Groundbreaking ceremony for TCNJ's Campus Town
Governor Chris Christie attends the groundbreaking ceremony for TCNJ's Campus Town retail and housing project in Ewing on Friday, September 27, 2013. Andrew Miller/For The Times of Trenton
EWING — The township could receive an annual payment of $395,000 from the developer of the planned Campus Town project at The College of New Jersey, according to a deal that has been sent before the township council for approval.
Mayor Bert Steinmann said that the agreement calls for the PRC Group, the developer of the project, to pay the township at least $395,000 each year for the duration of the 50-year lease. The agreement also calls for price escalators tied to the tax rate and consumer price index.
“This is a win for the town,” said Steinmann.
Campus Town is a $50 million student housing and retail complex planned for part of the institution’s campus that borders Pennington Road. Demolition of existing structures on the 12-acre tract began earlier this fall, and preliminary site work is underway.
The project is a public-private partnership between TCNJ and PRC and is one of the first arrangements of its kind in the state, an element that Steinmann said made the question of tax revenue for Ewing a difficult one to consider.
“It was in a grey area as to whether (we) could tax it or not,” Steinmann said.
Town officials projected different tax scenarios, Steinmann said, including considering taxation of the entire property as well as just the retail portions. In every instance, the town would have stood to receive less than the proposed $395,000 deal.
“Coming to the compromise for the town to receive $395,000, I think, is really a win,” he said.
Steinmann added that the project will have no impact on the town’s school district, because the project is based on college property and the housing component will serve only students.
While the project is focused on the on-campus population, he noted that the retail establishments and restaurants could also be patronized by members of the community.
A representative from PRC declined to comment on the proposed deal.
The township council introduced the proposed ordinance that would memorialize the deal at a meeting Tuesday night, and will vote on its final adoption at its Dec. 9 meeting.
“I think it is a plus for the town,” said Councilwoman Kathleen Wollert. “It is certainly revenue that we could put to good use. I applaud the mayor for moving forward and negotiating that.”
Contact David Karas at dkaras@njtimes.com.
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