Continuing the discussion from JERSEY CITY | The Waterfront Redevelopment:
by Al Sullivan | May 25, 2014
At the same meeting, the council also voted to approve a 20-year abatement for what may be the first new development of for-sale units (rather than rentals) since the economic downturn in 2008.
The proposed condo property located at 160 First St. (Harbor Lights) is in the Powerhouse Arts district. The developers would construct a 14-story building with 159 residential condominium units, of which about 152 would be market rate, and seven moderate and/or workforce affordable housing. The project would also have slightly more than 3,800 feet on the ground floor for retail. The site would also provide about 64 parking spaces.
The site currently generates slightly more than $26,000 in annual tax revenue. The abatement would generate about $781,000 to the city annually, and just under $40,000 to Hudson County. The developer would also pay a one-time fee of $254,852 to the city’s Affordable Housing Trust Fund.
Councilman Michael Yun said he opposed giving the project a 20-year abatement, claiming other taxpayers would be forced to pay for school tax and the balance of county taxes. Jeremy Farrel, council attorney, said this isn’t completely accurate, noting that the city gets more as a result of the abatement so that other taxpayers get some relief in municipal taxes.
Under the abatement, the developer will be able to offer larger units for less money than they would offer without it.
Marc Simon, a resident of the neighborhood, spoke in favor of the abatement.
“This is being done by a local developer,” Simon said, noting that it will bring a positive change the area and residents who may become long-term, rather than renters who tend to drift off after a year or two.