MAPLEWOOD, NJ - The Maplewood Township Committee Tuesday night moved forward with tax abatements for development projects at the Post Office and PSE&G sites.
A handful of residents spoke against those projects and against plans for tax breaks for the developers, arguing that the committee had not looked at all options.
Maplewood Urban Renewal was designated as the redeveloper of the PSE&G site in a 5-0 vote. That designation allowed Maplewood to then adopt, 5-0, an ordinance executing a tax exemption and authorizing a payment in lieu of taxes, known as a PILOT.
Plans call for a 20 market-rate residential apartments, approximately 9,000 square feet of retail space, and underground and surface parking. A tentative completion date is set for Jan. 1, 2016, and the township estimates the assessment on the completed project to be $2.89 million, which would yield a tax bill of $101,757.78 based on 2015 tax rates, according to tax agreement document.
The PILOT allows for a phased payment schedule as follows: first year, no payment; second year, 20 percent of the real property taxes; third year, 40 percent of the real property taxes; and fifth year, 80 percent of the real property taxes. Based on those figures, the township exempts the developer from approximately $305,000 in taxes over five years.
The committee also introduced an ordinance for a similar tax agreement with Maplewood Redevelopers, the developers of the Post Office site. A public hearing on that ordinance is scheduled for April 7.