Major MetroPark Development Given $113M In Tax Breaks From State Of NJ

WOODBRIDGE, NJ — In 2022, Gov. Phil Murphy announced big plans to build six-story apartments and offices at MetroPark train station, specifically where MetroPark's outdoor parking lot and two covered parking garages are currently located.

NJ Transit owns that land. In 2022, NJ Transit announced they selected DOR Woodbridge Urban Renewal LLC, a joint venture firm of Russo Development, Onyx Equities and Dinallo Development LLC/Terminal Construction, as the developers. DOR will lease the land from NJ Transit.

However, the project lacked financing.

Now on Monday, the New Jersey Economic Development Authority announced it is giving DOR Woodbridge up to $113 million in tax breaks from the state of New Jersey — because Hackensack Meridian joined the deal as a healthcare non-profit.

Because Hackensack Meridian Ambulatory Care, Inc. signed on as a co-signer, the entire project was approved for Aspire tax credits equivalent to 50 percent of the total project costs, up to $113.65 million for the total project, the NJEDA announced here.

"Hackensack Meridian Ambulatory Care, Inc., which is a 501(c)(3), is a co-applicant, and will act as the required non-profit for project financing," said the NJEDA.

Hackensack Meridian plans to open a 60,000-square-foot "Wellness Center" at MetroPark, with medical offices and doctors on site. Hackensack called the project "a first-of-its-kind healthcare facility at a mass transit hub."

Services will include primary care, specialists and surgeries, a sports injury/spine center, scanning, phlebotomy, rehab services, a retail pharmacy, occupational health services and an urgent care.

In total, Russo/Onyx are planning to construct 581,801 square feet of new development at Metro Park. They are planning:

• Six-story buildings at MetroPark. It will be 325,301 square feet of residential housing, consisting of 235 apartments, with 20 percent of the units designated as affordable.
• 11,976 square feet in street-level retail.
• 244,524 square feet of corporate and medical office space (this includes the Hackensack Wellness Center, although they will be seeking other corporate tenants.)

The wellness center will be built first. The six-story apartment buildings will be built after.

McCormac, Coughlin praise the deal

Aspire is a tax credit program from the state of New Jersey meant to help "commercial and residential real estate development projects that have financing gaps."

All residential Aspire projects must include at least 20 percent affordable housing. They also specifically only help real estate development proposed to be built near mass transit.

Many lawmakers praised the tax breaks given from the state.

“I applaud this approval of Aspire tax credits, which will help maximize the potential of Woodbridge's Metropark office park and transit hub," said NJ Assembly Speaker Craig Coughlin, who lives in Woodbridge.

He also called the MetroPark train station "an underutilized stranded asset."

“From an underutilized stranded asset to a vibrant rebirth, the project will revive the entire area," continued Coughlin.

“The overall project not only energizes the modernization of the MetroPark complex, but will bring hundreds of high paying jobs to our economy," said Woodbridge Mayor John McCormac.

Gov. Murphy Unveils Big Plans For MetroPark Apartments, Offices (Oct. 2022)