State agrees to sell 250-acre tract to Montgomery for $5.95 million.
By: Kara Fitzpatrick
MONTGOMERY The state Department of the Treasury and the township have come to an agreement over the sale of the former North Princeton Developmental Center.
The state has tentatively agreed to sell the 250-acre tract and the on-site sewer plant to the township for $5.95 million, township and state officials said Monday. According to officials, the township would be responsible for the cleanup of the site which is located between Burnt Hill Road and Route 601.
"This is hugely important to Montgomery," said Mayor Louise Wilson, calling the agreement a township version of the Louisiana Purchase.
State Treasurer John McCormac confirmed that a deal had been negotiated. "We reached a fundamental agreement," Mr. McCormac said. He added that lawyers are now drafting the official documents.
"We always have had the intention of selling the land to the town," Mr. McCormac said. He said that the Department of Treasury is "very pleased" to have arrived at an agreement.
Although the agreement on the table is informal, "We have the treasurer’s word," Mayor Wilson said. "We know we have a yes to these terms."
Committeeman John Warms said he is hopeful the deal will become official within 30 days, and that the township will acquire the title to the land as early as the fall. Mayor Wilson said the township wants "very much to close with this administration." But she added, "We’re not going to cut corners with due diligence."
Although she said it was too soon to tell for sure when the township would take possession of the NPDC property, she, like Mr. Warms, hoped it would occur by the end of the year.
With the property being "right in the heart of the community," Mayor Wilson said, "It’s hard to overstate the importance of our controlling this property. It’s a fair deal."
Although the price of the tract does not include cleanup which has been estimated in the millions of dollars both Mayor Wilson and Mr. Warms said the township will be able to work with redevelopment partners to cover cleanup expenses.
Mayor Wilson said that "while we do not intend to make money as a result of selling the land," the municipality expects to gain financial assistance for environmental costs.
According to both Mr. McCormac and Mr. Warms, the agreement requires the township to split any profits made from the sale of land with the state. But, Mr. Warms said, the township likely will not make a profit. Mayor Wilson agreed.
"I think we ended up with a very good deal," Mr. Warms said.
In addition, the state has agreed to complete the repair of the trunk sewer line that runs between the new Montgomery High School and the on-site sewer treatment plant.
Mr. Warms said that, as the township decides what to do with the property, "We have a number of things we have to do."
He said the township must decide which of the 100 buildings on site will be salvaged as well as select developers to build according "to that which we want done." Mr. Warms said the township is leaning toward using the site for mixed uses, while reserving a minimum of 140 acres for open space, parkland or civic functions. Mayor Wilson concurred.
Sale of the tract has been the root of much contention between the state and the township since it was vacated by the state in 1998. Negotiations between the two parties over ownership of the land, which surrounds Village Elementary School, have been drawn-out and fruitless until now.
The parcel became the Skillman Village for Epileptics in 1898. After changing its name to the New Jersey Neuropsychiatric Institute in 1953, it became the North Princeton Developmental Center in 1983.
In September 2004, the township formally withdrew from negotiations and announced that it planned to file a lawsuit against the Department of the Treasury under the federal Resource Conservation and Recovery Act. The township said its legal action stemmed from the state’s ongoing neglect of public health and safety issues at NPDC.
Since then, more wrinkles unfolded, including a fire in one of the buildings believed to be a result of vandalism mounting security and environmental concerns, and the formation of a Citizens’ Group for North Princeton Developmental Center.
In February, it was announced that the state and township had agreed to enter mediation over the sale, but the parties never actually reached that step. Instead, a formal agreement apparently was decided upon before mediation got under way.
And in March, the township announced the formation of a 30-member committee that would explore various uses for the property if it were to be obtained by the township. Mayor Wilson said the recommendations of that committee will be used when weighing the site’s future.
Mayor Wilson credited the Citizens’ Committee for NPDC as well as residents for applying pressure on the state.
"Every letter and every phone call made a difference," Mayor Wilson said.
"I want to stress how important it was that everybody in the community was pulling in the same direction on this," she added. "The dividends in the end that (NPDC) will pay to the community will be enormous."
Likewise, Mr. McCormac acknowledged proactive efforts led by the Citizens’ Committee for NPDC. "I just want to give credit to the Citizens’ Committee for their persistence and their confidence," he said.
In a statement, the Citizens’ Committee expressed its joy over the recent development.
"The Citizens’ Committee for NPDC is ecstatic that the township and the state were able to come to an agreement over NPDC," group spokeswoman Valerie Smith said in a statement.
"The citizens of Montgomery should be very proud of themselves today," Ms. Smith said. "They were persistent and determined with their letters, petitions and e-mails. At the same time, they were respectful and hopeful that the state and township would get this done."
The statement continued, "We especially would like to thank our Township Committee and Treasurer John McCormac for getting this done and doing the right thing for the citizens of Montgomery and the state of New Jersey."
Ms. Smith, in a separate phone call, said the Citizens’ Committee was formed with the goal of the township obtaining the property at a fair price as well as conducting an open line of communication between the state and the township. "We did what we set out to do," Ms. Smith said.
"Ultimately," Mayor Wilson said, "NPDC is going to be a very special place, a community place."