The Ulster County Industrial Development Agency (IDA) last month unanimously approved $1.06 million in tax incentives for New Paltz Way, a 28-room boutique hotel planned for 11 Water Street.
The $12.61 million three-story inn is the latest project by co-developers Jesse Halliburton and Ryan Giuliani, who previously opened Woodstock Way Hotel, Hudson River Way in Saugerties and Kingston Carriage House. Halliburton is the owner and principal broker of Prime Real Estate Group in New Jersey, while Giuliani is president and co-founder of boutique hospitality firm Giuliani Social alongside his wife, Mary Giuliani.
Originally called Water Street Trails Hotel, New Paltz Way is planned alongside the Wallkill River and the Wallkill Valley Rail Trail, and will replace a recently demolished sprawling former box factory standing on the .82-acre property. The 21,000-square-foot hotel will include a self-led wellness center and coffee bar, and though a small restaurant was in the plans for some time, that was deemed unfeasible and abandoned. A living roof is also part of the plans.
The IDA approved the tax incentives during a meeting on Wednesday, February 19. The breaks include:
- $600,000 in sales tax exemptions
- $440,860.22 in savings through a payment-in-lieu-of-taxes agreement
- $15,300 through a mortgage tax waiver
“Regarding the UC IDA approval, this was a significant step forward for our project,” Halliburton said. “It enables us to hire 80 percent of our construction trades from the local areas and pay all employees a living wage now and once we are in operation.”
The project has been before the Village of New Paltz Planning Board for close to three years, with issues such as parking, water usage, tree removal, traffic and safety arising, and plans often changing accordingly. At their most recent meeting, developers and the board discussed outdoor lighting, not a hurdle, but a conversation nonetheless. Now, with a targeted spring 2026 opening, New Paltz Way is finally on its way.
“While the village planning board process has been extensive, we never felt the project was at risk,” Halliburton said. “We understood the need for thorough planning and the board’s desire to ensure community benefit. The board’s feedback has always been direct and focused, and we’ve appreciated their engagement throughout the process.”
In announcing the tax incentives, the IDA called New Paltz Way’s location “a key stop on the Empire State Trail, offering guests direct access to scenic bike paths and stunning views of the Shawangunk Ridge. It will also help meet the demand for overnight accommodations near SUNY New Paltz, providing a convenient option for campus visitors.”
Additionally, the IDA touted the creation of “well-paying hospitality jobs and short-term construction jobs that stimulate and support the local economy,” as well as increased visitor spending expected to enhance sales tax revenue and the county’s four percent occupancy tax, as well as generating property tax that will benefit the entire community.
“This project aligns with the UCIDA’s mission to drive economic growth, create sustainable jobs and enhance quality of life by supporting strategic investments that benefit Ulster County residents,” read the agency’s announcement. “The Ulster County IDA is proud to support this transformational project and looks forward to welcoming New Paltz Way Hotel as a valuable addition to Ulster County’s thriving business community.”
Halliburton said the new hotel will align with the principles and amenities of their other properties, but will also be uniquely New Paltz because of its location.
“For those unfamiliar with our other properties, New Paltz Way will offer a similar focus on genuine guest experiences and community integration,” Halliburton said. “We talk a lot about walkability, and this location provides just that. A quick walk from our property guests get to experience New Paltz’s vibrant main street, the Wallkill River and Rail Trail, Minnewaska State Park and SUNY New Paltz. This location will attract various travelers, including outdoor enthusiasts, visiting professionals and families.”
Join the family! 
