South Brunswick To Vote On Tax Breaks For 177-Unit Affordable Housing Project

SOUTH BRUNSWICK, NJ — The township council is set to vote Wednesday on extending long-term tax exemptions for two affordable housing projects totaling 177 units on Henderson Road, with delays stemming from the COVID-19 pandemic cited as a key reason for the amendments.

The council will consider final passage of two ordinances — both introduced April 15 — that would extend the life of long-term tax exemptions for projects at 211 Henderson Road to the full 30 years allowed under New Jersey law from the date construction commences.

The first ordinance involves Henderson Road Supportive Housing Urban Renewal Associates, L.P., which in 2018 received council approval to build a 61-unit, 100% affordable rental housing project. The second involves Henderson Road Urban Renewal Associates, L.P., approved the same year to construct a 116-unit mixed-income rental housing project on an adjacent parcel at the same address.

Both projects were originally approved July 3, 2018 under the New Jersey Long Term Tax Exemption Law. Construction on both was delayed due to the pandemic and subsequent economic conditions, according to the ordinances.

The township cited the need to enhance the economic viability of the projects as the basis for the extensions, noting that subsequent amendments to state law now allow long-term tax exemptions to run up to 50 years from initial execution or 30 years from commencement, whichever is shorter.

Under both ordinances, the mayor or township manager would be authorized to execute a Memorandum of Understanding reflecting the terms of the extension.

The vote is scheduled for Wednesday, May 6 at 6 p.m. at the Municipal Building, 540 Ridge Road, Monmouth Junction. Members of the public may be heard at the time of second reading.

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