New Jersey Transit and city officials have failed again to come to an agreement on plans for development near the downtown transit terminal. Now, the city has instructed a planner to draw up designs for the 52-acre site on the south end of Hoboken, which should be unveiled in the fall, according to Mayor Dawn Zimmer.
A 2006 study conducted by NJ Transit and city officials indicated that 52 acres out of the 65 acre downtown property were an “underutilized resource.” The area near the terminal was declared an area in need of redevelopment by the City Council in 2007.
Controversy ensued in 2008 when developers from NJ Transit proposed a 70-story building and residential towers for Observer Highway. Transit officials said the plan would bring 20,000 jobs and 6,000 new residents to Hoboken.
‘Our plan was basically to work with the city to try and get approvals for Phase I.’ – John Leon
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In September of 2010, officials from NJ Transit introduced a new plan for 1.8 acres of the 52 acre site, called “Phase I” of the project. The Phase I plans included an 18-story office building, a redesigned bus terminal, and open space.
Phase II is the rest of the site, approximately 50 acres.
However, the city and NJ Transit failed to come to an agreement about who would have jurisdiction over the development, so the mayor has failed to back the agency’s plan.
Who gets to decide?
The City Council is the redevelopment agency for the city, including the transit area. However, there is some confusion over whether a state transit agency could supersede the city’s authority.
Zimmer said she tried to get NJ Transit to sign onto an interlocal agreement that would recognize the City Council as the development agency for the entire site, including Phase II of the development.
State Sen. Paul Sarlo (D – Bergen) in 2009 was set to introduce legislation that would allow NJ Transit to build without constraints on their properties. But Zimmer helped quash the bill, offering very vocal opposition.
Assemblyman Vincent Prieto (D-32nd), an opponent of the bill and a member of the Assembly Transportation Committee, said last year that similar pieces of legislation have periodically been proposed for years, and it is possible a new version of the legislation could come up again.
Zimmer and John Leon, senior director of government and community relations for NJ Transit, said last week that the two parties couldn’t reach an agreement about the development.
“New Jersey Transit was not willing to commit to respect the authority of the City Council as the redevelopment agency,” Zimmer said.
Zimmer said if the agreement had been reached, she could have recommended that the council approve Phase I.
‘Back and forth’
Leon said the city and transit officials went “back and forth with the language” and ultimately they couldn’t come to an agreement.
“We don’t want to do piecemeal development,” Zimmer said. “We want to do it for the full site.”
Leon said he wanted to develop the two phases separately because they wanted to green light at least some of the development.
“We were hopeful that the city would be able to divide the properties so they can expedite the review process of Phase I and then they can consider the remaining properties at their leisure,” Leon said.
Leon had said a “world class tenant” had been interested in the proposed 18-story building, but he said the tenant, whom he did not wish to name, is no longer interested in the property.
“Our plan was basically to work with the city to try and get approvals for Phase I,” Leon said. “It seemed like that was the course we were on, but now it looks like it’ll be at least another 12 months. But we’re ready to meet with the mayor and council to continue the dialogue so that Phase I can be expedited.”
Zimmer said she’s open to continuing the conversations, but she wants transit officials to sign an agreement that will put the City Council in charge of development of the sites.
“In order to protect ourselves, we need to make sure to plan the entire project,” Zimmer said. “My position as mayor is I’m going to advocate as strongly as I can that we bring balanced development to Hoboken.”
Leon acknowledges that there may be some “reservations in the community” because of the previous development plans, but said the development for Phase I would be small.
“The only development we proposed was one building,” Leon said. “When you consider the benefits to the city, the economy, and to transit, it’s a compelling argument.”
The city has hired a Philadelphia-based planner Wallace, Roberts, & Todd, LLC, to put forth plans to develop the entire 52-acre site.
Zimmer said the planners are working on three to four alternatives for a full site plan, and will continue to work on them through the summer. Zimmer said the plans will be drawn up and then reviewed in the council subcommittee.
The city wants to bring the new plans to the public in late September, exactly one year since NJ Transit introduced the 18-story building. Zimmer also hopes to include NJ Transit in the development process.
Ray Smith may be reached at RSmith@hudsonreporter.com