Title
Dept/ Agency: Economic and Housing Development
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Private Sale/Redevelopment
Purpose: Develop the properties into one (1), two (2), or three (3)-family residential units, with or without additional retail use
Entity Name: A.P., LLC.
Entity Address: 57 Boston Street, Newark, New Jersey 07114
Sale Amount: $230,410.00
Cost Basis: (X) $4.00 PSF ( ) Negotiated ( ) N/A ( ) Other:
Assessed Amount: $485,000.00
Appraised Amount: $0.00
Contract Period: To be commenced within three (3) months and be completed within eighteen (18) months from the transfer of ownership by the City
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
(X) Private Sale ( ) Grant ( ) Sub-recipient ( ) n/a
List of Property:
(Address/Block/Lot/Ward)
686 South 16th Street/Block 359/Lot 33/South Ward
93 19th Avenue/Block 367/Lot 6/South Ward
39 Pierce Street/Block 2619/Lot 20/South Ward
41 Pierce Street/Block 2619/Lot 21/South Ward
797 South 15th Street/Block 2646/Lot 19/South Ward
189 Jelliff Avenue/Block 2662/Lot 30/South Ward
84 West Alpine Street/Block 2693/Lot 4/South Ward
80 Willoughby Street/Block 3051/Lot 45/South Ward
144 Leslie Street/Block 3065/Lot 8/South Ward
437 Jelliff Avenue/Block 3578/Lot 61/South Ward
276-278 Renner Avenue/Block 3625/Lot 7/South Ward
585 South 19th Street/Block 339/Lot 17/West Ward
319 South 18th Street/Block 1793/Lot 15/West Ward
290 South 19th Street/Block 1793/Lot 60/West Ward
113 South 9th Street/Block 1827/Lot 18/West Ward
108-110 South 13th Street/Block1859/Lot 59/West Ward
103 Alexander Street/Block 4059/Lot 8/West Ward
38 Palm Street/Block 4199/Lot 95/West Ward
33 North Munn Avenue/Block 4213/Lot 29/West Ward
31 North Munn Avenue/Block 4213/Lot 30/West Ward
Additional Information:
Total Square Footage = 57,602.5 X $4.00 = $230,410.00
Sale at prices set forth by Ordinance 6S&Fh, adopted on April 7, 2004, establishing the minimum sale price of City-owned property.
body
WHEREAS, the purpose of this resolution is to approve the sale and redevelopment of the following City-owned properties located in the South Ward and West Ward of the City of Newark:
|
ADDRESS |
WARD |
BLOCK |
LOT |
SIZE |
SQ. FEET |
|
686 South 16th Street |
South |
359 |
33 |
30X100 |
3000.0 |
|
93 19th Avenue |
South |
367 |
6 |
29X100 |
2900.0 |
|
39 Pierce Street |
South |
2619 |
20 |
|
3650.0 |
|
41 Pierce Street |
South |
2619 |
21 |
|
2955.0 |
|
797 South 15th Street |
South |
2646 |
19 |
25X100 |
2500.0 |
|
189 Jelliff Avenue |
South |
2662 |
30 |
25X105 |
2625.0 |
|
84 West Alpine Street |
South |
2693 |
4 |
25.10X100 |
2510.0 |
|
80 Willoughby Street |
South |
3051 |
45 |
25X100 |
2500.0 |
|
144 Leslie Street |
South |
3065 |
8 |
25X104 |
2600.0 |
|
437 Jelliff Avenue |
South |
3578 |
61 |
30X100 |
3000.0 |
|
276-278 Renner Avenue |
South |
3625 |
7 |
40X110 |
4400.0 |
|
585 South 19th Street |
West |
339 |
17 |
25X100 |
2500.0 |
|
319 South 18th Street |
West |
1793 |
15 |
25X100 |
2500.0 |
|
290 South 19th Street |
West |
1793 |
60 |
25X100 |
2500.0 |
|
113 South 9th Street |
West |
1827 |
18 |
25X100 |
2500.0 |
|
108-110 South 13th Street |
West |
1859 |
59 |
36.6X100 |
3660.0 |
|
103 Alexander Street |
West |
4059 |
8 |
25X100 |
2500.0 |
|
38 Palm Street |
West |
4199 |
95 |
35X100 |
3500.0 |
|
33 North Munn Avenue |
West |
4213 |
29 |
25X106 |
2650.0 |
|
31 North Munn Avenue |
West |
4213 |
30 |
25X106.1 |
2652.5 |
Total Square Footage: 57,602.5
Total Purchase Price: $230,410.00 ($4.00 per sf); and
WHEREAS, the City of Newark has determined that the above referenced City-owned Properties (the “Properties”) are no longer needed for public use; and
WHEREAS, pursuant to N.J.S.A. 40A:12A-8(g), the City of Newark is proceeding with the redevelopment of the area and is conveying property at such prices and upon such terms as it deems reasonable and said conveyance is made in conjunction with the applicable Redevelopment Plan, as amended; and
WHEREAS, the Municipal Council previously adopted Resolution 7Rdo(AS) on June 15, 2005, designating the entire City as an “area in need of rehabilitation” under the Local Redevelopment and Housing Law, N.J.S.A. 40A:12A-1, et seq. (the “LRHL”); and
WHEREAS, the Municipal Council thereafter adopted Ordinance 6S&Fd(S) on August 17, 2005, adopting the Third Amendment to the South Ward, and Ordinance 6S&Fc(S) August 17, 2005, approving the Second Amendment to the West Ward Redevelopment Plan governing the redevelopment of City-owned property located within the South Ward and West Ward, which includes the above-referenced Properties respectively; and
WHEREAS, the City received a letter of intent for the purchase and redevelopment of the Properties from A.P., LLC (the “Redeveloper”); and
WHEREAS, the Redeveloper, 57 Boston Street, Newark, New Jersey 07114, has proposed to the City’s Department of Economic and Housing Development to develop the Properties into one (1), two (2), or three (3)-family residential units, with or without additional retail use (the “Proposal”); and
WHEREAS, based upon the City’s review of the request and other such information, the City has determined that the Redeveloper possesses the proper qualifications and requisite financial resources and capacity to acquire the Properties and to rehabilitate them in accordance with the requirements of N.J.S.A. 40A:12A-8(g), the terms and conditions of the Agreement for the Sale of Land and Redevelopment, the form of which is attached hereto (the “Agreement”), and the South Ward and West Ward Redevelopment Plan, as amended; and
WHEREAS, pursuant to the above-mentioned statutory authority, the Department of Economic and Housing Development has recommended that the City of Newark sell the Properties to A.P., LLC, whom is willing to purchase the Properties from the City, for the consideration of Two Hundred Thirty Thousand, Four Hundred Ten Dollars and Zero Cents ($230,410.00), for the purpose of redeveloping said Properties in accordance with the requirements of N.J.S.A. 40A:12A-8(g), the Agreement, and the South Ward and West Ward Redevelopment Plan, as amended.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor and/or his designee and the Deputy Mayor/Director of the Department of Economic and Housing Development are hereby authorized to enter into and execute the Agreement for the Sale and Redevelopment of Land attached hereto with A.P., LLC, 57 Boston Street, Newark, New Jersey 07114, for the private sale and redevelopment of the following Properties, for the following Purchase Price, in accordance with the requirements of N.J.S.A. 40A:12A-8(g), the terms and conditions of the attached Agreement and the South Ward and West Ward Redevelopment Plan, as amended:
686 South 16th Street, Block 359, Lot 33, South Ward, 93 19th Avenue, Block 367, Lot 6, South Ward, 39 Pierce Street, Block 2619, Lot 20, South Ward, 41 Pierce Street, Block 2619, Lot 21, South Ward, 797 South 15th Street, Block 2646, Lot 19, South Ward, 189 Jelliff Avenue, Block 2662, Lot 30, South Ward, 84 West Alpine Street, Block 2693, Lot 4, South Ward, 80 Willoughby Street, Block 3051, Lot 45, South Ward, 144 Leslie Street, Block 3065, Lot 8, South Ward, 437 Jelliff Avenue/Block 3578/Lot 61/South Ward, 276-278 Renner Avenue, Block 3625, Lot 7, South Ward, 585 South 19th Street, Block 339, Lot 17, West Ward, 319 South 18th Street, Block 1793, Lot 15, West Ward, 290 South 19th Street, Block 1793, Lot 60, West Ward, 113 South 9th Street, Block 1827, Lot 18, West Ward,108-110 South 13th Street, Block1859, Lot 59, West Ward, 103 Alexander Street, Block 4059, Lot 8, West Ward, 38 Palm Street, Block 4199, Lot 95, West Ward, 33 North Munn Avenue/Block 4213/Lot 29/West Ward, and 31 North Munn Avenue, Block 4213, Lot 30, West Ward.
Total Square Footage: 57,602.5
Total Purchase Price: $230,410.00 ($4.00 per sf)
2. Said Properties shall be sold to A.P., LLC by private sale for the purpose of developing the abovementioned properties into one (1), two (2), or three (3)-family residential units, with or without additional retail use.
3. The Deputy Mayor/Director of the Department of Economic and Housing Development is hereby authorized to effectuate certain business terms and conditions related to the Redevelopment Agreement annexed hereto and may enter into access and right of entry agreements and any related documents which may be necessary in order to effectuate the sale of the Properties and the terms and conditions of the Agreement, all in forms subject to the approval of the City of Newark Acting Corporation Counsel.
4. The Deputy Mayor/Director of the Department of Economic and Housing Development is hereby authorized to enter into a maximum of two (2) six (6) month extensions of any timeframe set forth in the Agreement, subject to full written disclosure of such extension(s) (in the form of a signed memorandum to be submitted to the Office of the City Clerk prior to adoption) to the Municipal Council of the City of Newark by the Deputy Mayor/Director of the Department of Economic and Housing Development and the approval of the City of Newark Acting Corporation Counsel.
5. The Redeveloper shall be designated as the exclusive redeveloper of the Properties and any other prior legislation authorizing or intended to authorize the sale and/or redevelopment and/or rehabilitation of the Properties is hereby rescinded.
6. The Redeveloper shall have thirty (30) days from the date this resolution is certified by the Office of the City Clerk to execute the attached Agreement for the Sale and Redevelopment of Land and return same to the Department of Economic and Housing Development. Should the Redeveloper fail to execute and return the attached Agreement within this thirty (30) day time period, the authorization provided by this resolution shall be null and void, unless the Deputy Mayor/Director of the Department of Economic and Housing Development agrees in writing to extend this thirty (30) day time period.
7. The Director of Finance is hereby authorized to receive proceeds of the sale and to deposit same as follows: ninety (90) percent of the sale proceeds shall be deposited into the Community and Economic Development Dedicated Trust Fund established under Resolution 7Rg, November 6, 1985; and ten (10) percent of the sale proceeds shall be placed in the City’s Affordable Housing Trust Fund established under City Ordinance 6PS&Ff, June 21, 2006, for the purpose of preserving low and moderate income affordable housing.
8. The Deputy Mayor/Director of the Department of Economic and Housing Development shall place a copy of the executed Agreement for the Sale and Redevelopment of Land, the Quitclaim Deed, and all such other executed agreements authorized by this resolution on file in the Office of the City Clerk.
9. The Redeveloper shall be required to comply with the City of Newark’s Minority Set-Aside Ordinance 6S&Fd, April 5, 1995; the City of Newark’s Affirmative Action Plan 7Rbp, March 1, 1995; Federal Executive Order 11246, (as amended by Executive Orders 11375 and 12086) regarding the award of goods and services contracts; and the City of Newark Ordinance 6PSF-c June 17, 2015, Amending Title II, Administration, Chapter 4, General Administration, Section 20, Hiring of Newark Residents by Contractors or Other Persons Doing Business with the City of Newark and Section 21, Newark Residents’ Employment Policy, by Adding Language to Address Immediate Short Term Training and Employment Opportunities and Repealing the Newark Employment Commission, a copy of which is attached to the Agreement (the “First Source Ordinance”), all as may be applicable. In addition, the Redeveloper has agreed to ensure that 30% of all contractors, subcontractors and suppliers shall be Newark-based companies.
10. The redevelopment of the Properties shall be commenced within three (3) months and be completed within eighteen (18) months from the transfer of ownership of the Property by the City to the Redeveloper.
11. The project to be implemented by the Redeveloper shall conform to the City of Newark Design Guidelines, including standards for environmental sustainability and energy efficiency, as established by the Department of Economic and Housing Development. Additionally, the Redeveloper shall conduct any environmental investigation and remediation upon the Properties as may be necessary. Should the Redeveloper fail to diligently pursue the redevelopment of the Properties, then the City, in its sole discretion, may exercise its Right of Reverter to transfer title to the Property back to the City, in accordance with the terms and conditions of the Agreement and the deed.
12. The Deputy Mayor/Director of the Department of Economic and Housing Development is hereby authorized to execute a Quitclaim Deed to the Redeveloper for the Properties. Said Quitclaim Deed conveying title to the Property to the Redeveloper shall be approved as to form and legality by the City’s Acting Corporation Counsel and attested to and acknowledged by the City Clerk.
STATEMENT
This Resolution authorizes the Mayor and/or his designee and the Deputy Mayor/Director of the Department of Economic and Housing Development to enter into and execute an Agreement for the Sale and Redevelopment of Land with A.P., LLC, 57 Boston Street, Newark, New Jersey 07114, for the private sale and redevelopment of the following Properties, for the following Purchase Price, in accordance with the requirements of N.J.S.A. 40A:12A-8(g), the terms and conditions of the attached Agreement for the Sale and Redevelopment of Land and the South Ward and West Ward Redevelopment Plan, as amended:
686 South 16th Street, Block 359, Lot 33, South Ward, 93 19th Avenue ,Block 367, Lot 6, South Ward, 39 Pierce Street, Block 2619, Lot 20, South Ward, 41 Pierce Street, Block 2619, Lot 21, South Ward, 797 South 15th Street, Block 2646, Lot 19, South Ward, 189 Jelliff Avenue, Block 2662, Lot 30, South Ward, 84 West Alpine Street, Block 2693, Lot 4, South Ward, 80 Willoughby Street, Block 3051, Lot 45, South Ward, 144 Leslie Street, Block 3065, Lot 8, South Ward, 437 Jelliff Avenue/Block 3578/Lot 61/South Ward, 276-278 Renner Avenue, Block 3625, Lot 7, South Ward, 585 South 19th Street, Block 339, Lot 17, West Ward, 319 South 18th Street, Block 1793, Lot 15, West Ward, 290 South 19th Street, Block 1793, Lot 60, West Ward, 113 South 9th Street, Block 1827, Lot 18, West Ward,108-110 South 13th Street, Block1859, Lot 59, West Ward, 103 Alexander Street, Block 4059, Lot 8, West Ward, 38 Palm Street, Block 4199, Lot 95, West Ward, 33 North Munn Avenue/Block 4213/Lot 29/West Ward, and 31 North Munn Avenue, Block 4213, Lot 30, West Ward.
Total Square Footage: 57,602.5
Total Purchase Price: $230,410.00 ($4.00 per sf)
to develop the Properties into one (1), two (2), or three (3)-family residential units, with or without additional retail use.