FROM THE EXPRESS TIMES (North Jersey Media Group)
Thursday, January 25, 2007
BY LYNN OLANOFF
The Express-Times
HACKETTSTOWN | A prime downtown property doesn't look so appealing to town council after all.
Council had considered an an offer to purchase the former Bergen Tool and Machine Factory to use as new municipal headquarters. But the $4.15 million purchase price and $1 million in demolition costs alone make the project too costly, Mayor Michael Lavery said.
Renovations to accommodate all municipal offices would cost another estimated $5 million. Selling the town's current buildings could make up $7 million of the $10 million costs, town officials have said.
The 11-acre Main Street property has become one of the most sought-after in town since Bergen moved its operations to Pennsylvania in 2002. K. Hovnanian Enterprises had held a contract on the property and many other developers are interested in it.
"No final decision has been made, but at this point, it just looks like the numbers aren't going to cooperate with us," Lavery said. "We have some of the highest taxes in Warren County; I just don't think at this point in time we're in a position to do that."
The town's Economic and Industrial Development Commission had presented council with the Bergen Tool proposal at its Nov. 14 meeting. No formal discussions have been held on it since.
Councilwoman Maria DiGiovanni said she, too, thinks the proposal is too expensive. Councilman Scott Sheldon said he is still undecided on the proposal and wants more information on the costs.
"I think it could be a great thing if the price is right," he said. "I don't want to build a municipal complex just to keep up with the joneses."
If town council rejects the Bergen proposal, the developer will likely seek to build on its own, Marshall said. He declined to name the developer.
Town council will likely have to look at other options for municipal headquarters renovation or expansion this year, Lavery said. The municipal building needs a new $200,000 HVAC system and it and many of the town buildings are too small and outdated.
Thomas Marshall, the town's economic commission chairman, has been hopeful town council would accept Bergen's offer. He thinks redevelopment of the property is important in revitalizing Hackettstown's downtown. A developer interested in partnering with the town on the property has been in contact with him, Marshall said.