Neighbors for Tomorrow in Harding: Affordable Housing Information

The organization “Neighbors for Tomorrow in Harding” has compiled the following information about affordable housing in Harding:

Affordable Housing in Harding Township:
Important Information for Harding Citizens

Introduction
Harding Township, led by our Township Committee, is navigating complex Affordable Housing (AH) obligations mandated by the State of New Jersey.
• Affordable Housing was initiated in 1975 as a result of a NJ Supreme Court order
• The State has assessed 3 Rounds of obligations since 1975 which Harding has met
• A 4th Round was assessed by the State in October 2024; our new liability is 75 affordable housing units which will result in over 400 total residential units
• The 5:1 ratio is a result of lobbying efforts by advocates with State concurrence; for every AH unit built, the builder can build another 5 market rate units.
• The 5:1 ratio leads to high density housing to the benefit of builders as a by-product of the AH mandate
• This complex set of interdependencies has the potential to double Harding’s residences to over 2,400 by 2035.

Key Activities Underway Now to Meet Mandates for Round 3
• Route 202 Overlay Zone: Rezoning along Route 202 to allow mixed-use
developments, potentially adding nearly 500 units (94 affordable and the rest
market-rate). (SEE MAP EXHIBIT #1)
• KRE Development: Approval for 96 townhomes near the northern border of Harding Township, with 16 designated as Affordable. (SEE RENDERING EXHIBIT #2)
• Hurstmont Project: A 250-unit development for residents aged 55 and over,
including assisted living and memory care facilities, contributing to 40 affordable
units. (SEE RENDERINGS AND MAPS EXHIBIT #3)
• Additional Measures: Use of group homes, expansions at The Farm, and prior
credits to meet remaining obligations.
• Recent interest has emerged in developing properties along Route 202, such as 1300
and 1105 (previously Greenbaum interiors) Mt. Kemble Road. Currently, Harding Township has approximately 1,400 homes. The approved and potential developments could increase residences by approximately 70% in the coming years.
• Legal action was taken by “GHK Realty” (owned by Herman Kurz) to rezone their property at 655 Spring Valley Road. GHK is suing Harding to have the properties rezoned so that they can build 136 townhouses, 108 of which would be luxury units, and 28 affordable housing units. (see attached Map Exhibit #4.)

What Can Citizens Do?
1. Demand that State lawmakers audit and report outcomes of Affordable Housing. Today, the state does not have an inventory of how many units have been built nor how many citizens have occupied these units. What goals have been achieved?
2. Demand an examination of the impact of high-density housing on towns across the State, like Harding, reflecting the costs of this unfunded mandate on local services, schools and local taxes.
3. Petition State lawmakers to revisit the 5:1 Builder accommodation.
4. Vote for Candidates who will prioritize a review of current AH laws and who are open to alternative approaches that do not result in high density housing in Harding or across the State.
Additional History and Details of AH Initiatives
Background

In 1975, the New Jersey Supreme Court mandated that every municipality must provide
a fair share of affordable housing. To oversee this, the Fair Housing Act of 1985
established the Council on Affordable Housing (COAH), which set housing obligations
for municipalities in rounds:
• Round 1 (1987) and Round 2 (1999): Harding Township was assigned 83 units.
The township met this through Regional Contribution Agreements (RCAs),
transferring part of the obligation to urban areas, and by developing units at The
Farm on Woodland and Kitchell Roads.

2015: Shift to Court Oversight

During 2014 COAH appointments were delayed and ultimately the Committee ceased meeting which led to legal suits. Leading up to 2015, COAH became inactive after disagreements and legal challenges between the municipalities and the “Fair Share Housing Center”. The New Jersey Supreme Court then intervened and assigned affordable housing oversight to the courts.

This change led developers to propose higher-density projects in which they are permitted to
construct and sell 5 at “market rates” to offset their below market yield from each AH unit.
There are no financial disclosures or audits completed on the profit yields of these
buildings.

Municipalities faced risks: The risks were and are substantial for any municipality found non-compliant in that this would likely lead to the court appointing Hearing Officers to substitute for the Planning Board, essentially putting Builders in control of what gets built where. In addition, this negotiation between parties is typically expensive for municipalities in the face of a more positive bias of the court towards Developers.

2018-2019: Harding’s Round 3 Settlement

Facing legal action from Kushner Real Estate Developers (KRE), Harding Township
settled its Round 3 obligation at 176 units, a 50% reduction from our original obligation and immunity from other suits. Key aspects of the settlement included:
• Route 202 Overlay Zone: Rezoning along Route 202 to allow mixed-use
developments, potentially adding nearly 500 units (94 affordable and the rest
market-rate). (SEE MAP EXHIBIT #1)
• KRE Development: Approval for 96 townhomes near the northern border, with
16 designated as affordable. (SEE RENDERING EXHIBIT #2)
• Hurstmont Project: A 250-unit development for residents aged 55 and over,
including assisted living and memory care facilities, contributing to 40 affordable
units. (SEE RENDERINGS AND MAPS EXHIBIT #3)
• Additional Measures: Use of group homes, expansions at The Farm, and prior
credits to meet remaining obligations.
Recent interest has emerged in developing properties along Route 202, such as 1300
and 1105 (recently Greenbaum interiors) Mt. Kemble Road. Currently, Harding Township
has approximately 1,400 homes. The approved and potential developments could increase
residences by approximately 70% in the coming years. That number will increase
significantly more as a result of recent legislation discussed in the next section.

2024-2025: Round 4 Developments

In March 2024, Governor Phil Murphy signed new legislation abolishing COAH and
assigning the Department of Community Affairs (DCA) to calculate affordable housing
needs. Unfortunately, little changed in the assessment calculations and assignment of
obligation to each municipality; rather the process developed and advanced by housing
advocates is now in essence codified into law. Disputes about municipalities’ affordable
housing obligations and plans to meet those obligations will be resolved by the Judiciary
with assistance from a new dispute resolution program.

On Friday, October 18, 2024, the New Jersey Department of Community Affairs (DCA)
released the updated list detailing both the current and projected affordable housing
obligations for all 564 municipalities as part of the state’s fourth-round affordable
housing requirements. The full report can be accessed here.
https://nj.gov/dca/dlps/pdf/FourthRoundCalculation_Methodology.pdf

The DCA assigned Harding Township an obligation of 83 new affordable units for
2025-2035. If developed with the 5:1 market-to-affordable ratio, this could mean an
additional 440 units, potentially doubling Harding’s residences to over 2,400 by
2035.

Notably, in March of this year, legal action was taken by “GHK Realty” (owned by Gail and Herman Kurz of Harding Township) to rezone their property in order to construct 136 town houses on their properties located at 665Spring Valley Road. (see attached Map Exhibit #4.)

The overall property consists of 4 lots totaling ~ 34 acres in the Northeast of the
Township. The properties, along with adjacent properties, are currently RR zoned which
restricts density to a 5-acre minimum for primary residences. GHK is suing Harding to
have the properties rezoned so that they can build 136 townhouses, 108 of which
would be luxury units, and 28 affordable housing units.

2025: Legal Challenges

In January 2025, Harding Township acknowledged the DCA’s 83 unit obligation but contested
the number, suggesting it should be 67 units. Municipalities have until June 2025 to
submit their housing plans.

In February, the New Jersey Builders Association sued multiple towns, including
Harding, opposing reductions in affordable housing obligations. These settlement negotiations were fast tracked by the courts and Harding entered into a settlement with the NJ Builders Association to agree to 75 units, not the 67 recently submitted to the state. Our Township Committee passed a resolution on April 14th to accept this settlement.

Conclusion

Harding Township is navigating complex affordable housing requirements, balancing
legal challenges, development pressures and community interests to meet state mandates.

If any resident is interested in receiving up to date on Affordable Housing in Harding, please email Neighbors for Tomorrow in Harding (NFTH) at [email protected] and you will be added to our regular email updates. You can also ask questions as news develops so we all hopefully stay as informed as possible on this very important issue.

A-2 Hurstmont – map & renderings
Hurstmont Map

KRE Site Plan for Web
KRE Site Plan