(NEWARK, NJ) – After Newark City Council approved an amended redevelopment agreement for the Bears Stadium site in April, a new developer completed the purchase of the property. Developer May Newark LLC, a subsidiary of Accurate Builders and Developers, proposed a mixed-use development plan for the now vacant property, which will be built in nine phases. It will consist of around 4,200 residential units; 200 affordable units; up to 3,000 parking spaces; at least 100,000 square feet of hospitality / target retail; Cooperation space for small businesses, entrepreneurs and freelancers; and publicly accessible green spaces.
“The redevelopment of the eight-acre Bears Stadium site is a kind of transformation project that only happens a few times in a generation,” said Mayor Ras J. Baraka. “The additional housing, entrepreneurial and small business space and retail space will bring us closer to our goal of a vital, exciting and accessible 24-hour downtown area. In addition, the new builder education and training component will open high-paying union jobs for Newark Residents and we will have taken another big step in our equitable growth strategy. “
“We are excited to be working with the City of Newark to create the ultimate lifestyle destination in New Jersey’s largest city,” said Jack Klugmann, CEO of Accurate Builders and Developers. “We really appreciate the trust the city has placed in us and look forward to continuing to work closely with the mayor and his team, as their efforts to date have been the driving force behind this transformative project.”
Contrary to the previously approved plan, the new development will be built under the city’s Inclusion Zones Ordinance, which will help accelerate the development of equitable commercial and residential development as Newark recovers from COVID-19. The project will now include five percent of the units in affordable on-site housing and a $ 15 million payment to the City Affordable Housing Trust Fund to create new housing in neighborhoods outside of downtown.
Josh Zegen, Managing Principal and Co-Founder of Madison Realty Capital, added, “This investment reflects Madison Realty Capital’s commitment to providing bespoke, flexible capital solutions that help our communities grow and improve. We look forward to working with them Jack Klugmann and Accurate Builders & Developers and the City of Newark on this exciting project that will benefit downtown economic revitalization and provide much-needed quality housing for hardworking Newark residents. “Madison Realty Capital provided funding for the project.
“I am proud to have worked with the talented Jack Klugmann of Accurate Builders and Developers and the City of Newark to bring such an exciting and monumental project to life. The redevelopment of the Bears Stadium site will set a new standard for quality and convenience in the Newark market, “said Shaya Ackerman of Meridian Capital Group, which arranged the acquisition financing for this transaction.
A new feature of the plan is the developer’s obligation to pay applicable wages on 10 percent of construction costs to ensure the Newark workforce and applicable wages are included in the project. No project employment contract was required in the original plan. A second innovation is the development of a training, retention and education program for Newark residents to provide on-the-job training leading to apprenticeships with the aim of increasing the number of Newark residents in union occupations.
The developer will also invest no less than $ 2.7 million in training and retaining construction workers that can be invested in each of the nine project phases with a minimum of $ 300,000 in each phase.
PICTURE: 3D RENDERING OF THE CONCEPT SITE PLAN – © 2020 LESSARD DESIGN INC.
originally published: 05/26/2021