Title
AN ORDINANCE AMENDING THE TAX ABATEMENT GRANTED TO KSPG 39 MADISON URBAN RENEWAL, LLC, 486 MARKET STREET, NEWARK, NEW JERSEY 07105, PURSUANT TO THE LONG TERM TAX EXEMPTION LAW FOR A PROJECT LOCATED ON REAL PROPERTY COMMONLY KNOWN AS 41 MADISON STREET, NEWARK, NEW JERSEY 07102, AND TO BE IDENTIFIED ON THE CITY'S TAX MAP AS BLOCK 173, LOT 60 TO REVISE CERTAIN TERMS OF THE FINANCIAL AGREEMENT FOR PURPOSE OF DEVELOPER SEEKING TO OBTAIN A CERTAIN MORTGAGE LOAN TO REFINANCE THEIR EXISTING DEBT ON THE PROPERTY.
body
WHEREAS, on December 18, 2024, the Newark Municipal Council adopted Ordinance 6PSF-d (the "Original Ordinance", a copy of which is attached hereto as Exhibit A) granting a long term tax abatement to KSPG 39 Madison Urban Renewal, LLC, 486 Market Street, Newark, New Jersey 07105 (the "Entity") for a project to construct at 33-41 Madison Street, Newark, New Jersey and identified on the City's tax map as Block 173, Lot 60 (the "Property") a new five (5) story building consisting of eighty (80) units, of which sixty-four (64) units shall be market-rate residential rental units (the "Market Rate Units"), and sixteen (16) units shall be affordable housing rental units, of which four (4) units shall be restricted to tenants at 40% of Area Median Income ("AMI"), four (4) units shall be restricted to tenants at 60% AMI and eight (8) units shall be restricted to tenants at 80% AMI (the "Income Restricted Units") and seventeen (17) on-site parking spaces located (collectively, the "Project"); and
WHEREAS, on January 21, 2025, the City and the Entity subsequently executed a financial agreement governing the Original Project (the "Original Financial Agreement", a copy of which is attached hereto as Exhibit B); and
WHEREAS, the Entity desires to enter into a certain mortgage loan (the "Loan"), to refinance their existing debt on the Property, to be made by Dwight Mortgage Trust LLC, a Delaware limited liability company (collectively, together with i...
Click here for full text