Bayonne Council President and Mayoral Candidate Sharon Ashe-Nadrowski held a virtual press conference this morning to address a development concern at the former MOTBY site, now known as the Peninsula at Bayonne Harbor. She plans to introduce measures to affirm the expiration of a contract to sell MOTBY property to Borie, rescind a PILOT and seek new proposals for the sale of City Property
Ashe-Nadrowski is calling on the City of Bayonne to pass resolutions that declare the redevelopment agreement with Bayonne Partners Development as null and void and re-list the property for sale through a request for proposals process. Additionally, Nadrowski is introducing an ordinance revoking the Payment in Lieu of Taxes (PILOT) for the site.
“This is not complicated. The developer has no right to the property. They were required to close on the property by November 3, 2021. The agreement specifically states the closing needs to occur 48 months after the effective date.” The agreement signed between the City and Borie as developer was signed on November 3, 2017 and required a closing on at least a portion of the property to occur within 48 months. “The city has no legal ability or obligation to transfer this property to the developer and the developer has no rights to force a sale of the property.” stated Ashe-Nadrowski.
Wasssem Borie is the principle behind Bayonne Partners Development and was recently reported to make a $25,000 donation to a PAC linked to admitted murderer Sean Caddle in support of Mayor Jimmy Davis. In 2015 Borie was designated the redeveloper of a portion of the now highly desirable real estate that was the former Military Ocean Terminal in Bayonne.
Ashe-Nadrowski also seeks to introduce an ordinance to rescind the financial agreement previously entered into between the City and Borie Development for the property. At the time, the PILOT was granted by the City in 2017, the developer had submitted an application for a project with a maximum 850 residential units. The developer currently has a site plan pending approval of 1,250 residential units. “The size of the project has increased by 47%” stated Ashe-Nadrowski, “None of the financials used as a basis for the original PILOT are valid. That math like the original project no longer exists.”
The State law permitting the granting of tax abatements requires that the municipality undertake an analysis of the financial needs of the project and weigh them against the benefits to the residents. This is commonly referred to as the “but for test”. “I am introducing an ordinance to revoke the PILOT on the site based on two facts (1) the city has no legal ability to transfer this property to the developer and the developer has no rights to the property and (2) that PILOT was based on a 850 unit project not a 1,250 project.”
Ashe Nadrowski believes that the property should be relisted for sale by the City and permit other developers the opportunity to propose plans and bid for the property. “This allows the city to undertake a public, transparent request for proposal process for the sale of the property. As I have stated, Bayonne needs change – residents deserve a voice in this process and a fair price for the site. Seven years ago the site was valued at about $35 million dollars; today, that
property is worth between $65 to $95 million.” The military ocean terminal is no longer a barren wasteland waiting to be developed, but is home to thousands of residential units and large commercial spaces.
“We need a Mayor who is willing to stand up for us and fight against developers who just want to profit off Bayonne.. Let me be clear – no more sweetheart deals for big developers and donors.” Added Ashe Nadrowski.
“Mayor Davis’ claim that this agreement is “ironclad” is just another lie. The only thing that is ironclad is Jimmy’s willingness to take the side of political donors over residents. We need to vote for change on May 10.”