BOROUGH SIGNS REDEVELOPMENT AGREEMENT
In an exciting and long-anticipated development, Borough Council unanimously approved Resolution 2020-173 authorizing Mayor Gina Tait to execute a Redevelopment Agreement with Palmyra Urban Renewal Entity, LLC (“PURE”) for the Rt. 73 South Redevelopment Area. The agreement was signed during the Regular Borough Council Meeting on Monday, September 21, 2020.
The Borough has been negotiating with this group, a joint venture of Stock Development Group, Inc. of Doylestown, PA and Cherokee Equities, LLC of Red Bank, NJ, for over two years and was able to finally and successfully execute a deal that will bring this very complicated (due to environmental contamination and various litigation) and valuable project to fruition. See our previous Did You Know… post for more information.
The plan for the Rt. 73 South Redevelopment Area is comprised of two phases. Phase I, addressed in this Redevelopment Agreement, calls for the construction of two warehouses of approximately 1 million and 700,000 square feet respectively, and the development and construction of all affordable housing units required to responsibly satisfy our obligations to those less fortunate citizens under our Court-supervised COAH/Fair Share Housing Center (“FSHC”) Settlement Agreement. (See Exhibit 6 and accompanying note below.)
Phase I construction will occur on the Fillit property – the largest property in the Redevelopment Area at approximately 104-acres (that includes a 60-acre former landfill) — and the National Amusements property, which is the former drive-in movie theater (back in the good ol’ days!) and the flea market in more recent years.
Phase II includes redevelopment of the commercial properties fronting on Rt. 73 South between the Burlington County Bridge Commission/Palmyra Cove Nature Park and the RR track overpass about a quarter-mile further south on Rt. 73. Phase II will be addressed in a future Redevelopment Agreement with PURE.
Amenities the Borough will receive from the Redeveloper in Phase I include:
- Payment in full of a $300,000 lien the Borough secured on the Fillit property that was awarded by the Court as a result of litigation the Borough brought against the property owner for damages due to environmental contamination. (The Redeveloper is currently in the process of obtaining title to this 104-acre parcel).
- $50,000 of the $300,000 lien was paid at the time the Agreement was signed — it’s already in the bank folks!
Other amenities included in the Phase I Agreement:
- $600,000 for replacement of the artificial turf field at Legion Field by 2022;
- $250,000 for Neighborhood Preservation/Community Development programs;
- Hiking trails connecting to the Palmyra Cove Nature Park and other passive recreation opportunities;
- Full satisfaction of the Borough’s low and moderate income affordable housing obligations;
- Responsible capping and monitoring of the existing 60-acre landfill; proper clean-up and mitigation of the environmental contamination; and professional care and management of the sensitive wetlands areas — all under the watchful eyes of New Jersey’s Department of Environmental Protection;
- And last but not least, millions of dollars in much-needed tax revenue!
Tax revenue for the project will be generated by a Payment in Lieu of Taxes (PILOT) for the warehouse component of the project. Details of the PILOT will be determined after the Borough’s financial consultant, Acacia Financial Group, completes their review and analysis of all aspects of the project. For more information about PILOTs see the link above to the previous Did You Know… post. Taxes to be paid for the affordable housing component of the project have yet to be determined.
The Redeveloper has also made application to the Borough’s Land Use Board for Preliminary/Final Site Plan and Subdivision Plan review and approvals. The “LUB” will hear the application at it’s November 18, 2020 meeting.
Please note this site is a work in progress and all Exhibits to the Redevelopment Agreement will be uploaded to this webpage over the next week or so, so please be patient and check back often! We simply wanted to get as much information to our residents as soon as possible while we continue to provide the remainder of the documentation.
Coming soon… (IF NOT ALREADY UPLOADED!)
LIST OF EXHIBITS:
Exhibit 1 – 2005 Redevelopment Plan
(Note: See the Amended Redevelopment Plan approved by Palmyra’s Land Use Board, Resolution 2020-8 on September 16, 2020.)
Exhibit 2 – Project Site Description
Exhibit 3 – Site Plan/Subdivision Plan
Exhibit 4 – Project Schedule_Rev 2
Exhibit 5 – Infrastructure Improvements
Exhibit 6 – COAH/FSHC Settlement Agreement_11-14-2016
(Please note: The Borough is still engaged in discussions with FSHC to finalize the terms of our affordable housing obligation to ensure the project meets all requirements and goals; we expect to amend the current COAH/FSHC Settlement Agreement in the near future as a result. Out of respect to that process and the dedicated professionals involved, Borough officials decided to wait until those discussions had sufficiently advanced before releasing details of this exciting project publicly.)
Exhibit 7 – Project Description
Exhibit 8 – Project Improvements
Exhibit 9 – Recreational Amenities
Exhibit 10 – Disclosure Schedule
Exhibit 11 – Insurance Coverage
Exhibit 12 – Escrow Agreement
Exhibit 13 – Declaration of Covenants, Conditions and Restrictions