HomeMy Public PortalAboutr 97:297No. 97-297 Date of AdopfiongEPTEl® iB~ ]997
WItERE, AS, the Borough of Carteret (the "Borough") has previously entered
into a Regional Contribution Agreement ("RCA") with the Township of
Cranberry by which the Borough is obligated to rehabilitate certain
residential units within the Borough; and
WHEREAS, the Borough has reached an agreement with Raia & Sirignano
("Raia") to perform the rehabilitation work (the "Agreement"); and
WHEREAS, the Borough has submitted a project plan which has been
approved by the Council on Affordable Housing ("COAFf'); and
WHEREAS, the Borough and Raia wish to revise their agreement to reflect
the revised project plan approved by COAH.
NOW, THEREFORE, BE IT RESOLVED that the revised agreement, a copy of
which is attached, between the Borough and Raia is hereby approved.
BE IT ~ RESOLVED that the Mayor and Municipal Clerk are authorized
to execute said agreement.
Adopted the 18th day of September, 1997
and certified as a true copy of the
original on September 19, 1997
KAT~.EEN M. BARNEY,
Certified Municipal Clerk
RECORD OF COUNCIl, VOTE
B~ALOI~CZL~ FAZEKA~
FAILACE GUTOWSKI
X Indicate Vole AB - Absent NV - Not Voling XOR - Indicams Vole to Overrule Vcto
Adoplcd at a meeting of the Municipal Council
~ SEPTI~BER 18, 1997
CONsENT~GREF~ENT TO MODIFY
· . PROJECT PLAN FOR ;
~NBURY TOWN~HIP/e~.I~TEI~ET BOROUGH
~GIO~ cONTRIBUTION AG~
CONSENT AGR~LNT dated as of the !day cf Septemk*ar, 1997
by and between the BOROUGH OF C~RTER~T (hereinafter, ,,Carteret"}
and RAIA ~ SIRIGNi%NO (hereinafter, "Raia")~
N]IEREAS, the Township of Cranbury and C~rteret have previously
entered into a Regional Contribution Agreement ("RCA") pursuant to
N.J.S.A. 52!27D-301, ~ Se~.; and
WH~EA~, Cart~ret agreed to ailocmte ~20,000 per unit of RCA
funds ~o each unit %0 bc rehem~lltated by Ralla, totally ~500,000 in
=he aggr.gat~ for 11 units at Roosevelt Hill Apartments, 11 units
at Roosevelt Hill Apartm~ts II, an~ 3 anit~ at 59 Roosevelt
Avenue;
~,~EHEAS, Raia has successfully rehabilitated and rented 23 u£
the-2§ units according to law; and :
WHEREAS, the documentation as betwee~ Carteret and Raja has
c been somewhat la~king; and
~-~EAS, in order to improve the housing stock in the Borough
of Cartsret, comply with the intent of th~ RCA and provide a
renewable fund for the oitizens of Cartereti, the Mayor and Council
and Ra~a have roachod an agreemont to thei~ mutual bonefit.
~OW, THEREFORE, BE IT R~SOLVED as follows:
1. The $500,00 shall be transferredlto Raja as follows:
a) $250,000 in the form of a gr~nt;
b) $250,000 in the form of a lo~n.
2. A~ monies are received from cranSur¥, the first $250,000
thmreof will be paid ovar to Rai~ as grant monies.
3. The next $250,000 receiwcd fromi Cranbury will be paid
over to Raja in the form of a 16an, with the following
~erms:
a) Raia shall make annual pay~.ents of SZ,OO0 payable
on or before September i ofieac~ yoar. The Dalancm
of the loan (1.e. $192,0~0) shall be due
payable on or before AugUs~ 30, 2022, in the form
of a balloon payment.
b) no interost; and
c) secured by a non recourse m~rtgage on the property.
d) In the event Raja shall I fail to complete the
rehabilitation of the remaining units located at
561 Roosevelt Avenue by Ncvember 30, 1997 to the
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reasonable satisfaction of Carteret, unless he is
..- precluded from doing so DY, structural problems
beyond his 6ontrol, which ihe shall use his best
efforts to then complete asisoon as posslble, then
payments of $40,000 for such units under the loan
shall become immediately du~ and payable.
e) Raja shall execute a nonrecourse note satisfactory
to Carteret evidencing the herein described 10an.
f) The loan by Carteret ehal% not be assignable by
Raia without the written consent of Carteret.
lloan by Raia shall be
g) The obligation, under the ~
binding upon Da~aJs successor and assigns,
~ notwithstanding the fereooing. Tn the event Raja
shall transfer title to anyiof property for which a
portion of the loan ha~ b=e~ made, or in the euont
of a change in Raio's ~orporate structure er
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status, Raja shall becom9 immediately due and
payable.
4. This Agreement shall be bind~n~ on the parties, their
successors and assigns,
5 Raja agrees to diligently complete the two (2) units at
·
561 Roosevelt Avenue and to a~vi~e carteret of their
completion. All rehabilitation!shall be completed in a
good, workmanlike manner in accgrdance with the project
plan set attached as Schedule 1.i
6. Notices. All notice, demandz a~d requests, required or
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Agreement, shall be in writing
by facsimile and Overnight courl~r
registerea or certified mail, re~urn receipt requested,
If to Rala: 450 Seventh Street
~oboken, NJ 07030
With a ~opy to: Pran~ Leanza,
~asnza & A~rapid~,
25~ Route 17
If to the Borouqh: Borough of Carter~t
Att: Kathlsen Barney, Muni~lpa%
Carteret, NJ 070~8
With a copy to: Craig J. coughltni, Boro~lgh Attorney
Mcoowan & Coughli~,
207 So. SteVenS Avenue
Sou~h A~boy, NJ ~8879
Any such notice, dsmsnd or reqUeSt S~Ii De ~eemmd given
or made on the next business da~ after delivm~ to the
overnight oo~ier and, if mailgd, on ~e ~ird (3rd)
business day after the date so mailed.' N.twithstanding
the for~0ing, in the case 0f
here~, ~a notice ~o ~ gi~e~, if practical, by
telephone or facsimile, sent
its respective address or addr~ses as aforesaid, and
such notiom shall bm deemed giv~m on the ~ay on which
telephone call As made or the dm~ on which ~e tel~r~
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7. This Agreement shall be =ontingent upon approval of the
~ Council on Affordable Housing, which has accepted an
amended Project plan as set forthlin Timothy J. Touhey's
August 28, 1997 letter, attachedi hereto as Exhibit "A"
and is hereby adopted by the parties hereto.
8. ~n=ire Agreement. This instrument contains the entire
agreement and underztanding between the parties hereto.
No s~atements, reDresentatives,! Drior agreements or
understanding not her~n get for~h shall have any force
or effect unle~m an appropriate amendment i~ e~ecuted by
all parties hereto. Thi= Agreemant =hall become
ef£ectiv~ u~ly upon execution hereof by both parti~
hereto and delivery ~f a fully executed re~olu~ion
hereof.
IN WiTNR$S WHEREO~, the parties have caused this Agreement to
be executed by their duly authorized representatives.
ATTEST: BOROUGH OP CART~RET
WITNESS: P. AIA & SIRIGNANO
PRANK R~i~A
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657 8outS. CllntoaJtvrmue, P.O. I~,x 1855(1, Trenton, NJ 0~65,0-2085. 609-2~78-3t00
EXHIBIT ";%"
~e 2
~.]lll{t~lt Avenue
C.>F,~onC~s~: ,~156,152
To ~ ~y fu~ ii.es, pl~se ~lac, t VMc~I/~ D~v~ of~' a~ ~ ~-27'~-7524,
O~e ag~ ~ look f~d to ~m~ng ~ the Co~ ~ ~or~ H~ to ~d