Recently, State Senator Michael Doherty, made a valid point that Jersey City’s lawsuit against the Port Authority is “hypocrisy.” I agree with him based on the generous abatement agreement with KRE for Journal Square. This abatement gave the developer 35 years, $10 million public bonding, plus state money. The average tax for each unit will be $1,300 per unit while older developments in Journal Square (St. John’s and Brunswick Towers) pay as much as $10,000 per unit, basically robbing the older developments of equity.
Even former Mayor Healy was not that generous, the last abatement for Journal Square was the former Welfare Building which received 12 years.
Nearly one third of Jersey City’s properties are now tax abated, which means our government is creating a scenario of winners and losers. If you have an abatement your property is worth more.
Mayor Fulop said, “The Port Authority has an epic sweetheart deal in Jersey City that cost our taxpayers every day.” Fulop’s statement can be applied to all the abatements given, especially the KRE development at Journal Square.