It’s settled: 46 housing units at 188 Broadway

On three deals, Rendo says borough keeps ‘control of our destiny’

188 Broadway, via Google 2021.

WOODCLIFF LAKE—The Borough Council voted, 5-0, on Dec. 6 to approve an agreement with 188 Broadway LLP that will allow the developer to place 46 housing units at 188 Broadway — 37 rental units and nine townhouse units — and allows the developer to not build any affordable units at the site.

Councilwoman Angela Hayes was absent.

The memorandum of understanding between 188 Broadway LP and Woodcliff Lake calls for the borough to rezone 188 Broadway based on a redevelopment plan to allow the 46 residential units.

The Planning Board will hold a special virtual public hearing on Monday, Dec. 19 at 5 p.m. to investigate and determine whether the 188 Broadway site meets the criteria established for a non-condemnation redevelopment area.

Mayor Carlos Rendo said overall, referring to all three agreements before the council, “The municipality will be making out pretty well in terms of taxes coming into the town. We had an opportunity to control our destiny and we believe we did so.”

The agreements included a settlement with 188 Broadway LP, an agreement with Bergen County United Way to build and operate 24 affordable units at a North Broadway site, and an amended affordable housing settlement with Fair Share Housing Center.

Rendo said the agreements resolve all outstanding litigation, meet the borough’s Fair Share obligations, and may get the borough extra credits for housing at the proposed North Broadway site.

Councilman Richard Schnoll, an attorney specializing in personal injury and commercial litigation, who was involved in negotiations, called the settlements “a win, win, win for all the parties involved, especially for the town.”

The agreement resolves all outstanding litigation between the borough and 188 Broadway LP, which included: a state court suit against the Zoning Board of Adjustment for the denial of a 60-unit proposal in 2019; Federal court litigation resulting from the second Zoning Board denial in 2021; real estate tax appeals for several years relating to 188 Broadway; and a lawsuit pending against the building department.

The memorandum of understanding approved by council follows months of behind-the-scenes negotiations between borough attorneys, 188 Broadway LP, and local officials.

The agreement obligates the borough to build the eight affordable units required at 188 Broadway at its North Broadway affordable development, which will now include 24 affordable units.

Previously, the 100% affordable North Broadway development included 16 affordable units, as part of its 2017 affordable settlement, but the developer backed out and forced the borough to find another developer.

Instead, as part of its agreement with 188 Broadway LP, the borough will include the eight affordable units that 188 Broadway was required to provide there at the North Broadway site, and the borough contracted with a not-for-profit developer, Bergen County United Way, to undertake that affordable housing development.

On Dec. 6, the council introduced an ordinance to enter into a 45-year agreement with Bergen County United Way (BCUW) who will develop, finance, construct, operate and maintain 20 affordable family housing units and four “supportive housing units” on the North Broadway site. Supportive housing units are for individuals with special needs.

If for any reason BCUW is unable to find financing for the housing, the borough is obligated to finance and construct it.

As part of its new pact with BCUW, council approved 4-1 a resolution to amend its 2017 settlement with Fair Share Housing Center and to move to schedule a Superior Court Fairness Hearing on the amended settlement. Councilwoman Josephine Higgins voted no; she offered no explanation.

Next steps

A public notice published Dec. 2 (and available on the board’s website) notes the “Area In Need of Redevelopment Investigation Study” prepared by Phillips, Preiss, Grygiel, Leheny Hughes LLC should be available online “at least 10 days before the public hearing” and also available for public inspection at Planning Board offices from 8:30 a.m. to 4:30 p.m. Monday through Friday.

The approved memorandum between the borough and 188 Broadway LP notes that they will develop a “long-term PILOT (payment in lieu of taxes) tax exemption for the 37 rental units and a five-year abatement on the nine townhouse units. That will generate more tax dollars than are currently being generated by the property,” said the resolution.

Moreover, the developer will make an “in-lieu payment” of $300,000 to the borough’s affordable trust fund, half upon issuance of building permits and balance upon delivery of any certificate of occupancy.

The MOU calls for the developer to implement “reasonable streetscape improvements” along 188 Broadway “as may be requested in addition to anything that may be contained in the redevelopment plan itself.” It states all litigation will be dismissed upon site approval for the 188 Broadway property.

Also, the developer will contribute $50,000 for local open space and recreation improvements. No timeline is provided for the contribution.

The borough’s amended affordable housing settlement with Fair Share Housing Center, based on the proposed 24-unit, affordable building on North Broadway, is part of its MOU agreement with 188 Broadway LP to settle all outstanding litigation.

As part of its amended affordable settlement, the borough agrees to adopt zoning for both developments (188 Broadway and North Broadway) by Jan. 31, 2023. The revised settlement notes, “The North Broadway site must pull permits for construction by June 1, 2024 (and) Construction of the North Broadway site to be completed by December 31, 2025.”

In addition, the settlement calls for the borough to amend its affordable housing set-aside ordinance “to provide a 20% set-aside for all developments, whether for sale or rent.”

Plus, it calls for the borough to enter into an agreement to provide an independent “due diligence” report on how many affordable units can be built on the former VFW site, which is currently designated for 12 affordable units, “but the parties recognize that that may not be feasible.”

The borough is required to pay only for an initial investigation as to what might be built there, said the revised settlement. A required Superior Court Fairness Hearing to approve the amended settlement is “tentatively scheduled” for Jan. 20, 2023.

Public comment: Thanks and looks ahead

Although a half-dozen residents thanked officials for resolving the pending litigation and shrinking the development to 46 units — from prior 60-unit and 53-unit rental proposals — some were concerned about a proposed PILOT agreement not adequately funding local public schools, not having PILOT and redevelopment plan documents to review, and impacts from the new developments.

Pascack Press estimated 10 residents calling the Zoom meeting, and several were allowed to speak twice.

Richard Deutsch wanted to know where residents could find the documents being voted on to get details of the settlements. Administrator Tom Padilla said once the documents were voted on by council, they could then be posted online.

Craig Padover said it would be a “missed opportunity” for the town not to look at the entire North Broadway area, to “make it more walkable, proximity to trains, shopping, the reservoir. We need to look at this as a coherent whole,” he said, including the east and west sides of Broadway.

Ann Marie Borelli was concerned about the height of the 188 Broadway building facing the reservoir and was told there would be no change in the current building’s height. It will be retrofitted with 37 rental apartment units, said officials.

She said the “worst thing would be if we had an apartment building look along Broadway” and urged officials to use the developer’s $50,000 contribution to local open space/recreation for green space near the new development.