HomeMy Public PortalAboutr 20-160�Rewlu ttln of the Pvro h of Tar erd, N� 0.
No. #20-160
Date of
RESOLUTION OF THE BOROUGH OF CARTE BET
CONDITIONALLY DESIGNATING PERSHING COMMONS, LLC
AS THE REDEVELOPER FOR THE PROPERTY KNOWN AS
TAX BLOCK 5806, LOTS 12,13 AND 14 WITHIN
THE HILLTOP REDEVELOPMENT AREA AND
AUTHORIZING THE EXECUTION AND DELIVERY
OF A PRE - DEVELOPMENT AGREEMENT
WHEREAS, the Local Redevelopment and Housing Law, N.J.S.A. 40A: 12A-1 et seq„
as amended and supplemented (the "Redevelopment Law "), provides a process for
municipalities to participate in the redevelopment and improvement of areas in need of
redevelopment; and
WHEREAS, in accordance with the Redevelopment Law, the Borough of Carteret (the
"Borough") declared that certain property comprising BLOCK 5501, LOTS 1, 2, 3, 4
AND 31, BLOCK 5703, LOTS I, 2, 3, 4, 5 AND 6, BLOCK 5704, LOTS 2, 3, 4, 5, 6
AND 7, BLOCK 5805, LOTS 16, 17, 18 AND 19, BLOCK 5806, LOTS 12, 13, 14, 15
AND 16, AND BLOCK 5904, LOTS 11, 12, 13, 14, 15, 16 AND 17 (collectively, the
"Redevelopment Area "); and
WHEREAS, the Borough adopted a redevelopment plan for the Redevelopment Area
(the "Redevelopment Plan"), which shall control the redevelopment of the
Redevelopment Area; and
WHEREAS, the Borough desires to engage in preliminary negotiations with Pershing
Commons, LLC (the "Company "), in furtherance of entering into a formal redevelopment
agreement for the redevelopment of that portion of the Redevelopment Area consisting of
Block 5806, Lots 12, 13 and 14 (the "Project Area "); and
WHEREAS, the Borough desires to enter into that certain Pre - Development Agreement
with the Company (attached hereto as Exhibit A in substantially final form) to establish
an escrow fund with the Borough to provide for the payment of the Borough's
professional fees, costs and expenses related to the Redevelopment Area and the
negotiation and execution of a redevelopment agreement and matters related thereto; and
NOW, THEREFORE, BE IT RESOLVED as follows:
Section 1. The Company is hereby conditionally designated as the
redeveloper for the Project Area for an initial period of ninety (90)
days, or as otherwise may be extended in accordance with Section
2 hereof, during which time negotiation and execution of a
redevelopment agreement with the Borough shall be completed.
Section 2. The Mayor, Chief Financial Officer, or Director of Law (each an
"Authorized Officer ") are hereby each severally authorized, after
consultation with such counsel and any advisors to the Borough
(collectively, the `Borough Consultants "), as such Authorized
Officer deems necessary, desirable or convenient, in such
Authorized Officer's sole discretion, to extend the time period set
forth in Section 1 hereof, but in no event shall such additional
period exceed ninety (90) days beyond the time period set forth in
Section 1 hereof.
Section 3. In the event that the Company has not executed a redevelopment
agreement with the Borough, all in accordance with the time
periods set forth in Section I hereof, or as otherwise may be
extended by an Authorized Officer, in such Authorized Officer's
sole discretion, in accordance With Section 2 hereof, the Borough's
No. #20 -160
PAGE 2
conditional designation of the Company as redeveloper for the
Project Area shall expire and be of no further force and effect and
the Borough shall have no further obligation to the Company.
Section 4. The Pre- Development Agreement is hereby authorized to be
executed and delivered on behalf of the Borough by an Authorized
Officer in substantially the form attached hereto as Exhibit A with
such changes as such Authorized Officer, after consultation with
the Borough Consultants, deems necessary, desirable or convenient
in such Authorized Officer's sole discretion.
Section 5. The Borough Clerk, or the Deputy Borough Clerk, is hereby
authorized and directed, upon the execution of the Pre -
Development Agreement in accordance with the terms of Section 4
hereof, to attest to the Authorized Officer's execution of the Pre -
Development Agreement and is hereby further authorized and
directed to thereupon affix the seal of the Borough to the Pre -
Development Agreement.
Section 6.
Upon the execution and attestation of and if required, the placing
NO
of the seal of the Borough on the Pre - Development Agreement as
A.B.
contemplated by Sections 4 and 5 hereof, the Authorized Officer is
YES
hereby authorized and directed to (a) deliver such fully executed,
NV
attested and sealed Pre - Development Agreement to the Company
BELLING
and (b) perform such other actions as the Authorized Officer
deems necessary, desirable or convenient in relation to the
X
execution and delivery thereof.
Section 7.
All actions of the Authorized Officers and the Borough
Consultants taken prior to the date of adoption hereof in
DIAZ
connection with the Redevelopment Area, including without
limitation, the Pre - Development Agreement, are hereby ratified
and approved.
Section 8.
This resolution shall take effect at the time and in the manner
prescribed by law.
Section 9.
Upon the adoption hereof, the Borough Clerk shall forward
certified copies of this resolution to Matthew C. Karrenberg, Esq.,
X
DeCotiis, Fitzpatrick, Cole & Giblin„ LLP, Special
Redevelopment Counsel to the Borough.
Adopted this 15' day of October, 2020
and certified as a true copy of the
original on October 16, 2020.
CARMELAPOGORZELSKI
Acting Municipal Clerk
RECORD Or COUNCIL VOTE
COUNCILMAN
YES
NO
NV
A.B.
COUNCILMAN
YES
NO
NV
A.B.
BELLING
X
JOBAL
DIAZ
X
KRUM
DIMASCIO
X
NAPLES
X
X - Indicate Vote
AB- Absent NV - Not Voting XOR- Indicates Vole to Overrul 'Veto
Adopted at a meeting of the Municipal Council
� Octpbe 15, 020
f
Acting Municipal C
PRE - DEVELOPMENT AGREEMENT
PRE- DEVELOPMENT Agreement (the "Pre- Development Agreement'), dated
as of _, 2020, by and between:
THE BOROUGH OF CARTERET a municipal corporation of the State of New
Jersey with offices at Carteret Borough Hall, 61 Cooke Avenue, Carteret, New Jersey
07008 and its successors and assigns (the "Borough "),
'R
PERSHING .COMMONS, LLC, a limited liability company of the State of New
Jersey with offices at 100 Pershing Avenue, Carteret, New Jersey 07008, and its
permitted successors and assigns (the "Company" and together with the Borough, the
"Parties "),
W- I- T- N- E- S- S- E -T -H:
WHEREAS, the Borough Council has adopted an ordinance approving and
adopting the Federal Boulevard Redevelopment Plan (the "Redevelopment Plan ") in
accordance with the Local Redevelopment and Housing Law, N.J.S.A. 40A:12A -1 et seq.
(the "Act'); and
WHEREAS, the Redevelopment Plan relates to certain properties within the
Borough, specifically BLOCK 5501, LOTS 1, 2, 3, 4 AND 31, BLOCK 5703, LOTS 1,
2, 3, 4, 5 AND 6, BLOCK 5704, LOTS 2, 3, 4, 5, 6 AND 7, BLOCK 5805, LOTS 16, 17,
18 AND 19, BLOCK 5806, LOTS 12, 13, 14, 15 AND 16, AND BLOCK 5904, LOTS
11, 12,13,14,15,16 AND 17 7 (collectively the "Redevelopment Area "); and
WHEREAS, the Borough desires to engage in preliminary negotiations with the
Company in furtherance of entering into a formal redevelopment agreement for the
redevelopment of that portion of the Redevelopment Area consisting of Block 5806, Lots
12, 13 and 14 (tire "Project Area "); and
WHEREAS, the Parties have determined to establish an escrow fund with the
Borough to provide for the payment of the Interim Costs, as such term is defined herein;
and
NOW, THEREFORE, for and in consideration of the mutual promises,
representations, covenants and agreements contained herein and the undertakings of each
Party to the other and such other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Parties, intending to be legally bound
hereby and to bind its successors and assigns, do mutually promise, covenant and agree
as follows:
1. Payment of Interim Costs
a. Immediately upon the execution of this Pre - Development Agreement, the
Company shall deposit with the Borough fifteen thousand dollars ($15,000), which the
Borough shall deposit into a non - interest bearing escrow account established by it for the
payment of its Interim Costs. Prior to the Borough's withdrawal of funds from the
escrow for the payment of its Interim Costs, the Borough shall provide the Company a
copy of each invoice reflecting Interim Costs to be paid. Unless the Company promptly
(within 10 days of its receipt of any such copy) provides a written objection that any
invoiced item is not an Interim Cost, the Borough shall be free to withdraw funds from
the escrow for the payment of such invoiced services. If, when and as often as may occur
that the escrow account is drawn down to or below five thousand dollars ($5,000), then
the Company, upon the Borough's request, shall immediately provide to the Borough for
deposit such additional funds as are necessary to increase the balance in the escrow
account to fifteen thousand dollars ($15,000) for use in accordance with these terms. In
the event that this Pre - Development Agreement either expires or is terminated by the
Borough or the Company, then all escrowed monies shall be returned to the Company
following the payment from the escrow account of the Borough's Interim Costs incurred
up to the time of said expiration or termination.
b. Interim Costs, for the purposes of this Pre - Development Agreement shall
include, without limitation, the Borough's reasonably incurred out -of- pocket fees, costs
and expenses related to the negotiation of the terms and conditions of a redevelopment
agreement with the Company and other documents and actions related to the
Redevelopment Area including, but not limited to, fees for legal, accounting, engineering,
planning and financial advisory services, including all such fees, costs and expenses
incurred from and after the Company's designation as redeveloper, ovided that fees,
costs and expenses incurred prior to the execution of this Pre- Development Agreement
are included only to the extent that they are related to the selection and designation of the
Company as redeveloper.
2. A dditional Provisions
a. This Pre - Development Agreement shall terminate upon the earlier of (i)
the expiration of the Company's designation as redeveloper; (ii) approval and fill]
execution of a redevelopment agreement by the parties, or (iii) the determination by the
Company or the Borough, by written notice to the other, that a redevelopment agreement
cannot be executed for any reason.
b. The Parties hereby expressly acknowledge that the execution of this Pre=
Development Agreement and the performance of the Parties hereunder, shall in no way
be interpreted to constitute a "Redevelopment Agreement" for purposes of the Act or
other applicable law. Nothing contained in this Pre- Development Agreement shall
constitute a waiver, surrender or relinquishment of any and all rights the Borough may
have in accordance with applicable law, including, without limitation, the Act, with
respect to the Redevelopment Plan, the Redevelopment Area, the Project Area, the
negotiation of a Redevelopment Agreement, or any matters related thereto.
c. If any term or provision of this Pre - Development Agreement shall to any
extent or for any reason be held invalid, illegal or unenforceable, such invalidity,
illegality or unenforceability shall not affect any other provision of this Pre - Development
Agreement, but the remainder of this Pre - Development Agreement and each tern and
provision of this Pre - Development Agreement shall be valid and enforceable to the fullest
extent permitted by law, subject to such modification hereof as may be necessitated by
such invalidity.
d. This Pre- Development Agreement shall be governed by, and construed
and enforced in accordance with, the laws of the State of New Jersey, without regard to
principles of conflicts of law.
e. Any notice provided to the Borough hereunder shall be submitted in
writing to:
Robert J. Bergen, Esq., Director of Law
Municipal Building
61 Cooke Avenue
Carteret, New Jersey 07008
with copies to:
Matthew C. Karrenberg, Esq.
DeCotiis, Fitzpatrick, Cole & Giblin, LLP
61 South Paramus Road, Suite 250
Paramus, New Jersey 07652
Notices to the Company shall be submitted in writing to:
Pershing Commons, LLC
100 Pershing Avenue
Carteret, New Jersey 07008
Attn: Ryan Raia
with copies to:
James F. Clarkin III, Esq.
Clarkin & Vignuolo, P.C.
100 Centennial Avenue, Suite 203
Piscataway, New Jersey 08854
f. This Pre - Development Agreement may be executed in counterparts, each
of which shall be deemed an original.
[Signature Page Follows]
IN WITNESS WHEREOF, the Parties hereto have caused this Pre- Development
Agreement to be executed, all as of the date first above written.
ATTEST:
Clerk
[SEAL]
WITNESS:
BOROUGH OF
M .
Mayor
PERSHING COMMONS, LLC
BY
ZZ�
CLARKIN & VIGNUOLO, P.C.
Attorneys at Law
86 Washington Avenue
Milltown, New Jersey 08850
James F. Clarldn III Telephone: (732) 981 -0808
Email: jfc @clmkinlaNvxmn Telecopier: (732) 981 -9797
November 30, 2020
Matthew C. Kanenberg, Esq.
DeCotiis, Fitzpatrick, Cole & Giblin, LLP
61 South Paramus Road
2" d Floor
Paramus, NJ 07652
Re: Borough of Carteret & Pershing Commons, LLC
Dear Mr. Karrenberg:
Peter A. Vignuolo
Email: pvignuOlO @VcViZOf -Het
In connection with the above matter enclosed please find an original and one copy
of the Pre - Development Agreement as well as my client's check, number 1057 made
payable to the Borough of Carteret in the amount of $15,000.00. This check represents
payment of the interim costs pursuant to Paragraph I of the agreement. I would greatly
appreciate your arranging for the execution of the Pre - Development Agreement by the
Mayor and the Clerk and return one copy to me. Thank you.
CC /jfc
cc: Chris Rain (w /out enc.)
Very (fut yours,
Jame F. Clarkin, , III
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