Metro Rahway will be the next development in Rahway to begin leasing. The 116-unit rental development on Campbell Street is shooting for an Oct. 1 opening — “at the latest” — but possibly by mid-September, according to Clay Bonny of East Hanover-based Heartstone Development.
Only about 15 months ago, the old A&M Industrial Supply building was demolished to make way for Metro Rahway. Construction got under way barely a year ago on the four-story, $18-million project, a joint effort by Heartstone, AST Development and Sterling Properties.
The Redevelopment Agency was to receive half of the $290,000 development fee at the time the building permit is issued and the second half when the certificate of occupancy is issued.
The project was awarded a 15-year Payment In Lieu Of Taxes (PILOT) that will provide annual payments to the city starting at about $265,000. The Redevelopment Agency also settled with A&M Supply for $215,000 after a dispute over relocation assistance.
In the planning stages well over a decade ago, the project was envisioned to take up the entire block of Elm and Esterbook avenues and West Cherry and Campbell streets but was scaled down to an 80-unit for-sale condo complex. After the housing market collapse in 2008, the project shifted to 116 rental units.