2018 – and the first half of 2019 – have been anything but dull, from the global level all the way down to co-op, condo and community association communities. While it’s somewhat beyond The New Jersey Cooperator’s scope to opine on geopolitical currents or the latest round of congressional testimonies, we reached out to an array of real estate and legal professionals across several different markets to discuss how the events of 2018 spilled into 2019, as well as what they think the second half of 2019 may bring to the multifamily housing industry.
Ronald L. Perl, Partner at the Princeton, New Jersey office of law firm Hill Wallack
“The New Jersey Department of Community Affairs (DCA) is working on administrative regulations that will have a long-term and far-reaching effect on community associations in the state. The department plans to revamp regulations governing the relationship between developers and associations by (among other things) defining more clearly the developer’s financial obligations during the development period. The current regulation obligating developers to contribute to the expenses of an association in proportion to the ‘benefits derived’ from those expenses is expected to be replaced by a more objective and enforceable formula, as well as a mandate that the developer funding be ongoing during the project.
“In addition, the DCA is working on regulations to implement the Radburn Act, which contains requirements relating to the election of association governing boards and bylaw amendments.
“2019 should be a busy year as both developers and associations come to grips with the new regulations.”