RARITAN N.J. – The controversial Raritan Mall redevelopment plan has taken two giant steps forward as the borough council approved both its development plan and tax abatement over the continued objections of local residents.
The development plan allows mixed-use residential and commercial, and paves the way for a five-story, 275-unit building with 28,000 square feet of commercial space on the 12.2 acre site at the corner of Route 206 and Orlando Drive. It has been the subject of a $100 million lawsuit, after council turned down the plan not once, but twice in the past year.
The New Jersey Courts System has not noted any updates to the lawsuit, as of Wednesday.
In fact, John Inglesino, the attorney for the developer, threatened yet another one immediately prior to the vote on the matter.
“I do want to let you know that we have with our engineers, Matt Dowd, an alternative plan for a seven-story building with 414 units,” Inglesino said. “If this (original) plan is not approved, then we will pursue our rights before the courts for the 414-unit plan.”
Mayor Nicolas Carra said the approval of the development plan meant the zoning, maximum building height and setbacks from the property line are now in line with the proposal. He said the project still has to pass environmental scrutiny at the planning board level, and that developers will have to not only meet “high and dry” standards for evacuating residents when flooding occurs on the property, but also have a plan for storage of residents’ cars during floods.
“I don’t want to say it’s a slam dunk because it’s very difficult and very technical,” Carra said.
He said he expects the proposal to take three to four planning board sessions to cover.
The Payment in Lieu of Taxes (PILOT) program allows municipalities to give tax exemptions to developers that build housing or tackle redevelopment projects. The developer makes payments to defray the costs of municipal services instead of paying property tax.
Those exemptions can last as long as 30 years after the project is complete. The vote at the December meeting opens the door for such an exemption for the Raritan Mall redevelopment.
The Raritan Mall, built in a flood-prone area on a former landfill site, has long been plagued with maintenance problems and a high vacancy rate. Until 2017, the mall was a faltering retail hub anchored by the Stop & Shop grocery chain, which closed that year, leaving the borough without a grocery store.
Following the second redevelopment plan turn-down from the council earlier this year, the owner of the property filed a $100 million lawsuit against the borough and councilman Michael Patente, alleging a conflict of interest from the councilman and accusing council of arbitrary, capricious and unreasonable acts to hinder and delay the project.
As originally proposed, 42 of the 275 units will be low- or moderate-income housing that will count toward the remaining current and future obligation of approximately 237 units by 2035 set out by the New Jersey Department of Community Affairs.
Residents have objected to the plan on the basis of flood and first responder safety, and the potential for carcinogenic chemicals from the landfill to leech into groundwater and natural waterways, and they have lamented the loss of the character of Raritan, saying they don’t want it to turn into “apartment city.”
Patente recused himself from both the discussion and the vote. Councilmen Umesh Agrawal and Adam Armahizer voted against the plan, while council president Don Tozzi and councilmen David Fritzinger and Kenneth DiGraziano voted in favor.
Carra said the timeline moving forward depends on when the developer decides to submit a site plan to the planning board, but said he expects that will most likely happen in January or February.