CAPE MAY POINT — This tiny borough, that has virtually no buildable land remaining, will only need to supply one accessory apartment to meet the state’s affordable housing mandates.
At a Sept. 10 meeting, Borough Commission passed three ordinances dealing with third round regulations from the state Council on Affordable Housing (COAH).
Commissioner Anita van Heeswyk said the borough has been accepted by COAH for third round certification, which should prevent Cape May Point from receiving a builder’s remedy lawsuit.
West Cape May has been involved in a builders remedy for more than three years running up large legal bills to prevent the proposed construction of 70 townhouses on Sixth Avenue by a developer
She said the borough must provide one, affordable apartment but is not obligated to make a house available. Other municipalities in the state have been required to create one affordable unit for every five new homes built.
If the borough continues to grow and have teardowns, the borough could be required to provide as many as six units, said van Heeswyk.
Borough Administrator Connie Mahon said the tenant for the affordable, accessory apartment would be chosen by a lottery and persons in Region Six, which includes Cumberland, Salem and Atlantic Counties with the exception of Atlantic City, could make application for the unit.
The borough has set up a trust fund to collect fees from new construction to fund affordable housing.
The ordinance stipulates residential developers in the borough will pay a fee of 1.5 percent of the equalized assessed value provided no increased density is permitted. When an increase in residential density has been permitted, developers shall be required to pay a development fee of 6 percent of the equalized assessed value for each additional unit above that permitted by right.
Non-residential developers would pay a fee equal to 2.5 percent of the equalized assessed value of the land and improvements as well as on any additions to existing structures to be used for non-residential purposes.
The borough is dependent on someone coming forward to create an affordable, accessory apartment within seven years or another plan must be created. The apartment would be deed restricted for 10 years as affordable housing.
The person who builds the apartment would receive a $20,000 subsidy from the borough’s affordable housing trust fund, said Mahon. COAH has standards for the apartment including a minimum of 300 square feet and including a bathroom and kitchenette.
The amount of the monthly rent payment would be controlled by state.
The borough does not allow the building of accessory apartments but the COAH unit will be granted a variance.
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