The city council for the City of Newark recently approved a 25-year tax abatement to fund the construction of a new five-story building at the site of the former City National Bank building in Weequahic in the south ward. On May 20, officials voted to approve a tax incentive for the East Orange-based firm 1080 Bergen Developer Urban Renewal LLC, which shares an address with the real estate firm Naimor.
The legislation states that the LLC intends to deliver a total of 66 apartments and 5,570 square feet of commercial space at 1072-1078 Bergen Street. The project includes 53 market-rate units – 3 studios, 36 one-bedrooms, and 14 two-bedroom units – and 13 affordable units. One studio and 2 one-bedroom apartments will be allotted to residents earning 40% of the area median income (AMI), while 2 one-bedrooms and 1 two-bedroom unit will be allotted to residents earning 60% AMI. The project also includes 5 one-bedroom and 2 two-bedroom apartments for residents earning at or below 80% AMI. It includes 29 on-site parking spaces, 1,080 square feet of amenity space, and a 723-square-foot gym.
Despite the city council voting to approve the financial agreement, the determination of the affordability rate remained a point of contention between Newark residents and the legislative body during the May 20 meeting. Residents who submitted public comments during the public hearing on the legislation voiced concerns that the project would not be affordable for city residents, where the median household income stood at $52,060 in 2024, according to the U.S. Census Bureau…