Eatontown introduces new mixed‑use affordable‑housing zone; settlement with Victoria Plaza underpins 32 affordable units

The Borough Council voted on Feb. 25 to introduce Ordinance 05‑2026, creating the R‑MFMU‑AH‑3 Mixed Use Multifamily Affordable Housing Zone for Block 601, Lots 1 and 2. Attorney Bayer and Mayor Talerico summarized legal context, including the Department of Community Affairs Round‑4 figures and the court-ordered mediation that set Eatontown’s Fourth Round obligations (a present need of 20 units and a prospective need ultimately set in court at 186 units). The ordinance text sets site, bulk and design standards for a mixed‑use redevelopment intended to provide multifamily, townhouse and senior housing with a 20% affordable set‑aside.

Separately, the council approved Resolution 56‑2026 (consent agenda) approving a Memorandum of Agreement and settlement with Victoria Plaza at Eatontown, LLC. The settlement, memorialized previously through court processes, centers on an inclusionary development that would produce 160 (or 158 as memorialized in part of the record) total residential units with a 20% set‑aside — yielding 32 affordable housing units — coupled with a retail component. The resolution was approved as part of the consent items and is intended to help the borough obtain Fourth Round compliance certification and associated immunity from builder’s‑remedy litigation.

Why it matters: the zoning text and the Victoria Plaza agreement are implementation steps tied directly to court‑ordered affordable‑housing obligations under the amended Fair Housing Act. The ordinances and settlement affect land use for specific parcels, create standards for mixed‑use redevelopment, and commit the applicant to produce the affordable units that contribute to the borough’s compliance plan. The ordinance was introduced for public hearing on March 11, 2026; the Victoria Plaza settlement was approved in the consent vote at this meeting.