort Atlantic City.
Atlantic City Council approved the project's redevelopment plan in December 2025.
The site represents one of the larger remaining development opportunities in the Marina District, which is already home to Borgata, Harrah's and Golden Nugget.
Although the redevelopment plan has received city approval, the announcement did not provide a construction timetable or final development details for MGM's property.
Another major project is planned near Golden Nugget.
Boraie Development has received state approval for a proposed 182-unit waterfront residential development adjacent to the casino hotel.
The project is expected to include 62 townhomes and a 120-unit high-rise building, along with a restaurant and additional amenities.
The development would add a significant residential component to an area historically associated with casino hotels, entertainment and tourism.
Both projects remain in the planning and development process, and the proposed Opportunity Zone designation does not itself guarantee construction or financing.
What Is an Opportunity Zone?
Opportunity Zones are federally designated census tracts intended to encourage private investment in economically distressed communities.
The program was originally established under the federal Tax Cuts and Jobs Act of 2017.
Investors who place eligible capital gains into Qualified Opportunity Funds can receive federal tax benefits when those funds invest in qualifying businesses or real estate projects within designated areas.
The incentives are designed to encourage long-term investment in communities that might otherwise struggle to attract development capital.
Unlike a traditional government grant program, Opportunity Zones primarily use tax incentives to encourage private investors to finance projects.
Supporters say the program can help stimulate construction, create jobs, attract businesses and encourage redevelopment.
However, designation does not automatically produce new development, and the amount of investment ultimately generated depends on private-sector participation.
New Federal Opportunity Zones Coming in 2027
The proposed Marina District designation is part of a broader federal effort to update and expand the Opportunity Zone program.
Federal legislation enacted in 2025 made the program permanent and established a new process for designating qualifying areas every 10 years.
The first round of new designations is scheduled to take effect January 1, 2027.
Under the process, governors nominate eligible census tracts, and the U.S. Treasury Department reviews and certifies the designations.
New Jersey's Department of Community Affairs announced October 29 that the Sherrill administration had submitted 130 census tracts for federal consideration.
The statewide list includes proposed designations in Atlantic City and several other South Jersey communities, including Egg Harbor Township, Hamilton Township, Pleasantville and Somers Point.
The state's nominations remain subject to federal approval.
The new program also includes updated eligibility requirements intended to direct investment toward qualifying lower-income communities.
What Happens Next?
The U.S. Department of the Treasury must complete its review of New Jersey's nominations before the Marina District can receive the new federal designation.
If approved, qualifying investments in the designated area could become eligible for tax incentives under the updated Opportunity Zone program beginning in 2027.
For Atlantic City, the potential designation comes at a time when officials and developers are pursuing major projects involving casino properties, residential construction and waterfront redevelopment.
City officials believe adding the Marina District to the federal program could provide another incentive for private investors considering projects in the area.
Whether the designation leads to additional development will depend on federal approval, financing, market conditions and the progress of the projects already proposed.
About the Author
Karen Johnson
With over 30 years of news experience in major markets like Los Angeles, Denver, and Columbus, Karen now covers our area for South Jersey NewsBeat. She also brings her articulate and conversational news delivery to WOND radio listeners every weekday. Her background includes work with the NBC Radio Network, and she thrives in fast-paced news environments.
