Title
Dept/ Agency: Economic and Housing Development
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Waiving 20 day period for an ordinance to take effect
Purpose: Tax abatement for 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538, needs to take immediate effect so that the Applicant can meet the HFMA application deadline of May 31, 2017.
Ordinance No(s).: Ordinance 6F-a(S), adopted on first reading by the Municipal Council on May 11, 2017. Ordinance 6PSF-a(S) is scheduled for a public hearing, second reading and final passage Upon final passage this Ordinance grants a long term tax abatement to 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538, under the HFMA Law for thirty (30) years for a project to renovate and rehabilitate an existing, underutilized office building into approximately (i) 208 market rate residential apartment units, (ii) 52 low income apartment units rented to persons earning less than fifty percent (50%) of the area median income, and (iii) approximately 60,000 gross square feet of office/non-residential space and 17,000 square feet of retail space, and all related improvements located on real property commonly known as 538-546 Broad Street, Newark, New Jersey and identified on the City’s tax map as Block 24, Lot 29 (Central Ward).
Additional Information:
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WHEREAS, on June 14, 2016, 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538 (the “Entity”) filed an application with the Mayor seeking a long term tax abatement pursuant to the New Jersey Housing and Mortgage Finance Agency Law of 1983, as amended and supplemented (N.J.S.A. 55:14K-1 et seq., (the “HMFA Law”), for a project to renovate and rehabilitate an existing, underutilized office building into approximately (i) 208 market rate residential apartment units, (ii) 52 low income apartment units rented to persons earning less than fifty percent (50%) of the area median income, and (iii) approximately 60,000 gross square feet of office/non-residential space and 17,000 square feet of retail space, and all related improvements located on real property commonly known as 538-546 Broad Street, Newark, New Jersey and identified on the City’s tax map as Block 24, Lot 29 (collectively, the “Project”) and
WHEREAS, the above Tax Abatement Application was advanced and adopted on first reading by the Municipal Council on May 1, 2017 through Ordinance 6F-a(S), the Ordinance grants the Project a Long Term Tax Abatement, and is scheduled for a public hearing, second reading and final passage, as Ordinance 6PSF-a(S), on May 23, 2017; and
WHEREAS, the Project is being financed, in part, by the New Jersey Housing and Mortgage Finance Agency (the “HMFA”); and
WHEREAS, the Redeveloper must obtain the tax abatement for the Project to meet the NJHFMA application deadline of May 31, 2017; and
WHEREAS, there is an exigent need for the tax abatement for this Project to take immediate effect so that the Redeveloper can meet the HMFA application deadline; and
WHEREAS, the Project is essential to address affordable housing in the City of Newark; and
WHEREAS, N.J.S.A. 40:69A-181(b) authorizes a Governing Body to adopt a resolution declaring an emergency and authorizing that an Ordinance take immediate effect so long as at least two-thirds of all the members of the Governing Body vote in favor of such resolution.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. As a result of the reasons set forth herein and the important public policies enunciated, an emergency is hereby declared to exist as to the implementation of the Tax Abatement for 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538, and Ordinance 6F-a(S) adopted May 11, 2017, upon final passage by the Municipal Council, , as Ordinance 6F-a(S),granting a long term tax abatement to 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538, under the HFMA Law for thirty (30) years for a project to renovate and rehabilitate an existing, underutilized office building into approximately (i) 208 market rate residential apartment units, (ii) 52 low income apartment units rented to persons earning less than fifty percent (50%) of the area median income, and (iii) approximately 60,000 gross square feet of office/non-residential space and 17,000 square feet of retail space, and all related improvements located on real property commonly known as 538-546 Broad Street, Newark, New Jersey and identified on the City’s tax map as Block 24, Lot 29 (Central Ward) shall take immediate effect.
STATEMENT
This resolution hereby authorizes an emergency to be declared and further authorizes Ordinance 6F-a(S) adopted May 11, 2017, upon final passage, by the Municipal Council, as Ordinance 6PSF-a(S), an Ordinance granting a long term tax abatement to 540 Broad Street Owners, LLC, 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538, under the HFMA Law for thirty (30) years for a project to renovate and rehabilitate an existing, underutilized office building into approximately (i) 208 market rate residential apartment units, (ii) 52 low income apartment units rented to persons earning less than fifty percent (50%) of the area median income, and (iii) approximately 60,000 gross square feet of office/non-residential space and 17,000 square feet of retail space, and all related improvements located on real property commonly known as 538-546 Broad Street, Newark, New Jersey and identified on the City’s tax map as Block 24, Lot 29 (Central Ward) shall take immediate effect so that 540 Broad Street Owners, LLC may meet the application deadline, of May 31, 2017, established by the New Jersey Housing and Mortgage Finance Agency.