Governor Christie Conditionally Vetoes Extension of Non-Residential Development Fee Moratorium
On September 10, 2014, Governor Chris Christie conditionally vetoed legislation A1907/S1011 which would have extended the expired moratorium on payment of non-residential affordable housing development fees in New Jersey. The 2.5% non-residential development fee is still applicable to non-residential development in New Jersey, and the conditionally vetoed bill will be sent back to the Legislature.
The bill was intended to reinstate and extend a moratorium on affordable housing development fees, which had expired on July 1, 2013. The fee of 2.5% of assessed value of the property as developed must be paid in connection with development of all "non-residential property", with some exceptions. The bill would also have required a refund of some fees already paid by developers.
If you are now required to pay the affordable housing fee, you may want to consider doing so "under protest" to preserve your rights.
For questions, please contact a member of Reger Rizzo & Darnall’s Real Estate Department.