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Millville commission hears plan to clear path for 225‑acre CRP redevelopment; $400,000 non‑recourse bond explained
Summary
Redevelopment counsel explained a $400,000 non‑recourse redevelopment area bond and a first amendment to the CRP purchase-and-sale and redevelopment agreements that swaps phase sequencing, revises timelines and removes closing conditions to enable an April 15 closing; commissioners stressed Nabb Avenue funding remains a critical contingent item.
Redevelopment counsel Parker Kimmel told the Millville City Commission that the city is preparing to close on the sale of 225 acres to a private redeveloper known in the meeting as CRP and that the transaction includes a $400,000 redevelopment area bond (RAB) earmarked for public improvements, including the extension of Nabb Avenue. Kimmel said the RAB is non‑recourse to the city and carries 0% interest, and that Local Finance Board approval was obtained in April 2025.
Kimmel said the financial agreement ties a 30‑year service‑charge framework to the project and that, for the first 10 years, the pilot payment structure results in an initial payment rate under the 10% statutory threshold. "We were in front of the Local Finance Board in April of 2025 and got their approval for this bond," Kimmel said, adding that the $400,000 would be paid to the city at closing and could be applied to public improvements including the Nabb Avenue extension.
The commission also reviewed a first amendment to the redevelopment and purchase‑and‑sale agreements. Kimmel said the amendment swaps the original phase‑one and phase‑two descriptions, pushes out several government approval and commencement dates for the project’s multiple phases but leaves final project completion dates unchanged (phase one completion retained at December 31, 2027; phase two completion retained at October 31, 2029). He explained that, because the redeveloper will not seek preliminary and final approvals for all three phases at once, the amendment removes certain conditions to closing and sets an April 15 closing date with an April 30 penalty date to reduce the risk that approvals timing would block a purchase closing.
Kimmel described the scale of the project and the city’s rationale for flexibility: the redeveloper is buying 225 acres for a $10.2 million purchase price and contemplates multi‑phase warehouse construction totaling well over 2 million square feet across phases. He said the city’s advisers (including Phoenix Advisers) and counsel structured a $400,000 RAB to allow an initial pilot below the 10% threshold while still producing up‑front funds for public improvements. "The $400,000 is the city's. It's earmarked, and that will be used for public improvements, including the extension of Nabb Avenue," he said.
Public commenters and some commissioners pressed officials on whether $400,000 is sufficient to fund the Nabb Avenue extension and who would pay the remainder. Resident Tamara Davis asked whether the bond ‘‘is sufficient to pay for building Nabb Avenue’’ and, if not, who would fund the balance. Commission leaders reiterated that phase one of the CRP project can proceed without Nabb Avenue but that later phases are contingent on its completion; they said the city is actively seeking additional funding sources for Nabb Avenue.
The commission did not take a vote on the redevelopment agreement or the RAB during the work session; Kimmel said the amendment language is intended to remove procedural roadblocks so closing can occur rapidly. A motion to adjourn later passed by roll call vote.
Why it matters: The amendment and RAB would provide the city with an up‑front payment tied to a large private redevelopment that could bring jobs and pilot payments over time, but major public infrastructure (Nabb Avenue) remains only partially funded and is a gating issue for later phases.
