$2M in exchange for tax break in Jersey City was wrong, judges say

Throw the bums (MEPT) out! A local investor would be preferable anyway.

And throw out the suit. JCRA's tough talk on enforcing the deadline could just as easily be seen as an incentive to banks serious about the project to step up with funds.

But financing is hard because of the economic climate, not because of what the JCRA said to the Jersey Journal. That is a ridiculous argument.

Plant some grass and trees if no other developer steps in to fill the shoes.

The status quo needs to change.

Quote:

Isn't that the status quo.....

The stalled Journal Square twin-towers project in Jersey City may head to court, with the Washington, D.C.-based firm that was tapped to develop the towers threatening to sue the Jersey City Redevelopment Agency, partly for comments the agency?s chief made last month to The Jersey Journal.
Multi-Employer Property Trust, the redeveloper, accuses JCRA Executive Director of making ?false and misleading? statements that have complicated MEPT?s ability to obtain financing for the long-awaited project.
The lawsuit threat complicates the city?s efforts to revitalize Journal Square, where the proposed residential towers would sit on a 1.5-acre lot adjacent to the PATH station. Three years ago, Mayor Jerramiah Healy called the project ?a great step forward? for the city.
Editorial: Empty Journal Square lot -- excuses are getting old
The project was originally set to be complete by now. But MEPT, a real-estate oriented investment fund, faced difficulty obtaining financing for the $500 million development, and have asked to delay construction three times.
The last request, which would have pushed the deadline for MEPT to obtain financing to March 2013, has not been approved by the JCRA, and that amounts to a breach of MEPT?s redevelopment agreement with the city agency, according to a March 30 letter to the JCRA from MEPT attorney Joseph B. Fiorenzo.
In his letter, Fiorenzo also objects to comments JCRA Executive Director Bob Antonicello made last month to The Jersey Journal in which Antonicello asked MEPT to begin construction on the project by April 1 or step aside so the JCRA could find a new developer.
Those comments were ?disturbing,? because they have interfered with MEPT?s ability to raise funds for the project, according to the letter.
?The well-documented difficulties faced in obtaining financing in the capital markets given the general economic conditions are made insurmountable by the JCRA conveying to the public, including prospective lenders, that MEPT has breached the redevelopment agreement and that it will be terminated as redeveloper,? the letter reads.
The D.C.-based firm ? which in October purchased a 36-story in Newport for $378 million, touting the purchase on its website as ?one of the 25 largest transactions in the U.S.? in 2011 ? said it would file suit if the JCRA ?chooses to continue along the ill-advised path? illustrated by Antonicello?s comments, the letter continues.
Antonicello told The Jersey Journal that the JCRA would be willing to give MEPT another six months to find an investor, but the agency does not want ?the status quo.?
?I think we're trying to be as reasonable as possible,? he said. ?We also want to make sure that MEPT understands that this is not something that they can sit on.?
http://www.nj.com/hudson/index.ssf/20 ... uare_developer_threa.html

Time to move ahead on this project.

nafco - that's a good idea; jsq really needs a park

i still vote they make the developer pay to turn the lot into a park until or if they decide to finally build the towers. its a relatively cheap compromise for the developer to make and will turn this eyesore in a prime location thats lacking park space into something nice.

The developer should abide by the agreement, or relinquish its rights...it's time to move forward. shame on healy for not doing anything for so long

.
(note to Fulop: you have the DTJC vote locked up. You can have 100% of the JScare vote for May 2013 also. All you have to do is get involved in two things near and dear to the residents of JScare. 1- the long awaited JSq towers, get them going , and tell Healy to take down his above campaign sign from the lot.(this is going to be Healy?s snowstorm cleanup moment)
2- find out who requested the expansion of RR into Little India that NO one in the surrounding neighborhoods knew was coming or want. (not even a letter to the homeowners that is usually sent when new development is coming into an area) It will just add to the unbearable congestion in the already fully occupied, fully leased, fully rented, every street parking spot taken, ?thriving? area...right Nidia? )

(This is on today?s JJ 4/17)

Designated developer for long-delayed Journal Square project in Jersey City wants more time

Published: Tuesday, April 17, 2012, 3:03 AM

By Terrence T. McDonald/The Jersey Journal

The redeveloper of the long-awaited Journal Square twin-towers project is lashing out at the Jersey City Redevelopment Agency for issuing an April 1 deadline for construction on the development to begin.

And rather than comply with the deadline, handed down by JCRA Executive Director Robert Antonicello last month, redeveloper Multi-Employer Property Trust is asking for yet another extension that would give the Washington, D.C.-based investor another year to start construction.

In the six-page missive, obtained by The Jersey Journal through a public-records request, an attorney for MEPT, which acquired the Journal Square property in 2007, says Antonicello?s April 1 deadline and his recent comments about the project are false and counterproductive.

?JCRA?s inaccurate remarks regarding the redeveloper and the project . . . are likely to further impede the redeveloper?s ability to obtain debt or equity capital for the project by creating uncertainty as to the current and future ownership of the project and confusion in the marketplace,? reads the March 16 letter by MEPT attorney Marc O. Winters.

Winters also takes issue with the sign recently placed on the property a 1.5-acre site that sits just south of the Journal Square PATH station giving a description of the project and a construction timeline. The information on the sign is ?inaccurate,? Winters writes.

Last month, Antonicello said the JCRA wanted a shovel in the ground on the project by April 1 or else the city agency would seek to find another developer for the project, which would see two residential towers sitting atop a seven-story base of retail and parking space. MEPT was having trouble finding financing, he said at the time.

Mayor Jerramiah Healy stood on the site in April 2009 and hailed the imminent project as a ?great step forward? for the city. Three years later, the site is still a vacant lot.

Last month, Healy said his administration supports any efforts by the JCRA to move the project forward ?as soon as possible.?

In the March 16 letter, Winters says MEPT is within its rights to wait until it obtains financing to begin construction on the project, adding that JCRA is not permitted to seek another redeveloper just because it wants to jumpstart construction.

Winters also lists more than a dozen items that he says proves MEPT has made reasonable efforts to attract investors, such as obtaining a 30-year tax abatement from the city and spending $14 million in pre-development costs since 2007.

Antonicello declined to comment on the letter, but said the JCRA board would address MEPT?s extension request at tonight?s 6 o?clock public meeting at 30 Montgomery St.

JJ piece (4/17)?.

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

*** ***

Buy the JJ?our tower.

This picture is from today?s JJ piece about MEPT requesting an extension. (in my post #89)

Check out what that newly erected Healy ?campaign? sign says very closely. Just in time for the coming May 2013 election season.

?will commence in the summer 2012 with a completion date of Fall/Winter 2014?

I guess Team Healy didn?t want to have a party like they did in 2009.



(from www.nj.com/jjournal )

Buy the JJ?

The City should start looking for developers immediately instead of letting MEPT sit on the land.

Journal Square developer requests one-year extension to begin construction on long-awaited twin-towers project

Published: Thursday, April 12, 2012, 12:15 PM
By Terrence T. McDonald/The Jersey Journal

The redeveloper of the long-awaited Journal Square twin-towers project is lashing out at the Jersey City Redevelopment Agency for issuing an April 1 deadline for construction on the development to begin.

And rather than comply with the April?s Fools deadline, issued by JCRA Executive Director Robert Antonicello last month, redeveloper Multi-Employer Property Trust is asking for yet another extension that would allow construction to start no later than March 31, 2013.

In the six-page missive, obtained by The Jersey Journal through a public-records request, an attorney for MEPT, which obtained the Journal Square property in 2007, says Antonicello?s April 1 deadline and recent comments about the project are false and counterproductive.


full JJ piece?.

http://www.nj.com/hudson/index.ssf/20 ... uare_developer_reque.html

*** ****

It was an April Fools Day joke?.and now this bad news just in time for April 13th?that?s Friday the 13th. Ha ha ha

If you give in Healy you will look like a FOOL!!!

April 10th?.err.. let me also put in the year ?2012. (so when I look at this thread next April 10th I won?t get confused)

Still waiting for the big news about the appointment or search for a new developer.

Just when I thought JScare couldn?t get any worse. In the past few weeks there has been a ?shank-ing? of a 45 year old man by a beggar, a cold blooded ?whack? of a 24 year old man, and now an attempted ?snatching? of a 28 year old woman. Its bad news for the young (and older) newcomers whose help we need to turn Jersey City around. Right Healy?

Maybe that prison idea for JScare might come in handy. Wait it is already like an open air prison with all of the violence going down. (hence the above prison slang)

Word!

hey Bob it's April 3rd 10:00 pm...

Do you know where the "new" Journal Square Developers are?


Remember this.....



Jersey City signals it wants developer of massive Journal Square project to act, or face default

March 10, 2012, 3:03 AM
By Terrence T. McDonald - The Jersey Journal

In April 2009, Jersey City Mayor Jerramiah Healy stood on a 1.5-acre site adjacent to the Journal Square PATH station and hailed an imminent twin tower project as a ?great step forward? for the city.

The project two towers, one 58 stories and the other 38, sitting atop a seven-story retail and parking base with a rooftop terrace would begin later that year, and be completed in three years.

It?s now three years later and the site remains vacant, save for weeds and the occasional soda can or beer bottle surrounded by metal fencing.

The twin tower project appears to be nothing more than a dim fantasy, but that may all change soon. City officials say they want the heart of the city to see the same kind of development that?s occurred Downtown.

?Journal Square is really the next area, and Journal Square is primed and ready for a project,? said Jersey City Redevelopment Agency Executive Director Bob Antonicello.

For years, the Journal Square project was stalled, with main investor Multi-Employer Property Trust (MEPT), of Washington, D.C., blaming the poor economy for its inability to find a partner to help it with financing, according to Antonicello.

After missing an August 2011 deadline to put a shovel in the ground, and then missing a second deadline of Dec. 31, 2011, MEPT has until April Fool?s Day to get the project started in earnest, Antonicello said.

?The issue that we had really with MEPT was this process was kind of ready, aim, aim, aim, aim ... and they never fired the gun to actually go vertical,? he said.

MEPT did not return a request for comment.

If the April 1 deadline passes without movement on the project, MEPT will be in default of its agreement with the JCRA, and the city agency can find someone else to help realize the long-awaited proposal, Antonicello added.

Healy said he stands by the JCRA?s latest bid to move the project forward.

?The redevelopment of Journal Square is a major priority for this administration and we support any and all actions that the Jersey City Redevelopment Agency takes so that construction may begin as soon as possible,? Healy said.

The proposal consists of 50,000 square feet of retail space on the basement, ground and second levels; 330,000 square feet of parking on five levels; and 1.24 million square feet of residential space, including about 1,500 units.
http://www.nj.com/jjournal-news/index ... y_signals_it_wants_d.html

Please forgive me but I have to add one more. That JJ photo link from the Journal Square ?party? on April 7, 2009 has a wealth of humor in it. I just found another?

If you look at the group shot you will see none other than that pisser of a man.. Steve Lipski.the current CEO of the Jersey City Economic Development Corporation.

Now I know why everyone is laughing Lipski must of said? ?hurry this is up I have to go?. And now I know why he was street level and NOT on the stage!!

http://media.nj.com/jersey-journal/photo/226881-standard.jpg

(and gee Lipski kind of close to the mayor there.. heal boy! or are you trying to piss in his pocket?)

Cops arrest Jersey City councilman for urinating on concert-goers

Published: Sunday, November 09, 2008, 8:54 PM
Updated: Monday, November 10, 2008, 4:18 AM

By Carly Rothman/The Star-Ledger

A Jersey City councilman was allegedly drunk when he was seized at a Washington nightclub after urinating on attendees of a Grateful Dead tribute concert.

City Councilman Steven Lipski, who represents the Journal Square area and directs a charter school, was charged Friday with simple assault at Nightclub 9:30 on V Street, a spokesman from the Metropolitan Police District of Columbia said today.

Staff at the club spotted Lipski, 44, at the Dark Star Orchestra concert, urinating from a second-level balcony onto the crowd below, The Daily News reported today.

Club employees hauled Lipski from the club and held him until police arrived and arrested him around 9:50 p.m., the report said.

A "source" told The Daily News that Lipski was "very drunk," and said it wasn't the first time he acted up at the nightspot.

"We've dealt with this man before," the source is quoted saying. "He's never peed on anybody, but he gets really belligerent and drunk."

Lipski, founder and director of CREATE Charter School in Jersey City, didn't return several phone calls left for him at his home and on his cell phone.

But one of his city council colleagues, Willie Flood, said Lipski called her this morning and said the incident was a big misunderstanding. Lipski claimed he spilled a drink and a someone thought it was urine, Flood said.

"It is an allegation," Flood added. "We need the facts first and then make a determination what happened. It seems out of character."

Flood, who also is the Hudson County Registrar, made headlines earlier this year when it came to light she hired her son for two government jobs even though he had previous run-ins with the law.

Richard Heinecke, owner of Nightclub 9:30, declined to comment today.

Downtown Councilman Steven Fulop called Lipski's arrest "embarrassing" for Jersey City.

Coupled with Mayor Jerramiah T. Healy's conviction for resisting arrest and obstruction of administrative law during a tussle with cops in Bradley Beach in 2006, Fulop said these incidents would lead investors to "question the leadership" of Jersey City.

"It is very humiliating," he said.

Healy was unavailable to comment and his spokeswoman, Jennifer Morrill, called the Lipski incident a "private and personal matter."

The mayor has characterized his thrice-appealed disorderly persons arrest in Bradley Beach in 2006 in much the same manner. The state Supreme Court refused to consider a final appeal of the charges earlier this year. Healy has maintained he was just trying to help the police sort out a domestic dispute.

http://www.nj.com/news/index.ssf/2008 ... y_councilman_arreste.html


****

Steve F. I couldn't have said it better! Great *&^%* leaders we have!

You don't measure height by the # of stories - these towers are nearly the height of the Goldman Sachs tower at 30 Hudson Street.

That thing is nearing 2x's the height of the Goldman Sachs building.


Quote:

Yeah ianmac47 that was the link in vindication15?s post #74. Wild.

** *****

In my above post (# 77) I was joking around saying let?s have some caption fun. (was NOT joking about the kiss unfortunately) I found the JJ caption to one of the pictures that is in the JJ photo?s link. Now I know why everyone IS laughing..jokes on us?.right Mariano? Maybe the ?envelope? is hitting a funny bone?

http://media.nj.com/jersey-journal/photo/226878-standard.jpg

LOWELL HARWOOD, right, of Harwood Properties, shares a laugh with Jersey City Council President Mariano Vega after a ceremony at the future site of One Journal Square, marking the completion of demolition of the existing buildings. JJ-4/8/2009


My second caption was spot on!!!

2-The seal of The City of Jersey City on the podium isn?t the only crooked thing on this stage.

**** ***

Former Jersey City Council President Mariano Vega Jr. sentenced to 30 months in federal prison

Published: Monday, April 11, 2011, 1:48 PM
Updated: Monday, April 11, 2011, 2:10 PM

By Michaelangelo Conte/The Jersey Journal

Former Jersey City City Council President Mariano Vega Jr. was sentenced this afternoon to 30 months in federal prison for his role in the massive corruption scandal that rocked Hudson County and New Jersey in 2009.

Vega showed no reaction as Judge Jose Linares handed down the sentence.

He was told to surrender on June 6.

More than half of the 46 people arrested during the massive corruption sting have pleaded guilty. Three have been convicted, two have been acquitted and one defendant had charges against him dropped.

Vega pleaded guilty last fall to accepting money from a government informant posing as a crooked developer and faced up to three years in prison.

After his arrest, Vega had strongly defended himself to the public, saying he was innocent. He resigned as council president but refused, despite protests at City Hall, to give up his seat on the council, not doing so until after his guilty plea.

JJ piece?.

http://www.nj.com/hudson/index.ssf/20 ... y_city_council_pre_2.html

** ****

Does anyone know what happens to all of the ?deals? Vega was involved in, deals he approved or didn?t approve? Also what about the 100?s of building inspections the crooked JC inspectors ?inspected?? Did they all get a re-inspection? Could be some nasty accidents waiting to happen out there in JC land.

Like this ex-inspector John Guarini who took money from Dwek. I am sure he didn?t just start his criminal life with that one deal.,


"Take care of me, I?ll take care of you," said Dwek, a federal informant posing as a corrupt developer and secretly recording the conversation for the FBI.

"Absolutely," Guarini replied, according to transcripts of the meeting.

And then there is this crazy thing:

http://handelarch.com/projects/type/r ... l-sqaure-residential.html

Couldn't have said it better, neverleft.

I sort of had my doubts about this project when I heard about the groundbreaking celebration in 2009 since the election was coming up (it just didn't make sense that they would start construction in 2009 since they had received the land years before when the rental market was actually doing well). That event was just another clever act by Hudson County politicians; it's not like this is the first time voters had been lied to about the status of a RE development.

Not to go off topic, but how are those tax abatements treating JC taxpayers? Weren't all the new 'ratables' supposed to 'ease the tax burden' on long-time JC residents? Looks like quite the opposite has happened because of all the concessions (tax abatements) made to developers during the last boom...

Quote:


If you buy a lien that is over two years old, you have the right to foreclose on the property.

Ain't no swindle like a jersey city swindle!

Awesome LOTHR reference MDM!

Maybe this could be built at JSQ instead?

The heartbreak of Journal Square. (much worse than the heartbreak of psoriasis, at least there?s a cream for that) Isn?t it wild that JScare went from one of the most popular places in the tri-state area (?It started on Journal Square?) to nothing? I was one of the suckers who attended that April 7, 2009 kick off of the Journal Square Towers. Real nice flyer was printed up about the ?party? at the Square. A whole bunch of bullshi*.


JC bent over backwards to more or less hand over all of the tower property to the Harwood family. Threats of eminent domain and millions of dollars in fines against the Tawil family made them finally give in. For what? Oh yeah and JC also handed over the Square Ramp parking lot property (behind the Loews) to Harwood. Keeping it away from Hartz Mountain who owned the Loews property. In the late 80?s HM was planning on building a $10 million office complex on the site. But it meant ripping down the Loews ,acquiring the Square Ramp property, and other surrounding properties . All kinds of lawsuits going on. (put .. Loews Hartz Mountain Jersey City NY Times ..in Google for a history) Maybe giving the Square Ramp property to the Harwood?s was one of the things that saved the Loews. ( those once every two month movie weekends are spectacular ) If the new Journal Square web site ever comes back up read the history of the tower property. ( thenewjournalsquare.com ) A long history of lawsuits over that strip of land.


Come to think of it I am sort of like Journal Square. I got my first kiss in the Loews during a showing of ?Planet of the Apes? back in 1968. But after that first kiss there was a 1 ..err.. 5 ..err? ok 10 year dry spell with a lot of ?promises? in between. So I was a little portly back then big deal. You women are way too picky. And no I didn?t have to bribe the girl with Loews ice cream Bon bon?s and a box of Jujubes..smartas*. But she did have some thick as* eyeglass lenses. Hmmmm.


Anyone notice any thing ?funny? about that April 7, 2009 Journal Square Towers announcement date? Let?s see what was coming up next in JC?s calendar in May 2009? Specifically May 12, 2009. Think!

At least this time they are actually making some kind of announcement on April 1, 2012. (see above JJ piece in post #65) So we know it IS a freakin? joke this time! Next mayoral JC election May 2013? Perhaps another setup for votes? Hey maybe there will be another P-A-R-T-Y!

Below is a picture from that day back in April 2009 from the JJ photo archives. Make sure you check out the other pictures in the link below. (what is everyone laughing at?) You would think that they were taken?well yesterday. Still the same sad empty lot.





Let?s have some caption fun.

1-Mayor Healy laughing??I just can?t believe I pulled this one off. Holding a press conference to kick off an imaginary project one month before the election. What a stroke of genius I will have to buy myself a round after this shindig. This giving my constituents false hope for votes is easy. ? ?Holy shi* I even got a big dopey looking white guy to show up, what an as*hole! I thought they were extinct around here. I bet he actually cares about JC?.sucker.?


2-The seal of The City of Jersey City on the podium isn?t the only crooked thing on this stage.


3-Next..


http://photos.nj.com/4505/gallery/Jou ... on%20Completed/index.html

Description: Dozens of union workers joined developers and politicians next to the rubble and bulldozers to trumpet the latest step toward the future $500 million One Journal Square development in Jersey City on April 7, 2009.

****

Buy the JJ..it won?t leave you with an empty feeling.

***

Hey vidication15? that link is unbelievable?wow ..now if some developer would just build it and cut the BS out!

****

Just for fun put MEPT in the owner box on the Jersey City online tax inquiry?

MEPT JOURNAL SQ. U.R., LLC P.O. BOX 320099, ALEXANDRIA, VA 22320

Hasn?t paid taxes on the tower properties since 2008.

In my opinion, Jersey City and NJ, in general, are just lacking in determination. The developers could start off with 1 tower; see how that works and then add another. I just scratch my head and wonder about JC when i see all the construction going on Brooklyn (even now non-prime areas).

There's always an excuse..such as the ARC tunnel - badly needed but it costs too much; what's the cost of frequent train delays into Manhattan - that tunnel was an investment in NJ's future

Quote:
This project may never get built unless the RE market regains strength and that may take at least 5 years. At that time the JCRA will probably have to look for another developer and it will take another 5 years to develop a new plan.

http://newyorkyimby.blogspot.com/2012 ... lopment-jersey-citys.html

I have my doubts this will ever get built :(

I would like to agree that a performing arts center would be great in JSQ but I don't think it has/could have the infrastructure, restaurants. I could be wrong but I I sort of think a performing arts center makes more sense in DJC.

I think JSQ is the best place for a performing arts center. We already have the historic theater and more venues can be developed there. The area can be developed as an entertainment district as it's accessible by PATH from downtown and NYC.