New affordable housing apartments in Jersey City to be set aside for artists

July 30, 2012, 11:12 AM
By Terrence T. McDonald/The Jersey Journal

JERSEY CITY ? Jersey City took possession recently of seven residential units in a Downtown tower that it intends to set aside as affordable housing for artists.

The lofts, located on the second floor of the 68-unit Washington Commons, 311 Washington St., were the focus of a lawsuit filed last year by the developer, Neil Sorrentino.

Sorrentino claims the city promised to pay him the cost of construction for each unit, while the city says it agreed to pay $1 per unit and no more. A federal judge in January dismissed Sorrentino?s suit.

City officials, including Mayor Jerramiah Healy and Corporation Counsel Bill Matsikoudis, took The Jersey Journal on a tour last week of the units to show off what it won after Sorrentino?s suit failed.

The lofts, located on the outer edge of the Powerhouse Arts District, are not ready to be occupied. In one, a coffee table was crammed inside a bathroom. In another, there was no flooring. City officials say the apartments may be completed by early 2013.

?We think it?s just another step in bringing back an exciting arts and entertainment district,? Matsikoudis said.

There are two city buildings with affordable housing specifically for artists, 140 and 150 Bay St.

Artists interested in the affordable housing must be certified by the city Artist Certification board that has certified nearly 500 artists citywide. For more information, call (201) 547-5010.

http://www.nj.com/jjournal-news/index ... y_readying_seven_new.html

The fact that the case was dismissed means the court believed the complaint failed to make a claim for which there is legal relief.

The agreement he made with the City is legal and proper - he has lost everytime he's taken this back to court.

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400k each for construction costs? No effin' way!
Regardless of what the original agreement actually was, this guy sounds like he's trying to milk it for all he can.

Federal judge dismisses suit filed by Washington Commons developer against Jersey City

January 19, 2012, 5:36 PM
By Terrence T. McDonald/The Jersey Journal

A federal judge in Newark has thrown out a case brought by the developer of a Downtown Jersey City condominium complex who claimed the city is forcing him to hand over seven residential units for a dollar a piece.

Judge Jose Linares today ruled in favor of Jersey City?s motion to dismiss the case in its entirety, saying in a two-page ruling that the case is ?far beyond the confines of this court?s jurisdiction? because it has been litigated in state court already.

Neil Sorrentino, the developer, vowed to appeal.

?I?ll appeal this for 100 years if I have to,? Sorrentino said today by phone.

Sorrentino contends that the city agreed to sell the city the seven units at the cost it took to construct them, which he said is over $400,000 each.

The city, meanwhile, says Sorrentino agreed to hand over the units at a nominal fee in exchange for the city?s approval of higher density for the 68-unit complex, Washington Commons, 311 Washington St.

The city, which planned to offer the seven units as affordable housing for artists, today applauded Linares? ruling.

"This was a desperate and frivolous lawsuit,? said Corporation Counsel Bill Matiskoudis. ?We will seek an award of sanctions from the court.?

The state Supreme Court has twice declined to hear Sorrentino?s case, which led to his filing the suit in federal court.

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Maybe this is a foolish question where our City's Administration
and Law Department are concerned, but wouldn't an agreement
like this normally be ON PAPER???

No doubt that the real truth is somewhere in the middle in this case of douche-bag meets douche-bag.

Downtown Jersey City developer suing city, accusing officials of trying to force him to hand over residential units

Published: Monday, September 26, 2011, 3:01 AM
By Terrence T. McDonald/The Jersey Journal

The developer of a Downtown Jersey City condominium complex is suing the city in federal court, accusing officials of trying to force him to hand over seven residential units for a dollar a piece.


WASHINGTON COMMONS developer is suing the city over a dispute involving affordable housing.

The suit also alleges that disgraced former councilman Mariano Vega tried to shake down the developer for two rent-free apartments that the officials wanted to give to relatives.


The city denies the accusations, saying developer Neil Sorrentino, principal of Washington Commons LLC, had promised to give the city the seven units in exchange for the city approving the high-density, 68-unit Washington Commons at 311 Washington St.

Washington Commons attorney John Schepisi said the city is ?absolutely incorrect? by claiming there was always an agreement to hand over the units, which Schepisi said would be used as affordable housing for artists.

?Since when are artists a protected class in New Jersey?? Schepisi said. ?I never knew that by painting a picture you became a protected class of people.?

Sorrentino had originally agreed with the city to provide the seven units at about the cost it took to construct them, Schepisi said.

Sorrentino, on behalf of Washington Commons, has twice filed similar suits with a state appellate court, which declined to hear the case both times.

A city official said the federal suit, filed Sept. 12, is the first time Sorrentino has claimed Vega tried to shake him down for two residential units.

Vega was sentenced to 30 months in federal prison in April after pleading guilty to an unrelated corruption case.

The former council president was ensnared in a massive corruption scandal that led to the arrests of 46 people in 2009. Vega was charged with taking bribes from government informant Soloman Dwek, who posed as a crooked developer.According to the suit, a Jersey City police official contacted Sorrentino and told him Vega wanted to meet him at the Brownstone Diner on Jersey Avenue in early 2007.

At the diner, Vega told Sorrentino he planned to move ?several of his family members, residents of South America, into two of the units? that were to be designated as affordable housing, the suit reads.

When Sorrentino balked, Vega said, ?Do you know who I am?? according to the suit. Vega then threatened to make certain that Sorrentino?s dealings with the city ?would not be favorable,? the suit reads.

Corporation Counsel Bill Matsikoudis blasted Sorrentino as ?greedy,? and said his agreement with the city always included his giving the city the seven units at basically no charge.

?This is a case of a greedy developer, whom the city gave the right to build additional luxury housing, and thereby millions of dollars in benefits, in exchange for a commitment to build affordable housing,? Matsikoudis said. ?Now that he built his building, he is trying to evade his responsibility to provide the housing for less-fortunate people.?