Title
Dept./ Agency: Economic and Housing Development
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Rescind Resolution 7R2-d adopted on March 20, 2024
Purpose: To rescind Resolution 7R2-d adopted on March 20, 2024, determining that the Project proposed by CO Enterprises, LLC (“Entity”), meets or will meet an existing housing need within the City of Newark, enabling New Jersey Housing and Mortgage Finance Agency to process the Entity’s application for funding to finance the Project
Entity Name: CO Enterprises, LLC
Entity Address: 28 Valley Road, Suite 1, Montclair, New Jersey 07042
Funding Source: New Jersey Housing Mortgage Finance Agency Program (Low Income Housing Tax Credit)
Total Project Cost: $17,582,951.00
City Contribution: TBD
Other Funding Source/Amount: $0.00
List of Properties:
(Address/Block/Lot/Ward)
117 Aldine Street/Block 3051/Lot 21/South Ward
119-121 Aldine Street/Block 3051/Lot 22/Additional Lot 23/South Ward
295 Lyons Avenue/Block 3051/Lot 24/South Ward
297-299 Lyons Avenue/Block 3051/Lot 25/Additional Lot 26/South Ward
301 Lyons Avenue/Block 3051/Lot 27/South Ward
303 Lyons Avenue/Block 3051/Lot 28/South Ward
Additional Information:
Original Resolution 7R2-d was adopted on March 20, 2024
This Resolution rescinds the Need for Housing Project for NJHMFA Funding for CO Enterprises, LLC due to a name change and amendment to the original Redevelopment Agreement.
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WHEREAS, pursuant to Resolution 7R2-c, on March 20, 2024, the Newark Municipal Council authorized the execution of an Agreement for the Sale and Redevelopment of Land with CO Enterprises, LLC, 28 Valley Road, Montclair, New Jersey 07042 (“Redeveloper”)(“Redevelopment Agreement”), for the private sale and rehabilitation of the properties located at 117 Aldine Street, 119-121 Aldine Street, 295 Lyons Avenue , 297-299 Lyons Avenue , 301 Lyons Avenue , and 303 Lyons Avenue (Block 3051, Lots 21, 22, 23, 24, 25, 26, 27, and 28)(“Properties”), for the purchase price of One Hundred Eighty Five Thousand Five Hundred Eighty Dollars and Zero Cents ($185,580.00), for the purpose of developing the Properties into senior housing with sixty seven (67) affordable units at 60% Area Median Income (“Project”); and
WHEREAS, pursuant to Resolution 7R2-d adopted on March 20, 2024 (“Resolution of Support”), the Newark Municipal Council, determined that the Project to be known as Sheila Y. Oliver Senior Housing Development meets or will meet an existing housing need within the City of Newark; and; and
WHEREAS, the Redeveloper was seeking financing from New Jersey Housing and Mortgage Finance Agency (“Agency”), which required the Resolution of Support from the City in order for the Agency to process the Redeveloper’s application for financing; and
WHEREAS, the Redeveloper subsequently submitted a request to amend their Redevelopment Agreement and Resolution of Support due to a change of name and change of project scope; and
WHEREAS, the Department of Economic and Housing Development wishes to rescind Resolution 7R2-d adopted on March 20, 2024 due to the Developer’s request.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Municipal Council hereby rescinds Resolution 7R2-d adopted on March 20, 2024 (“Resolution of Support”), by the Newark Municipal Council, determining that the Project, senior housing with sixty-seven (67) affordable units at 60% Area Median Income, located at 117 Aldine Street, 119-121 Aldine Street, 295 Lyons Avenue , 297-299 Lyons Avenue , 301 Lyons Avenue , and 303 Lyons Avenue (Block 3051, Lots 21, 22, 23, 24, 25, 26, 27, and 28), as proposed by CO Enterprises, LLC, 28 Valley Road, Suite 1, Montclair, New Jersey 07042 (“Redeveloper”), meets or will meet an existing housing need within the City of Newark.
2. The Resolution of Support enabled the New Jersey Housing and Mortgage Finance Agency to process the Redeveloper’s application for financing to construct the Project.
3. Any authority provided pursuant to the Resolution of Support is null and void.
STATEMENT
This Resolution rescinds Resolution 7R2-d adopted on March 20, 2024, by the Newark Municipal Council.