SOMERS POINT — City Council is looking to move forward with a long-term tax exemption to help an agency rehabilitate Somers Point Village Apartments.
Council introduced an ordinance Sept. 22 granting the agency a PILOT (payment in lieu of taxes). A public hearing and final vote are tentatively scheduled for the body’s next meeting, set for 7 p.m. Oct. 13.
“We have a draft PILOT plan and financial agreement with Somers Point Preservation that now goes to council for review and discussion,” City Administrator Jason Frost said. “Things are being negotiated but the bulk of the plan is being put in place right now.”
Frost said the organization’s obligation under the agreement is to undergo extensive capital improvements at the rental housing complex.
“The goal is to have a nicer asset out there for our residents and the municipality,” he said.
City Council adopted a resolution July 21 approving a Memorandum of Understanding with Somers Point Preservation for redevelopment/rehabilitation of the complex off Somers Point-Mays Landing Road.
According to the resolution, the organization has presented a proposal to rehab each of the 225 affordable housing rental units — 117 in Somers Point Village I and 108 in Somers Point Village II — including construction of a community center and state-of-the-art security system, with a projected budget of $18 million.
The complex has had more than its share of problems over the years, with multiple calls to the police and fire departments and a murder this spring in which the suspect is still at large.
City Council President Janice Johnston said in July that the owner —identified in documents at Related Companies, the parent of Somers Point Preservation — has been very responsive to the city’s requests improve conditions.
“Our objective is to get the property cleaned up and safe for the residents,” she said.
Johnston said the improvements would not be just physical, although she is pleased the rental units would be upgraded. She said the management company would offer resident services and have personnel on site to enforce rules.
Related Companies operates more than 55,000 affordable residences in cities across the country.
“We strive to propel cities forward. Our developments are inclusive, tech-forward and sustainable, and serve as economic and creative engines for their communities,” its web site states.
By CRAIG D. SCHENCK/Sentinel staff
