The Planning Board unanimously approved an amended preliminary and final major site plan for Station Place on Tuesday night, paving the way for 116 rental units instead of the 80 condos that gained approval 18 months ago.
Continue reading Station Place rentals approved
Category Archives: Apartments
Trader Joe’s, 2013?
Not good news for those of you hoping to see a Trader Joe’s downtown anytime soon.
Station Place returns to Planning Board
The developer who once proposed 80 units for the Station Place development is expected to come before the Planning Board Tuesday night with plans to convert the project into 116 rental units.
Plan for Koza’s comes back
A new plan for Koza’s bar on West Scott Avenue was deferred Monday night until next month’s meeting, Oct. 20. Only five members of the Zoning Board of Adjustment were present, barely enough for a quorum.
Only Rahway Rising had the story last December when the Zoning Board of Adjustment rejected a concept plan for 12 units at the 3/4-acre site that would have renovated the 1920 structure and added a second floor. While Zoning Board members appreciated the plan, there was some concern about the density. The new plan includes nine townhouses but still requires a bulk variance and use variance.
Koza’s didn’t fare too well in our “What’s your favorite bar in Rahway?” poll this past spring, but it must be considered one of the “elder statesemen” of Rahway bars (read: old school), as I’ve heard the second-shifters at Merck used to patronize it back in the day.
Condo projects into rentals
If it can happen in everyone’s redevelopment mentor city of Hoboken, it can happen in Rahway. It looks like two projects originally planned as for-sale condos will become rentals.The developer of Station Place has started to look at a plan for 116 rental units instead of 80 condos for the five-story project on a 1.6-acre site on Campbell Street. “Because of what happened in the economy in general, and the financial sector specifically, condos are very difficult to finance,” Clay Bonny of Heartstone Development said at last week’s Redevelopment Agency meeting. “Apartments are very easy to finance.” No major lenders are getting into condo construction, he said, so to keep the project moving, they decided to examine rentals instead.
A recent Wall Street Journal story pretty much confirmed the lending situation, for both consumer and businesses: “Banks continue to get more restrictive in their real-estate lending as the housing bust adds to their losses.”
Heartstone received Planning Board approval in March 2007 (.pdf) for 80 units, so it would have to get approval again for the increased density. Zoning currently allows for 60 units per acre.
The current occupant, A&M Industrial Supply, is under contract to be relocated to Edison, said Bonny. Some minor environmental issues on the property have to be cleared up, he added, so an extension on the closing has been requested through September.
Heartstone’s other project in Rahway, the 135 rentals at River Place, is 100 percent fully occupied for the first time since it opened in 2004, Bonny said.
Renaissance
at Rahway was to be a 72-unit condo project on property encompassing the former Triangle Inn. Renaissance has five of the eight necessary parcels under contract so rather than go through what could be a two-year condemnation battle, developers will move forward with 64 rental units as part of a first phase. The second phase could include the remaining units if the properties are eventually acquired, said Joseph Ranieri, an attorney with Weiner Lesniak representing Renaissance. “This project works better under these economic conditions,” he said, adding that it’s not certain they can get financing for the whole thing.
at Rahway was to be a 72-unit condo project on property encompassing the former Triangle Inn. Renaissance has five of the eight necessary parcels under contract so rather than go through what could be a two-year condemnation battle, developers will move forward with 64 rental units as part of a first phase. The second phase could include the remaining units if the properties are eventually acquired, said Joseph Ranieri, an attorney with Weiner Lesniak representing Renaissance. “This project works better under these economic conditions,” he said, adding that it’s not certain they can get financing for the whole thing.The five-story project, which would include parking on the ground floor, would eliminate and be built on top of a short stretch of Montgomery Street between East Grand Avenue and Monroe Street.
Renaissance has been unable to acquire Block 379, Lots 1, 5 and 8. City A
dministrator and Redevelopment Director Peter Pelissier said the owners of Lots 1 and 8 are not interested in selling at all. An unacceptable counteroffer was received from the owner of Lot 5, he said, which bifurcates the whole project, so if it sells in the future, it could be added. It’s unclear how many more units could be built with Lot 5 part of the project, Pelissier said. “That’s the economic dilemma,” he said, the land costs versus the number of units that could be built; do you overpay for those or go through a costly, unfriendly sale?
dministrator and Redevelopment Director Peter Pelissier said the owners of Lots 1 and 8 are not interested in selling at all. An unacceptable counteroffer was received from the owner of Lot 5, he said, which bifurcates the whole project, so if it sells in the future, it could be added. It’s unclear how many more units could be built with Lot 5 part of the project, Pelissier said. “That’s the economic dilemma,” he said, the land costs versus the number of units that could be built; do you overpay for those or go through a costly, unfriendly sale?KC Jazz construction: 6 to 9 months
Construction at KC Jazz restaurant could take anywhere from six to nine months and should start soon, according to developer Casey Granieri, who’s waiting for construction bids.
The former Kelly’s Pub building at Seminary Avenue and Irving Street received Planning Board approval (.pdf) last July. The renovated structure will have a capacity of about 100 people and feature a 1,400-square-foot patio and distinctive 37-foot tower. The second floor will include two two-bedroom apartments.
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To celebrate the city’s 150th anniversary, the Rahway Center Partnership will sponsor a block party on East Cherry Street Saturday from 11 a.m. to 6 p.m.
On tap for 2008: Park Square, Sky View
Nothing Earth-shattering in the mayor’s State of the City address last night. The new year should bring with it the completion of Park Square and Sky View at Carriage City Plaza, which includes a Hotel Indigo. Mayor James Kennedy pledged that downtown redevelopment efforts would continue to see progress this year, despite a downturn in the national economy as a result of the subprime mortgage crisis.
The largest portion of the mayor’s nine-minute remarks focused on a new billing method for sewage. He expects the city’s assessment from the Rahway Valley Sewerage Authority (RVSA) to increase from $3.6 million in Fiscal Year 2007 to $6.1 million in FY 2010, or almost 70 percent in the next three years.
Speaking of the subprime mortgage mess, what effect has it had on Rahway’s plans? I happened to pose that question to City Administrator and Redevelopment Director Peter Pelissier just last month, after reading about Asbury Park’s problems, and one Hoboken developer switching condo projects to rentals because of the housing market.
Pelissier said the city hasn’t been adversely affected by the real estate market — in terms of redevelopment — and rattled off an update on a number of projects:
* Park Square (rentals) has made plans to take out permits for the second building, which will face Main Street.
* Dornoch I (Main and Monroe streets) has taken out permits for The Savoy (36 units for purchase with 7,000 square feet of retail).
* Station Place (Five stories, with 80 units and 132 parking spaces, on Campbell Street between Elm and Cherry, for purchase) is still in the process of acquiring properties and relocating the main tenant, A&M Tool Co.
* Wheatena (Elizabeth and West Grand avenues) has requested assistance on the acquisition of properties for its 200-unit project (for purchase).
* Renaissance at Rahway, 72 units with underground parking, also requested assistance of the Redevelopment Agency to acquire the remaining three properties necessary to control the site (Triangle Inn area on Monroe Street). Five of the eight properties necessary are under contract.
* The Town Center project in the City Hall area is still being discussed, and the potential developer is negotiating with retailers as well as the property owners on the site. “As you can imagine this project is complex and will take some time to coordinate all the components of a project this size,” Pelissier said.
If a developer wanted to convert a condo project to rentals, as in some towns, the developer would have to come before the Redevelopment Agency again for approval, he said.
“Each week developers contact the mayor or myself inquiring as to the possibilities of developing in Rahway,” Pelissier said. “Also take a look around the downtown area, properties are being improved in the Arts District as well as throughout the downtown. This points out the small investor continues to believe in the future of Rahway as well as the larger developers.”
The mayor also mentioned that City Council has authorized demolition of the Hamilton Laundry site. I’ll have an update and potential timeline on that later this week.
Housing decked at tavern site
The Zoning Board of Adjustment last month rejected an application to build two bi-level duplexes on the site of Decker’s Tavern, at the corner of Jaques and East Inman avenues. The liquor license was sold earlier this year.