100 Percent Affordable Housing Site Possible In Moorestown

MOORESTOWN, NJ — Moorestown Council has taken the first step to approve a 100 percent affordable housing complex on Route 38 West. Council voted 4-0 to approve the proposal on first reading at its meeting Monday night at Town Hall.

Councilwoman Lisa Petriello abstained, saying she had just received the information pertaining to the proposed ordinance earlier in the day. Township Manager Tom Merchel said he sent the details of the proposal to council members on May 20, and other members of council said they received it. Later in the week, Petriello said she double-checked and said she had not received the May 20 email.

The proposal calls for 76 rental units as part of the project proposed by Moorestown Urban Renewal Associates, LLC, 75 of which would be subject to affordable housing controls. The 76th unit would be for the building’s superintendent.

The units are a mix of one-, two-, and three-bedroom rentals. They would be leased to tenants whose incomes meet low and moderate income standards set forth by the state.

The proposal allows for a 30-year PILOT (payment in lieu of taxes) for the developer. The ordinance as introduced during the June 11 council meeting was posted on the township’s website, but as of Friday, June 15, the financial agreement had not yet been included. The proposed ordinance can be seen by clicking here.

Merchel claimed that the PILOT will help residents with their own taxes. Without the PILOT, the project would’ve been much larger, Merchel said. That could ultimately result in a bigger burden on the township’s services and schools. Some residents who live in the area have argued that there are other options, but council claims those options would result in more homes and a bigger financial burden.

Following a lengthy process that included the township, the Fair Share Housing Center, the courts and intervenor developers, Moorestown reached an agreement to build 337 new affordable housing units by 2025.

This project has been of particular interest to residents who have been served notice that the developer is looking to have a restrictive covenant invalidated so it can begin work on the project.

The property the developer is looking to build on at one time was a large, 61-acre farm, but has since been sub-divided into 47 individual properties, some of which are in Mount Laurel.

The restrictive covenant stipulates that no dwelling can be built on less than half an acre of land, and that no dwelling that costs less than $5,000 shall be erected on any lot of ground of said premises. A letter attached to the summons received by the property owners in the area states that they have been named as defendants because they own real property in Moorestown and Mount Laurel that is subject to the restrictive covenant.

The letter states that the developer is not seeking anything other than the invalidation of the covenant. This includes “any affirmative judgment against any individual defendant.” The deed restriction has existed since the 1940s, according to a copy of the litigation provided to Moorestown Patch.

The developer says the restriction was clearly designed to restrict the availability of affordable housing in Moorestown. It also says it violates the constitutional right to affordable housing under the Mount Laurel Doctrine and sound public policy. It also claims the covenant has been ignored in some cases, rendering it invalid.

The public hearing and final vote on the proposal is scheduled for the June 25 council meeting. Before then, the proposal will go before the Planning Board during a special meeting on Monday night, June 18, 7:30 p.m. in the main council chambers at town hall, 111 West Second Street. All or some members of council may be in attendance for that meeting.

Patch file photo