Patsy’s Way Developer’s Agreement Signed

COURT HOUSE – Middle Township Mayor Timothy Donohue Oct. 12 signed a developer’s agreement with CKJR LLC, the owner of nine building lots in Patsy’s Way. 
The agreement is intended to reanimate a subdivision development that received formal approval from the municipality’s Planning Board 16 years ago.
The agreement sets a clock of 24 months on completion of improvements for the proposed subdivision, including “street, curbs, gutters, sidewalks, drainage, street signs, streetlights, and property monuments.” 
The committee Oct. 4 removed any requirement of a performance bond or irrevocable letter of credit from the developer, further facilitating action on a subdivision that has been the subject of numerous plans but no construction.
At various points, the subdivision proposals changed from the original 14 single-family homes to a series of single-family homes for families with at least one member disabled, and even to group homes for individuals transitioning from Ancora Psychiatric Hospital, in Camden County.
The subdivision was to be a privately funded development, and later, as it morphed into a location for the disabled, it was to be funded with Sandy relief monies. 
Various development plans for the property have had relationships with the state Department of Community Affairs (DCA), the United Cerebral Palsy Association, and Jewish Family Services.
At one point, the DCA held a news conference in Court House linking the property to affordable housing and Sandy funds.
Throughout it all, ownership of the largest portion of the proposed subdivision shifted, as well, from one of the original developers to a bank-owned asset to a non-performing asset in the hands of the Federal Deposit Insurance Corporation (FDIC) and finally to CKJR LLC, in 2019.
One of the original developers still owns four plots in the subdivision. The developer’s agreement sets a 60-day clock for CKJR to reach a “cost-sharing arrangement” with that partial owner, Thomas Thaler.
The CKJR representative who signed the agreement is James Johnson, who is also alternate member two on the municipal Planning Board.
The agreement explicitly ties the desired improvements to the original subdivision plan memorialized by the Planning Board in 2005, calling for 14 single-family homes with no mention of affordable housing.
Since the municipality removed the normal requirement of a performance bond for the street improvements, the agreement states that anyone purchasing a plot in the subdivision must be told that certificates of occupancy will not be issued until the improvements are substantially done and approved by the municipality. It further states that building permits may be issued for up to 14 residential units.
Simultaneous with this agreement, the municipality is developing a Fair Share Plan to meet its affordable housing obligations. A planner was hired in March 2021. 
The Fair Share Housing Center (FSHC) initiated litigation against the municipality in June, arguing that the municipality acted in bad faith on the development of a viable affordable housing plan since it first avowed its intention in court to voluntarily comply with its affordable housing obligations, in 2019.
An affordable housing set-aside ordinance that likely would have applied to Patsy’s Way’s proposed development was introduced in July but subsequently tabled in August.
It is unclear if the developer’s agreement will be impacted by a final settlement of the FSHC litigation and/or the final approval of a municipal Fair Share Housing Plan.
To contact Vince Conti, email vconti@cmcherald.com.