Category: Development/Redevelopment

Eight Gibbons Real Property and Environmental Attorneys Selected to 2020 New Jersey Super Lawyers and Rising Stars

Attorneys from the Gibbons Real Property and Environmental Departments were featured in New Jersey Super Lawyers and New Jersey Super Lawyers Rising Stars, with five attorneys on the 2020 Super Lawyers list and three on the 2020 Rising Stars list. These attorneys were listed in a wide range of categories, including Environmental, Land Use/Zoning, and Real Estate. The Gibbons attorneys listed in the 2020 issue of New Jersey Super Lawyers are Russell B. Bershad, Howard D. Geneslaw, William S. Hatfield, John H. Klock, and Susanne Peticolas. Jordan M. Asch, Andrew J. Camelotto, and Cameron W. MacLeod were selected to the 2020 New Jersey Super Lawyers Rising Stars section. For the full release, please see here.

Governor Murphy Continues to Develop Climate Change Resiliency Strategy for New Jersey

Building on his vision to develop a Statewide Climate Change Resiliency Strategy launched last year by signing Executive Order 89, on January 27, 2020, Governor Murphy signed Executive Order 100 (EO 100), which the Governor’s office described in a press release as directing the “most sweeping set of climate change reforms in the nation.” The EO labels the reforms as the “Protecting Against Climate Threats” regulations, or “PACT.” EO 100 references the State’s Global Warming Response Act (“GWRA”), N.J.S.A. 26:2C-37, et seq., and the updated Energy Master Plan, which outlines seven “key strategies and includes an implementation plan that lays out next steps and timelines.” The seven key strategies are: 1) reducing energy consumption and emissions from the transportation sector; 2) accelerating deployment of renewable energy and distributed energy resources; 3) maximizing energy efficiency and conservation, and reducing peak demand; 4) reducing energy consumption and emissions from the building sector; 5) decarbonizing and modernizing New Jersey’s energy systems; 6) supporting community energy planning and action in underserved communities; and, 7) expanding the clean energy innovation economy. It is in furtherance of these “key strategies” that EO 100 directs DEP to draft and implement “the sweeping suite of climate change regulations.” Most prominently, these regulations will include the establishment of a greenhouse gas monitoring and reporting...

Join Us at the ICSC New York Deal Making Conference – December 11 & 12

The Gibbons Real Property Department will once again exhibit at the upcoming International Council of Shopping Centers (ICSC) New York Deal Making Conference at the Jacob K. Javits Convention Center on December 11-12. Stop by our booth, #2411, to meet some of the Department’s attorneys who will be in attendance (Click here to view our booth location marked as the red circle). Deal Making hours are Wednesday, December 11, from 8:00 am to 5:00 pm, and Thursday, December 12, from 8:00 am to 3:00 pm. We look forward to seeing you there!

Governor Murphy Signs Executive Order Addressing Climate Change Resiliency for New Jersey

As storms like Superstorm Sandy continue to grow more devastating and frequent, communities, governments, businesses, and industries of all sizes and varieties must face the challenge of adapting to a changing climate. October 29, 2019 marked the seventh anniversary of Sandy hitting New Jersey. Governor Murphy marked this occasion by signing Executive Order 89, which calls on the Department of Environmental Protection (DEP) to establish a Statewide Climate Change Resilience Strategy, among other initiatives related to climate change adaptation. “New Jersey is extremely vulnerable to the impacts of sea-level rise and global warming, and [this] Executive Order outlines a bold and comprehensive set of actions to ensure that our communities and infrastructure are more resilient against future storms,” said Government Murphy about the signing. The preamble to the Executive Order notes that New Jersey is especially vulnerable to the impacts of climate change as a coastal state. Picking up on this administration’s Environmental Justice efforts, the Order acknowledges that minority and low-income communities are disproportionately affected by the impacts of climate change. Climate change of course is an issue that also impacts all communities, including the business community, industry, and government. The preamble also notes that “studies show that each dollar spent to mitigate hazards, including those associated with climate change impacts, results in a...

Gibbons Director David J. Freeman to Serve as Co-Chair for NYS-NYC Bar Program

Gibbons Director David J. Freeman will serve as Program Co-Chair of an upcoming New York State Bar/New York City Bar conference on Federal and New York State brownfield and Superfund programs. The conference will take place from 10:00 a.m. to 3:00 p.m. on December 12, 2019 at the New York City Bar Association, 42 West 44th Street, New York, NY 10036. The program’s distinguished faculty includes New York State Attorney General Letitia James, Environmental Protection Agency (EPA) Region 2 Administrator Pete Lopez, and other officials from the EPA, the New York State of Department of Environmental Conservation (NYSDEC), the New York State Office of Attorney General, and the New York City Office of Environmental Remediation. The topics to be discussed will include: trends in federal Superfund enforcement, including natural resource damages claims and the impact of the Superfund Task Force recommendations; NYSDEC policies and practices in implementing the 2015 Amendments to the Brownfield Cleanup Act; the intersection between Superfund and brownfields, focusing on developments at the Gowanus Canal Superfund Site; and an analysis of case law developments in these areas. Click here for a brochure describing the program and here for a further description and registration information.

Gibbons to Exhibit at Upcoming ICSC PA/NJ/DE Conference & Deal Making

The Gibbons Real Property Department will once again exhibit at the International Council of Shopping Centers (ICSC) PA/NJ/DE Conference & Deal Making at the Pennsylvania Convention Center on September 12. Stop by our booth, #319, and meet with some of the Department’s attorneys who will be attending. Deal Making hours are Thursday, September 12, from 8:30 am to 4:00 pm. The Conference provides an opportunity for real estate professionals (shopping center owners, developers, managers, marketing specialists, investors, lenders, retailers, etc.) to network and focus on getting deals done. We look forward to seeing you there!

New Jersey Expands Redevelopment Law to Include Stranded Shopping Centers and Office Parks

Last week, New Jersey’s redevelopment law was amended to recognize that shopping centers and office parks which have experienced significant vacancies for a period of at least two consecutive years may be deemed an “area in need of redevelopment.” The amendment, designated A-1700 and enacted as P.L.2019, c.229, expands criteria b. of the Local Redevelopment and Housing Law, N.J.S.A. 40A:12A-5, and takes effect immediately. Prior to the amendment, criteria b. authorized an “area in need of redevelopment” designation where the delineated area was characterized by the “discontinuance of the use of buildings previously used for commercial, manufacturing, or industrial purposes; the abandonment of such buildings; or the same being allowed to fall into so great a state of disrepair as to be untenantable.” The amendment contains three significant components: Buildings previously used for retail purposes, shopping malls or plazas, and office parks were added, so that discontinuance of use or abandonment of those stranded assets is now expressly within the statute; Experiencing significant vacancies “for at least two consecutive years” was added as a new threshold criteria, which applies not only to buildings used for retail purposes, shopping malls or plazas, and office parks, but also to buildings used for commercial, manufacturing or industrial purposes which were already encompassed by criteria b. of the redevelopment...

Gibbons Handles All Development Aspects of Major Turnpike Corridor Industrial Project

Real Estate New Jersey recently reported on Prologis, the publicly-traded global leader in logistics real estate, regarding its development of nearly 1 million square feet of industrial space in Burlington Township, New Jersey. Gibbons represented DCT Industrial Trust, which was subsequently acquired by Prologis, in all development aspects of the project, including entitlements and redevelopment agreements, such as tax abatements, as well as litigation challenging the development approvals granted to DCT – which was successfully concluded with the court dismissing the challenge. The regional significance of this project is notable, thanks to its location proximate to a recently widened stretch of the New Jersey Turnpike where it meets the Pennsylvania Turnpike, which has made the area all the more attractive to industrial users. Douglas J. Janacek, Chair of the Gibbons Real Property Department, and Department Directors Russell B. Bershad and Jennifer Phillips Smith were primarily responsible for the legal services provided in connection with this project. Real Estate New Jersey’s story on the project can be found here.

Gibbons Advises Leading Car Rental Companies on $500 Million Project at Newark Airport — Industry’s First P3-Structured Consolidated Rent-A-Car Facility

Gibbons P.C. served as lead counsel to Avis Budget Group, The Hertz Corporation, Enterprise Holdings Inc., and Advantage Inc., operators of national rental car brands Budget, Alamo, Thrifty, Payless, Zipcar, and National, among others, in connection with the industry’s first public-private partnership (P3) financing structure for the development of a $500 million Consolidated Rent-A-Car facility as part of the redevelopment of Terminal A at Newark Liberty International Airport. Gibbons led the corporate and real estate negotiations on behalf of the national car companies in connection with their long-term concessionaire agreement and real estate leases. Such agreements provide the credit support for the $500 million P3 financial arrangements. Click here to view the full press release issued by Conrac Solutions.

Opportunity Zone Update – IRS Releases Second Set of Proposed Regulations

On April 17, 2019, the Internal Revenue Service released the second set of Qualified Opportunity Zone (“QOZ”) proposed regulations (the “New Regulations”). The New Regulations address multiple issues relating to the structuring and operation of qualified opportunity zone funds (“QOFs”) and provide clarity on areas that include: Meeting the original use test for purchased tangible property Safe harbors for leased tangible property to qualify as QOZ business property Related party rules for leased tangible property and tangible personal property Investment vs. active business use of QOZ land Safe harbors to meet the 50% gross income test for the active conduct of a QOZ business Inclusion events for otherwise deferred capital gains Definitions for the term “substantially all” used in several statutory provisions Special elections when QOF partnerships and S corporations dispose of property after 10 years QOF reinvestment of the proceeds from the distribution, sale, or disposition of QOZ property Application of the 90% asset test to newly contributed QOF assets The New Regulations provide answers to many unresolved questions and present needed definitions where uncertainties were impeding investment into QOZs, particularly with respect to QOZ businesses. Our new article discusses many of the details.