MONTVALE, N.J.—Mayor Michael Ghassali, who leads a 27-town coalition challenging New Jersey’s fourth round of affordable housing in state and federal court, told residents that the borough needs to construct only three units of affordable housing over the next decade—not the original 348-unit obligation recommended by a state agency last October.
Following negotiations and legal challenges, Ghassali told Pascack Press on June 27 that a judge assigned Montvale a final “prospective need” of 205 affordable units from 2025 through 2035.
However, citing a lack of vacant, developable land, he said the borough’s realistic development potential (RDP) amounts to only three units.
Montvale’s 81-page Housing Element and Fair Share Plan (HEFSP), prepared by planner Darlene Green of Colliers Engineering & Design, explains that only two parcels in town meet the criteria for development under the state’s Vacant Land Adjustment (VLA) formula, yielding space for just three affordable units. That figure does not eliminate the borough’s larger obligation, which still includes an “unmet need” of 202 units.
The borough also has a 30-unit “present need” obligation—representing substandard homes that must be rehabilitated to meet affordable housing standards. The plan proposes a borough-run rehabilitation program, supplemented by the Bergen County Home Improvement Program, to fulfill this obligation.
The Planning Board approved the HEFSP on June 17, and the Borough Council followed on June 24. Submission to the state by June 30 provides Montvale immunity from “builder’s remedy” lawsuits, in which developers may sue to build high-density housing in non-zoned areas.
In a June 25 email to residents titled “348 to 3 – Housing Plan,” Ghassali credited the borough’s limited buildable land—including parcels near rail tracks, highways, and the state line—for the steep reduction.
He wrote, “Our obligation number was 348, while our submitted number was just 3.” He added that Montvale, along with his 27-municipalities-strong Local Leaders For Responsible Planning coalition, continues to challenge “flaws and corruption inherent in this system.” Ghassali did not cite sources for his assertions about the housing law. He declined to expand on his allegations.
The HEFSP notes that Montvale has proactively rezoned several commercial areas to permit inclusionary development since 2018, generating a surplus of 44 affordable units. These include developments such as Thrive at Montvale, Village Springs, The District, Woodland Square, and 26 N. Kinderkamack.
While the borough contends it has met its limited development potential, Fair Share Housing Center disputes how towns interpret the obligation to address 25% of their adjusted prospective need. The nonprofit contends this applies to unmet need, not just RDP. A final ruling on the correct interpretation has yet to be issued. The adopted HEFSP is available via the borough website, montvale.org.