With the assurance that deals will be finalized within the next 90 days, the Bayonne Local Redevelopment Authority at its Aug. 17 meeting voted to extend the negotiating deadline with Taylor Development Group and Boraie Development LLC to build sections of two development districts on the waterfront.
The former Military Ocean Terminal, now called the Peninsula at Bayonne Harbor, is divided into six development districts. To date, the BLRA has named conditional developers for Harbor Station and Bayonne Bay districts.
Taylor and Boraie, if the deal can be worked out, would be designated for sections of The Loft and The Landing districts.
Nancy Kist, executive director of the BLRA, said she believed agreements would be reached well before the 90-day extension.
“The Loft District presents some unique development challenges,” Kist said.
Taylor was named conditional redeveloper last October to develop in a portion of the Landing District and a portion of the Loft District.
While the Taylor proposal will incorporate two of the largest existing former military buildings into its designs, saving for posterity some of the rich history of the base, other aspects of the project require the demolition of other buildings and the reconstruction of the shoreline, Kist said, in order to construct a 22-story residential tower.
The demolition, costs, and time frame are all details that need to be hashed out before a final development agreement is forged, Kist said.
600 units
The BLRA also extended its negotiating deadline with Boraie for the Landing District.
As proposed last October, Boraie hopes to build about 600 units of housing, as well as commercial, retail, and hotel space on about seven acres of land.
Kist said the BLRA and Boraie are working through the site concept, and that an agreement should be forthcoming shortly.
One of the key elements of the Boraie plan is a 250-room hotel that would be among the first things developed at the site. Boraie officials said the year-round cruise activity at nearby Port Liberty, as well as the world-class golf course and the potential for ferry services to New York, has generated interest by several major hotel firms.
“We should have a developer’s agreement with Boraie within 30 days to 45 days, tops,” Kist said.
Vincent Lo Re, who serves as City Council president as well as a member of the BLRA, said he looks forward to the agreements.
Deals for Bayonne Bay section still on hold>
Kist said negotiations to finalize the deal with Atlantic Realty for the Bayonne Bay district are still being held up due to reluctance by the Army Corps of Engineers to give the property final environmental clearance.
The deal with Atlantic Realty was supposed to have taken place in June, giving the city $23 million with which to balance the 2007 budget.
But the Army Corps, according to Jay Coffey, director of the Law Department for Bayonne, is reluctant to lift the last restrictions on the environment because of fear of potential lawsuits if the developers should accidentally uncover low-level contamination that was sealed on-site rather than removed.
Sources close to the federal government claim that the Army Corps is currently besieged by lawsuits due to failed dikes in New Orleans as a result of Hurricane Katrina a year ago, and have become overly sensitive to potential risk.
Kist believes she is close to coming to an agreement with the Army Corps, which would allow the city to sign off on the deal with Atlantic Realty within a short time period.
Changes to Route 440 in the works
In a resolution that further suggests the beginning of residential development at MOTBY, the BLRA authorized a professional engineering services agreement with Jacobs, Edwards and Kelcey for the design of transportation improvements to Route 440.
Kist said this is the first step toward creating a new intersection with Route 440 with the construction of a new main thoroughfare into MOTBY, tentatively called “Center Street.”
This would create a new light on Route 440 and would lead to the removal of the existing light at Stanley Boulevard (the current entrance to MOTBY).
Kist said the resolution would create the documentation that would allow the BLRA to go out for bid on the project.
“Our goal is to go out to bid by June 2008,” she said. “We would like to start construction by September 2008.” The new road would come out onto Route 440 at a point somewhere existing 33rd and 34th streets, Kist said, or about 250 feet north of Stanley Boulevard.
Kist’s contract extended
After a short closed session, the BLRA voted to extend Kist’s contract as executive director for another five years. Kist will make $125,000 per year.
BLRA Chairman Howard Fitch said the contract renewal is in recognition of the good job Kist has done during her previous five years.
“She has worked very hard and has done a good job,” Fitch said.