Redevelopment of the Fort Monmouth Lodging Area Moving Forward Following Board Approval of Purchase and Sale & Redevelopment Agreement (“PSARA”) with Somerset Development
The Fort Monmouth Economic Revitalization Authority (FMERA) issued a Request for Offers to Purchase (“RFOTP”) in connection with the planned redevelopment of the Lodging Area along Parker’s Creek in Oceanport in December 2016. The Lodging Area consists of an approximately 15-acre parcel of land containing eight buildings (Buildings 270, 271, 360, 361, 362, 363, 364, and 365) totaling approximately 184,207 ground square feet located on Signal Avenue in the Main Post Area of Fort Monmouth. A portion of the Lodging Area is situated within the Fort Monmouth National Register Historic District. Buildings 270 and 271 are considered contributing resources to the Historic District and are subject to historic preservation covenants. FMERA has selected Somerset Development, LLC of Holmdel, NJ as the developer.
Well-known for the redevelopment of the former Bell Labs—now known as Bell Works—Somerset has a history of transforming challenging sites into dynamic, revenue-driving projects. In addition to its revitalization of the Bell Labs complex, Somerset is responsible for the development of several transit-oriented, pedestrian-friendly communities in NJ featuring both residential and commercial components. Somerset’s project in the former Lodging Area of Fort Monmouth is strictly residential.
“With an increasing number of businesses and amenities moving onto Fort Monmouth, the demand for housing continues to grow,” said FMERA Executive Director Bruce Steadman. “New residential development on the Fort not only supports our vision for developing a live-work-play community, it will also generate valuable tax revenue for the Borough of Oceanport.”
Pursuant to the terms of the PSARA, Somerset will pay $17.5 million for the property. Somerset envisions the construction of 140 to185 three-story traditional, market-rate townhomes, contingent upon site constraints. Twenty percent of the total housing units must be constructed as Affordable Housing. Somerset proposes to demolish Buildings 360, 361, 362, 363, 364, and 365 to construct up to 148 market rate/owner occupied townhouses while adaptively reusing Buildings 270 & 271 to satisfy the 20 percent affordable housing requirement on the property.
The Reuse Plan also envisions the creation of a scenic waterfront promenade from the eastern boundary of the Lodging Area to the adjacent Officer Housing development to the west. Somerset will be responsible for designing and constructing the portion of the waterfront promenade on the Lodging Area site, which will connect to the planned waterfront promenades on adjacent developments.
Note: FMERA Board action is subject to a ten (10) day veto period by the Governor.