Title
Dept/ Agency: Economic and Housing Development
Action: ( ) Ratifying (X) Authorizing (X) Amending
Type of Service: Private Sale/Redevelopment
Purpose: First Amendment to the Agreement for the Sale and Redevelopment of Land to M.T.A. & Associates, LLC to correct the property description
Entity Name: M.T.A. & Associates, LLC
Entity Address: 455 Stuyvesant Avenue, Irvington, New Jersey 07111
Sale Amount: $45,000.00
Cost Basis: (X) $9.00 PSF ( ) Negotiated ( ) N/A ( ) Other:
Assessed Amount: $34,400.00
Appraised Amount: N/A
Contract Period: To commence 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)
684-686 South 18th Street/Block 357/Lot 37/South Ward
Additional Information:
Resolution 7R2-e adopted on April 24, 2024, authorized the Private Sale/Redevelopment pursuant to the Agreement for the Sale and Redevelopment of Land.
This Resolution authorizes a First Amendment to the Agreement for the Sale and Redevelopment of Land to correct the Scope of Project.
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WHEREAS, on April 24, 2024 the Newark Municipal Council adopted Resolution 7R2-e (the “Original Resolution”), which authorized the Mayor and/or his designee 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 (“Agreement”), for the sale of the following City-owned property (the “Property”) to M.T.A. & Associates, LLC, 455 Stuyvesant Avenue, Irvington, New Jersey 07111 (“Redeveloper”), pursuant to the Local Redevelopment and Housing Law, N.J.S.A. 40A:12A-1 et seq., located within the South Ward, no longer needed for public use, in accordance with the Third Amendment to the South Ward Redevelopment Plan, adopted by Ordinance 6S&Fd(S) on August 17, 2005, as amended, which governs the redevelopment of City-owned property located in the South Ward, in the amount of Forty-Five Thousand Dollars and Zero Cents ($45,000.00), for the new construction of two (2) two-family homes with one (1) home providing affordable rental units and the other home will be market rate rentals (“Scope of Project”):
ADDRESS WARD BLOCK LOT
684-686 South 18th Street South 357 37
WHEREAS, while the Redeveloper has actively worked towards completing the purchase of the Property, pursuant to the Agreement and commencing the redevelopment of the Property, it was discovered that the Scope of Project was incorrect when approved by Municipal Council; and
WHEREAS, the Deputy Mayor/Director of the Department of Economic Housing and Development has reviewed and approved the request to amend the Scope of Project from the new construction of two (2) two-family homes with one (1) home providing affordable rental units and the other home will be market rate rentals, to the new construction of two (2) two-family homes with 686 South 18th Street constructing one (1) home to be sold at market rate and 684 South 18th Street constructing two (2) units, one (1) sold at market rate and one (1) sold at an affordable rate of fifty percent (50%) Area Median Income(“AMI”), as outlined in the original Letter of Interest, attached hereto as Exhibit B (“Amended Project Description”); and
WHEREAS, the Deputy Mayor/Director of the Department of Economic Housing and Development has reviewed and approved the request to amend the Scope of Project and recommends that the Newark Municipal Council authorize the execution of the First Amendment to the Agreement for the Sale and Redevelopment of Land with the Redeveloper (“Amended Agreement”); and
WHEREAS, the City and Redeveloper desire to amend the Original Resolution, in order to memorialize the terms and conditions of the sale and redevelopment of the Property, in a form substantially consistent to the Amended Agreement, attached hereto as Exhibit A.
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 First Amendment to the Agreement for the Sale and Redevelopment of Land (“Amended Agreement”), in the form attached here to as Exhibit A, with M.T.A. & Associates, LLC, 455 Stuyvesant Avenue, Irvington, New Jersey 07111 (the “Redeveloper), for the private sale and rehabilitation of the following Property, for the Purchase Price of Forty-Five Thousand Dollars and Zero Cents ($45,000.00), in accordance with the requirements of N.J.S.A. 40A:12A-8(g), the terms and conditions of the attached Amended Agreement and the South Ward Redevelopment Plan, as amended and to amend the Scope of Project from the new construction of two (2) two-family homes with one (1) home providing affordable rental units and the other home will be market rate rentals, to the new construction of two (2) two-family homes with 686 South 18th Street constructing one (1) home to be sold at market rate and 684 South 18th Street constructing two (2) units, one (1) sold at market rate and one (1) sold at an affordable rate of fifty percent (50%) Area Median Income (“AMI”):
ADDRESS WARD BLOCK LOT
684-686 South 18th Street South 357 37
2. All other terms and conditions of the Agreement for the Sale and Redevelopment of Land (“Original Resolution”), authorized pursuant to Resolution 7R2-e adopted by the Newark Municipal Council on April 24, 2024, shall remain in full force and effect.
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 Amended Agreement and may enter into any related documents, which may be necessary in order to effectuate the Amended Agreement.
4. The Deputy Mayor/Director of the Department of Economic and Housing Development are hereby authorized to execute a Quitclaim Deed for the sale of the Property to the Redeveloper. Said Quitclaim Deed, conveying title to the property to the Redeveloper shall be approved as to the Form and Legality by the City of Newark’s Corporation Counsel and attested to and acknowledged by the City Clerk.
5. The executed Amended Agreement and the Quitclaim Deed shall be placed on file in the Office of the City Clerk by the Deputy Mayor/Director of the Department of Economic and Housing Development.
6. The Deputy Mayor/Director of the Department of Economic and Housing Development is authorized to enter into a maximum of two (2) six (6) month extensions of any timeframe set forth in the Amended 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’s Corporation Counsel.
7. 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 Amended Agreement and return same to the Department of Economic Housing Development. Should the Redeveloper fail to execute and return the attached Amended 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 period.
STATEMENT
This Resolution authorizes and amends the Mayor and/or his designee, and the Deputy Mayor/Director of the Department of Economic and Housing Development, on behalf of the City of Newark, to enter into a First Amendment to the Agreement for the Sale and Redevelopment of Land with M.T.A. & Associates, LLC, 455 Stuyvesant Avenue, Irvington, New Jersey 07111 (“First Amendment”), to correct the Scope of Project.