Jersey City rental rates are on average 22 percent lower than those in Manhattan, and utility costs are more affordable as well. In addition, the tax climate is much more competitive. For example, Jersey City businesses pay no city corporate tax or commercial lease tax.

And for those companies located within Jersey City's Urban Enterprise Zone, the sales tax is just 3 percent. That's good news, not only for companies doing business within the zone, but for the entire community as well, according to Eugene Nelson, chief executive officer of the Jersey City Economic Development Corp. "We've coined the phrase 'Holistic Urban Building,'" Nelson explains. "What that means is that we are utilizing the benefits of the zone and spreading them out to all parts of the city. For example, the zone's sales tax benefits are being generated by a small area, but the impact is being felt citywide. It's a ripple effect. We take the money and reinvest it into different areas throughout the city."

The strategy works. Recent studies indicate that Jersey City is among the state's leaders in terms of population and job growth.

"We've worked very hard to make this a business-friendly area," says Nelson. "Mayor Jerramiah Healy's vision and leadership has energized a number of programs designed to strengthen the community and create more opportunities for those living there. The Mayor's savvy has led to a new standard for growing businesses in Jersey City."

Nelson is quick to point out that the zone incentives not only attract new businesses to the area, but also meet the needs of existing companies. Callen Photo Mount Corp. offers an excellent example. The company, which has been operating in Jersey City for more than 40 years, currently employs more than 100 workers. "One of the benefits of being a UEZ member is we get no sales tax on any equipment we purchase," says company spokesman Bernard Callen. "For large amounts of purchases, that's a significant benefit for companies. To remain certified, we are required to hire a certain number of local employees each year, but because we are expanding our business, this is not a problem."

Labor, in fact, is a major draw for the community. While Jersey City itself has a population of just over 240,000, local companies can draw from a regional workforce of more than 10 million.

"Employers have such a tremendous workforce from which to choose," Nelson says. "I think the cultural diversity really strengthens the community. Whatever type of position you're trying to fill, you're going to have a good selection of applicants to consider.