BellWorks_Application for Tax Abatement

109 Pages·2014·5.16 MB·English

APPLICATION FOR TAX ABATEMENT / EXEMPTION
SOMERSET HOLMDEL DEVELOPMENT I
URBAN RENEWAL, L.P.
Name ofApplicant
TOWNSHIP OF HOLMDEL
COUNTY OF MONMOUTH
OFFICE OF THE MAYOR
4CRAWTORDSCORNERROAD
HOLMDEL, NJ 07733
SOMERSET HOLMDEL
DEVELOPMENT I URBAN
RENEWAL, L.P.
911 E. COUNTY LINE ROAD
LAKEWOOD, NJ 08701
Address ofApplicant
ALCATELILUCENT BUILDING
REDEVELOPMENT
CRAWFORDSCORNER&
ROBERTS ROAD
PORTION OF BLOCK 11, LOTS 38,
38.02,73.01,73.02,73.03, and 73.04
Address ofProject Site
THE UNDERSIGNED, ON BEHALF OF AND WITH THE POWER AND INTENT TO
BIND THE APPLICANT, HEREBY CERTIFIES TO THE TOWNSHIP AS FOLLOWS,
AND HEREBY ACKNOWLEDGES THAT THE STATEMENTS CONTAINED HEREIN
ARE MADE IN INDUCEMENT OF A TAX ABATEMENT / EXEMPTION PURSUANT
TO THE APPLICABLE LAW.
Application submitted pursuant to the following:

(please check applicable statute)

x

Long Term Tax Exemption Law (NJ.S.A. 40A:20-1 et seq.)
Five-Year Exemption and Abatement Law (N.J.S.A. 40A:21-1 et seq.)

New Jersey Housing Mortgage Finance Agency Law (NJ.S.A. 55:14K-l et seq.) _

Other applicable statute (please identify statute)

SECTION A: APPLICANT INFORMATION

1. Name of Applicant:
SOMERSET HOLMDEL DEVELOPMENT I URBAN RENEWAL, L.P.
2. Address of Applicant:
911 E. COUNTY LINE ROAD, LAKEWOOD, NJ 08701
3. If applicable, attach hereto a copy of the Applicant's Certificate of Formation and
evidence of the Department of Community Affair's ("DCA") approval of the
Certificate ofFormation. (IfDCA approval has not yet been obtained, attach a copy ofthe
proposed Urban Renewal Entity's certificate of formation and evidence that same has been
submitted to the DCA for approval. The Applicant must submit evidence of DCA approval
after it is obtained by way of a supplement to this application.)
See attached Exhibit A. Pending review and approval by NJDCA. To be provided upon
receipt. Draft attached.
SECTION B: PROPERTY INFORMATION
4. Identification of Property:
a. State the street address of the proposed project site according to the currently effective
tax map ofthe Borough (the "Official Map"):
Alcatel-Lucent Redevelopment Area, Township ofHolmdel, NJ

101 Crawfords Corner Road

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Former AT&T/Bell Labs/Lucent Property
This application pertains only to the 1,675,000 square foot main building and associated
land and site improvements comprisingproposed Lot 38D consisting of134.82 acres (the
"Project Site ''), as shown on the Subdivision Plat attached as Exhibit B and approved by
Holmdel Township Planning Board by Resolution dated August 20, 2013 for Application
#SD-648 (the "Resolution '').
b. State the block(s) and lot number(s) corresponding to the Project Site on the Official
Map:
The former AT&T/Bell Labs/Lucent Property (comprising the Alcatel-Lucent
Redevelopment Area) includes Block 11, Lots 38, 38.02, 73.01, 73.02, 73.03, and 73.04
as identified on the Township's tax map. Per the Resolution, the existing lot lines are to
be modified to create proposed Lots 38A, 38B, 38C, 38D, and 38E as shown on Exhibit
f1. As noted above, this application pertains only to proposed Lot 38D (134.82 acres)
and the site improvements and building located thereon.
c. Provide a metes and bounds description of the Project Site:
See attached Exhibit C.
5. Current Assessment and Tax Status of the Project Site:
a. Current Assessment
BLOCK LOT ACRES LAND IMPROVEMENTS TOTAL
11 38 134.82 $4,591,330 $10,630,200 $15,221,530
11 38 (QFARM) $0 $0 $0
11 73.01 nJa nJa nJa nJa
11 73.02 nJa nJa nJa nJa
11 73.03 nJa nJa nJa nJa
11 73.04 nJa nJa nJa nJa
For purposes of this application, the current assessment as to the Project Site consisting
of 134.82 acres is $4,591,330 for the land and $10,630,200 for the Improvements for a total of
$15,221,530.
b. Current Tax Status
BLOCK LOT REAL PROPERTY WATER/SEWER TOTAL
BALANCE
11 38 Current Current Current
11 38 (QFARM) nJa nJa nJa
11 73.01 n/a nJa n/a
11 73.02 nJa nJa nJa
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SECTION C: PROJECT INFORMATION
6. Describe the purpose of the proposed project. Include a detailed description of the
improvements to be made to the Project Site.
The Applicant/Redeveloper proposes the adaptive reuse of the 1,675,000 square foot main
building and associated land and site improvements on the Project Site to transform the
otherwise underutilized main building into an economically and socially productive use which
will contribute to the general welfare ofthe Township. This will include the revitalization ofthe
existing parking, roadways, and infrastructure comprising the Project Site, together with minor
site improvements, and such other work as approved by the Holmdel Township Planning Board
in the Resolution. The adaptive reuse of the main building is proposed to include a number of
potential uses, including hotel, office, retail, personal service, fitness center, education,
laboratory, and medical.
7. Provide copies of the plans, drawings and other documents to demonstrate the structure
and design of the proposed project.
See attached Exhibit D.
8. Provide the currently estimated project schedule, including the anticipated project
completion date.
See attached Exhibit E.
9. Provide a statement that the proposed project conforms to all applicable ordinances of
the Borough and is in accordance with the Borough's Redevelopment Plan, as applicable,
governing the Project Site and the Borough's Master Plan.
Except for the minor deviations specifically approved by the Holmdel Township Planning Board
in the Resolution, the project conforms to all applicable ordinances of the Township and the
Township's Master Plan, and is in accordance with the Alcatel-Lucent Redevelopment Plan that
governs the Project Site.
10. Provide a certified statement prepared by a licensed architect or engineer of the
estimated cost of the proposed project in the detail required pursuant to the applicable law.
See attached Exhibit F
11. Detail the source, method and amount of money to be subscribed through the
investment of private capital, setting for the amount of stock or other securities to be issued
therefore or the extent of capital invested and the proprietary or ownership interest
obtained in consideration therefore.
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The Applicant/Redeveloper contemplates that initially, capital investment will be comprised of
$15 million in private equity. The Applicant/Redeveloper may then seek an additional $6 million
in additional private equity, or debt financing through conventional sources. Tenant
improvements are estimated to require additional debtfinancing in the amount of
$22,500,000.00 with up to 60% being obtainedfrom conventional sources.
12. Provide a description of the number, classes and type of employees to be employed at
the Project Site within two years of completion of the proposed project.
See attached Exhibit G.
SECTIOND: TAX ABATEMENT / EXEMPTION
13. Attach a fiscal plan for the proposed project outlining a schedule of annual gross
revenue, the estimated expenditures for operation and maintenance, and payments of
interest, amortization of debt and reserves.
See attached Exhibit H
14. Provide the annual estimated payments in lieu of taxes during the term of the Tax
Abatement / Exemption.
See attached Exhibit 1
15. Provide a description of any lease agreements between the Applicant and proposed
users of the proposed project, along with a history and description of the users' business.
Attach copies of executed leases with proposed users, if available, or any applicable form or
prototype leases.
No leases have been finalized at this time.
16. Proposed form of Financial Agreement. See attached Exhibit J.
SECTIONE: DISCLOSURE
17. Disclosure Statement:
a. Name of Entity or Urban Renewal Entity, as applicable:
Somerset Holmdel Development I Urban Renewal, L.P.
b. Principal place of business:
E. 911 County Line Road, Lakewood, NJ 08701
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c. Name of statutory agent and address, but if applicant is not a corporation the one
with related address upon whom legal process may be served is:
Michael A. Bruno, Esq., Giordano, Halleran & Ciesla, PC, 125 HalfMile Road, Suite
300, Red Bank, NJ 07701
d. Incorporated in the State of New Jersey
The following represents the name and addresses of all stock holders or partners owing a
10% or greater interest in the above urban renewal entity. If one or more of the above
named s itself a corporation, partnership, or entity, I have annexed hereto the names and
addresses of anyone owing a 10% or greater interest therein.
Name of Owner(s) Address Percent Owned
Name and Address Ownership or Proprietary Interest
Somerset Holmdel, LLC General Partner
911 E. County Line Road EquityNoting Interest: 1%
Lakewood, NJ 08701
Centre Bell, LLC Limited Partner
911 E. County Line Road EquityNoting Interest: 50%
Lakewood, NJ 08701
AHDKLLC Limited Partner
509 Carey Street EquityNoting Interest: 4%
Lakewood, NJ 08701
Adarsan (Somerset Holmdel) 2013 Trust Limited Partner
c/o Adarsan Holdings Limited EquityNoting Interest: 45%
1181 Robertson Road
Ottawa, Ontario Canada K2H
e. Name ofDirectors
Name(s) Address
See above.
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18. I certify that all the foregoing statements made by me are true. I am aware that if any
of the foregoing statements made by me are willfully false, I am subject to punishment.
ENTITY:
SOMERSET HOLMDEL DEVELOPMENT I URBAN
RENEWAL, L.P.
By: Somerset Holmdel, LLC
Its: General Parln)l'
BY:_~~~~~L-L£/lc.._---L~:=::::::::==~

Name: Ralph Zucker
Its: Managing Member
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EXHIBIT LIST

A - Certificate ofFormation of Somerset Holmdel Development I Urban Renewal, L.P.
B - Holmdel Township Planning Board Resolution dated August 20, 2013
C - Legal Description of Project Site, Block 11, Lot 38D
D - Copies of approved Site Plan and Subdivision Plat
E - Current Project Schedule
F - Certified Statement of Project Costs
G - Jobs Analysis
H - Fiscal Plan
I - Expected PILOT
J - Proposed Financial Agreement
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EXHIBIT A

[CERT OF FORMATION TO BE PROVIDED]

9
AMENDED AND RESTATED

LIMITED PARTNERSHIP CERTIFICATE OF

SOMERSET HOLMDEL DEVELOPMENT I URBAN RENEWAL, L.P.

THIS AMENDED AND RESTATED LIMITED PARTNERSHIP CERTIFICATE
IS executed by the undersigned party as the General Partner of SOMERSET HOLMDEL
DEVELOPMENT I URBAN RENEWAL, L.P. pursuant to the provisions ofNJ.S.A. 42:2A-l et
seq. known as the Unifonn Limited Partnership Law (the "ULPL") for the purpose of amending
the Limited Partnership Certificate of Somerset Holmdel Development I, L.P. filed with the State
of New Jersey Department of the Treasury pursuant to the ULPL on August 26, 2013
(#0600402740) in order to fonn a limited partnership pursuant to the provisions of the ULPL and
the New Jersey Long Tenn Tax Exemption Law, NJ.S.A. 40A:20-1, et. seq. (the "Act"):
1. The name of the Limited Partnership is SOMERSET HOLMDEL DEVELOPMENT I
URBAN RENEWAL, L.P. (the "Limited Partnership") and the main business address is
as stated herein in Article 13.
2. The purpose for which the Limited Partnership is fonned is to operate under P.L. 1991, c.
431; (C. 40A:20-1, et. seq.) and to initiate and conduct projects for the redevelopment of
a redevelopment area pursuant to a redevelopment plan, or projects necessary, useful, or
convenient for the relocation of residents displaced or to be displaced by the
redevelopment of all or part of one or more redevelopment areas, or low and moderate
income housing projects, and, when authorized by financial agreement with the
municipality, to acquire, plan, develop, construct, alter, maintain or operate housing,
senior citizen housing, business, industrial, commercial, administrative, community,
health, recreational, educational or welfare projects, or any combination of two or more