Moorestown Paving Way For Affordable Housing Complex Near Mall

MOORESTOWN, NJ — Moorestown is moving ahead with a proposal to bring a 75-unit affordable housing complex to a site near the Moorestown Mall after council unanimously approved a pair of resolutions Monday night.

The first resolution allows the township to purchase the 3.2 acre site at 307 Harper Drive for a price that is still being negotiated. The second resolution allows the township to once again alter its agreement with the Fair Share Housing Center to allow for the Harper Site to be used for an affordable housing complex.

It is the third site to be considered, after the township selected the Miles Site as a replacement for a site off Route 38 Pennrose had intended to develop for the same complex. The township was unable to reach an agreement with the owners of that site.

After those two resolutions were passed, council permanently tabled a proposed ordinance to re-zone the Miles Site so it could be used for affordable housing.

The Harper Site is on the corner of Harper Drive and East Gate Drive, very close to the Moorestown Mall. Township officials said using this site instead of the Miles Site will save the township about $1 million.

It also has more public transportation options, closer access to shopping restaurants and employers and other “amenities that will benefit future residents,” township officials said.

Some residents agreed that it was preferable to the other sites that have so far been proposed for this complex, with some pointing to the trend of residential developments coming to former or existing mall outlets as a growing trend around the country.

“It’s considered an urban setting in a suburban area,” one resident said. “We would need to provide sidewalks and encourage a supermarket to move into the mall, but I think it’s a desirable way to go.”

She pointed specifically to the King of Prussia Mall, which has a mixed-use residential and retail component on the site of a former golf course, known as the King of Prussia Town Center.

While affordability might not be a key component, a 192-unit senior living complex is under construction in the area. Business is booming in the area, too, as 11 new stores are set to open soon at the mall and four new tenants are coming to the town center.

In Voorhees, the former Echelon Mall has been replaced by a similar concept known as the Voorhees Town Center, although that concept is still evolving. A developer has proposed building an indoor sports center at the site of the former Macy’s, and the food court may be replaced by microbreweries, large screen TVs and finger foods, according to The Philadelphia Inquirer.

In 2016, the country's oldest mall in Rhode Island was transformed into a center that included 48 tiny apartments with a mix of businesses, according to Business Insider.

The trend comes with the closing of stores as more sales move online. Stores have been moving out of the Moorestown Mall in recent years. Most recently, Lord & Taylor’s announced it will be closing its Moorestown Mall store. Other stores that have left the mall include Macy’s, Charlotte Russe and Payless.

On the other hand, new businesses have been moving in. Planet Fitness recently announced it would open a Moorestown Mall location in the spring. The spot formerly occupied by Macy's now houses three stores: Five Below, HomeSense and Sierra.

Michael's Arts and Crafts will also be opening in 2020. Both stores join a roster of restaurants that includes Harvest Seasonal Grill and YardHouse, Regal Cinema, popular retail brands including H&M, Express, Foot Locker, Hollister and Victoria's Secret, and the award-winning Rizzieri Salon and Spa.

The mall recently reported “strong results,” as rent generated at the former Macy's store checks in at 19 percent times the prior revenue, and traffic through June 30, 2019 was up 5.7 percent when compared to the first six months of 2018.

Councilman Mike Locatell said mall owner PREIT has expressed some interest in doing something, and Mayor Lisa Petriello said there is an opportunity to reimagine the area. In the case of any shopping area, like the mall or K-Mart, the township would have to work with the current property owners.

“I like the idea of a town center, but would those be 100 percent low and moderate income?” one resident asked.

“Any development moving forward must include 20 percent set aside for affordable housing,” Deputy Mayor Nicole Gillespie said.

As for the Harper Site, a developer has not yet been selected, and some residents asked it Pennrose might be considered. The developer had filed a lawsuit to have a restrictive covenant invalidated so it can begin work on the project, and that litigation drags on about a year and a half later.

It has also entered into litigation with the township after Moorestown identified the Miles Site as an alternative site, and Judge Ronald Bookbinder ruled Pennrose couldn't move forward with its proposal, according to Township Manager Thomas Neff.

The theory is that Pennrose might drop its litigation if it is offered another site, but some members of council said they’d rather put out a request for proposal (RFP) and try to get the best deal for the township. Others hoped Pennrose might be considered for the new project.

One resident also asked when the site Pennrose proposed to develop will be re-zoned so that affordable housing can't be built there. Township Solicitor Kevin Aberant said the housing plan must be explored by the planning board before that can happen. Otherwise, the decision to do so by the township would be found to be inconsistent.

Locatell said that the initial ordinance that re-zoned it was found to be inconsistent, but council approved the proposal with a resolution acknowledging the inconsistencies and outlining its reason for the change. He suggested council could do the same thing here.

Gillespie said it is only zoned for 100 percent affordable housing, and there was no danger that any other developer would propose that because it wouldn't be lucrative. Any proposal other than 100 percent would be denied by the council, but members agreed the zoning had to be changed back soon.

One resident expressed concern about the site’s density.

“The new site is 3.2 acres, which means you’d have to build a 4-story building,” he said. “Have you looked at buying any additional space in the parking lot next to it?”

“They tentatively agreed to make 50 spaces available and make it easier to expand,” Neff said.

Monday night’s actions helped the township move forward with its affordable housing obligation. The court ordered that Moorestown have control of a suitable property to satisfy the needs of the proposed site by Sept. 18.