Deputy Mayor defends 100% affordable redevelopment at former Halsey Street site; council approves sale

The Newark Municipal Council on April 1 voted to approve the sale of 1721 Halsey Street to a locally led development team for a redevelopment project the administration says will be 100% affordable housing.

Deputy Mayor Allison Ladd, director of Economic and Housing Development, told the council that the city selected the developer after a public procurement that produced multiple finalists, and that the proposed project includes 12 for-sale condominium units and additional rental units aimed at Newark residents. "This is 100% affordable housing in our Central Ward," Ladd said, adding that the team is locally led and includes principals she named in the chamber.

The presentation came after more than an hour of public comment in which residents pressed the council for details on appraisal values, sale price and community benefits. Lisa Parker, a neighborhood resident, said the property had been assessed in prior records at a significantly higher value and asked why it was being sold for roughly half that amount. "How is a property assessed at $2.7 million being sold for a half a million dollars?" Parker asked during public comment, calling for clearer fiscal accountability.

Ladd corrected several factual points raised by speakers and provided the administration's version of the site's history. She said the current assessed value is $918,800 and that the administration asked the buyer to pay 54% of that asking figure — roughly a half‑million dollars — with the remaining financing to come from public funds and grants for construction of affordable units. She also said the city had been in court for three years with a prior owner and that demolition and safety work had been done to remove a hazardous eyesore from the block.

On unit mix and affordability, Ladd gave a specific breakdown: four homeownership condos at 30% of area median income (AMI) (one 1‑bed, two 2‑beds, one 3‑bed); eight units at 50% AMI with a mix of one‑ and multi‑bedrooms; and four condos at 60% AMI. She said the development team has applied for additional grants, including from a Federal Home Loan Bank, to support both the ownership and rental components.

Council members asked clarifying questions about prior transactions, whether the buyer had demonstrated financing capacity and whether community‑benefit and enforcement provisions would be included in the redevelopment agreement. Councilwoman Bay praised the local character of the development team and said the three‑bedroom units were important for families. Several council members said they wanted to ensure monitoring and enforcement of the developer's commitments.

After the discussion, the council advanced the sale/agreements by roll call. The minutes and documents associated with the legistar file were cited by the administration as the permanent record for the procurement and selection information; Deputy Mayor Ladd said those files are available to the council.

What happens next: the developer must finalize financing and return to any required planning or permitting boards; the council also indicated it expects follow‑up information about funding sources and enforcement provisions for community benefits.