Sayreville officials debate future of Krome property

Developer, SERA seek to lift age restrictions so market-rate housing can be built

BY SAM SLAUGHTER
Staff Writer

I n an attempt to move forward with redevelopment in the Morgan section, the Sayreville Borough Council recently invited representatives of the Planning Board and the Sayreville Economic Redevelopment Agency to discuss the old Club Bene property on Route 35 south.

While a developer has proposed housing for the site, borough officials are facing conflicting recommendations about whether or not to go with age-restricted housing at the site.

“The Planning Board does the redevelopment studies by law. Their recommendation for this property was age-restricted [units]. [But] the redevelopment agency [in accord with a developer] has proposed market rate, so that’s where the questions lie,” Mayor Kennedy O’Brien said.

Planning Board Chairman Dr. John Misiewicz, SERA Chairman Raniero Travisano and SERA attorney Michael Baker were present Jan. 24 to answer queries from the council and discuss how further redevelopment could pan out.

The property includes the building that housed Club Bene and, later, Krome, as well as the land across Olde Spye Road from the club. It is slated to be developed by American Properties, which seeks to build 89 market-rate condominiums and 16 age-restricted senior units. This plan is just the latest of many over the years. The property was originally brought before the Planning Board in early 2004, when it was zoned for business use and contained 29 acres. According toMisiewicz, a “determination of needs” study was undertaken, leading to an ordinance declaring the area in need of redevelopment.

In September 2004, a draft was sent from SERAto the Planning Board requesting 265 agerestricted units. After review, the board recommended changing the plan to drop the density to five units per acre, or 145 units, with a building height not exceeding four stories.

“Five units per acre is basically what the Morgan area is,” Misiewicz said.

This plan was adopted inApril 2005 during a special meeting at the Morgan Firehouse. The original developer, Continental Properties, was present at the time.

“They came in and talked about just having market rate. We talked to him, and he came back with the idea to put in the senior units,” Travisano said.

According to Misiewicz, the developer also planned to knock down the club and replace the structure with a building that housed stores on the bottom and offices on top.

“We didn’t want to see [the club] reopened. We thought it would be a great idea,” Travisano said.

The board then heard nothing further from Continental Properties. No plans were submitted to the borough engineer and no further progress was made.

In 2010, American Properties submitted a redevelopment plan that would consist of 90 agetargeted market-rate units and 15 affordable housing units in compliance with the state Council on Affordable Housing.

Before American Properties expressed an interest, a number of other projects were broached, including a nursing home proposal that eventually landed in South Amboy.

A series of meetings ensued between American Properties, the Planning Board, SERA and the owners of the property, wherein various issues were discussed in an attempt to move forward with the revitalization project.

The Planning Board remains against changing the redevelopment plan, which requires that housing be age-restricted.

Councilman Frank Bella was the first to ask questions of the representatives last week.

“How are we going to be assured that at a later date a developer isn’t going to sue the town and say these should all be market rate?” he asked.

This question came in reference to recent litigation over another proposed development in town, Heritage at Towne Lake. Its developer, Kaplan Cos., took the borough to court to gain permission to build non-age-restricted housing.

“The Kaplan case does not apply to the redevelopment zone,” Baker said.

Bella then asked about possibly expanding the redevelopment area. If there was more property, more developers may become interested, he said.

“Why is it just limited to Club Bene and the parking lot across the street?” Bella asked. He suggested reworking the jug handle and the firehouse.

“The piece of property on the triangle [the club property] is too small for anybody to do much with,” Travisano replied. “We never talked about the firehouse; it was never even an option.”

“Would you think that would make it more attractive to a developer that is looking for a bigger project?” Bella said.

“It’s an awkward location with the triangle and roads cutting through, and I also think there’s a gas or a sewer main going through,” Baker said.

Borough Engineer Jay Cornell said a 36-inchdiameter gas main runs along the back of the property .“ The redevelopment plan calls for a 50-foot setback. Buildings cannot be any closer than 50 feet from that gas line,” Cornell said.

Bella said he wished there was another option.

“I realize this part of town is badly in need of a project in there to revitalize the area. I know this has been on the drawing board for probably more than 10 years. I just… more residences, even if it’s not going to impact the school system. I feel we could’ve done something else. I’m not saying you didn’t try. I understand you’re saying you don’t have a lot of options,” Bella said.

He continued, “We have a major piece of property there. We’re about to come out of a bad economic time; I would think that there would be a better use for that than another 24 acres of housing in town. Is this the highest and best use for the property?”

It was then pointed out that American Properties was the only developer to come forward and express interest since Continental Properties balked on its plan .

Another hot topic for the borough agencies is the impact of children on the schools. Council President Ken Kelly felt that it would be a manageable impact.

“Correct me if I’m wrong, but I think it’s 10 children they say [would likely result from the new housing]. Personally, I think that is a little low, but even if we doubled it, I think we could work it into the school system,” Kelly said.

Travisano pointed out that there were already 12 to 14 children living in the area.

The mayor then asked Tax Assessor Joseph Kupsch to speak briefly on the tax revenue that could result from the development. With an average price of $275,000, each condominium would generate a little under $6,000 in taxes annually, Kupsch said.

O’Brien said that would amount to $120,000 each for the borough and county, and $360,000 for the school district.

Misiewicz said the Planning Board had a few other issues with the plan.

First, there was the question of revitalization.

“Is another 90 units going to make that area function for market value?” he asked.

Asecond issue involved parking. The current plan shows only five visitor spaces for the entire complex. This, Misiewicz said, could lead to safety issues.

The board, Misiewicz said, didn’t want the club property to be vacant for 20 years, but beyond that, he was unsure what was best for the area.

“Is this the project for that area? I don’t know. I don’t know,” he said.

The council suggested a meeting among the Planning Board, SERA, the developer and the owner of the property. This meeting would help determine a direction to move forward in and try to come to some sort of agreement, officials said.