Assemblywoman says legislation would help eliminate blight through expanded state authority, while Atlantic City developer Keith Groff raises concerns about costs and government red tape.
ATLANTIC CITY, N.J. — State Assemblywoman Maureen Rowan is pushing legislation that would give New Jersey officials additional authority to acquire, rehabilitate and redevelop abandoned properties in Atlantic City, potentially accelerating efforts to eliminate vacant and deteriorating buildings that have plagued parts of the resort for decades.
During a November 11 appearance on Off The Press with Scott Cronick on News Talk 1400 & 92.3 WOND, Rowan outlined the proposal and discussed how it could help address one of Atlantic City's most persistent redevelopment challenges.
The legislation, Assembly Bill A5710, was introduced October 22 and is sponsored by Rowan, a Democrat representing Atlantic County's 2nd Legislative District, and Assembly Majority Leader Louis Greenwald, D-Camden and Burlington.
A companion measure, Senate Bill S4861, has been introduced by Sen. John Burzichelli, D-Cumberland, Gloucester and Salem.
Rowan said the legislation grew out of concerns expressed by residents, businesses and other stakeholders about abandoned buildings and their impact on Atlantic City's appearance and tourism economy.
"I have heard from all stakeholders, various people that the blight in Atlantic City is still problematic with regards to attracting tourism, visitors, etc.," Rowan told Cronick.
"Big problem with the blight is the abandoned properties. And I know the city is trying to deal with that. But there is a lot of abandoned properties."
How the Proposed Law Would Work
The legislation would establish a pilot program allowing the New Jersey Department of Community Affairs and Casino Reinvestment Development Authority to acquire qualifying abandoned properties.
The program would operate under the state's existing Abandoned Properties Rehabilitation Act and would expire December 1, 2031.
Under the proposal, the CRDA would administer the program within the Atlantic City Tourism District, while the Department of Community Affairs would oversee properties elsewhere in the city.
Rowan said the distinction is intended to take advantage of the state's existing involvement in Atlantic City.
"Because Atlantic City is still under state control, I introduced a bill that would give the power to the Department of Community Affairs to enforce the Abandoned Properties Rehabilitation Act for certain parts of the city and for CRDA to enforce it in the tourism areas of the city," she explained.
"So I view it as another tool for the city to hopefully expedite the problem of the abandoned properties, because I do think it's a problem."
The legislation would require officials to develop and maintain a list of qualifying abandoned properties using tax records, property surveys and existing municipal information.
Properties could be acquired through purchase, donation or procedures already authorized under New Jersey's abandoned-property laws.
Once acquired, properties could be rehabilitated, demolished or returned to productive use.
The bill also establishes timelines for selling properties.
Habitable abandoned properties would generally be subject to an auction within one year of designation, with a shorter deadline for properties already designated as abandoned.
Properties requiring rehabilitation or demolition would be subject to sale after the work is completed or within three years of the state obtaining title, whichever occurs first.
A Land Bank Could Help Return Properties to Productive Use
Another significant provision would require the state, working with the CRDA, to develop a land-bank agreement within six months of the legislation taking effect.
Land banks are mechanisms used to acquire, manage and transfer vacant or abandoned properties for redevelopment.
Under Rowan's proposal, the state would determine whether the land-bank entity should be the Department of Community Affairs, a nonprofit organization or the municipality.
The legislation would also provide for a redevelopment consultant to help streamline permitting and oversee the land bank.
The proposed system is intended to make it easier to move abandoned properties toward rehabilitation or new ownership rather than allowing them to remain vacant indefinitely.
Rowan emphasized that the measure would supplement existing redevelopment efforts.
"So I think, again, it's a tool. It's another tool in the toolbox to, like, expedite the revitalization of the city," she said.
Property Owners Would Still Have Legal Protections
One potentially significant aspect of the proposal is that an abandoned building could qualify for action even if its owner is current on property taxes.
Rowan said the condition and use of a building, rather than simply whether taxes have been paid, are important considerations under the existing Abandoned Properties Rehabilitation Act.
She also distinguished the process from traditional eminent domain.
"Well, no, it's that it doesn't necessarily, it doesn't have to be eminent domain," Rowan said.
She explained that existing law provides mechanisms for addressing qualifying abandoned properties, including receivership.
However, the legislation would not authorize the state to automatically seize any vacant building merely because officials consider it unattractive.
Properties would have to meet applicable legal requirements, and the procedures and protections established under existing law would remain relevant.
Rowan acknowledged that she did not have the complete bill in front of her during the interview and was reluctant to describe every step of the process.
"I think the owner has an opportunity to cure, like to bring it up to standard in the Abandoned Properties Rehabilitation Act," she said.
"But it's an impetus to get these. And if the property owner wants to revitalize the property, then revitalize it."
Developer Keith Groff Raises Concerns About Costs and Red Tape
The discussion took an unexpected turn when Atlantic City developer Keith Groff called into the program to offer his perspective.
Groff, who has been involved in redevelopment projects in the city, said he generally supports mechanisms that allow abandoned properties to be rehabilitated but cautioned against creating a process that becomes too expensive or bureaucratic.
He described how receivership can allow a developer to improve a deteriorating property and recover the cost of repairs through legally authorized liens and fees.
Groff questioned whether the legislation would allow private developers to perform the work efficiently or require state agencies to handle too much of the process themselves.
His concern was that government involvement could increase costs and delay projects.
Groff also raised questions about prevailing-wage requirements, procurement procedures and other regulations that can affect redevelopment expenses.
He said smaller developers may find some government-administered projects financially impractical.
Rowan welcomed the criticism and offered to work directly with him.
"So I can send you the bill and if you have any ideas for amendments, that would be great because you know you're the expert and the developer, etc.," Rowan told Groff.
"So if you'd be willing to look at the bill and say, I like this, I don't like this and offer any amendments, that would be great."
Groff agreed to review the legislation.
Cronick offered to connect the two so they could discuss potential changes.
The exchange highlighted an important question surrounding the proposal: whether expanded state authority would accelerate redevelopment or create additional administrative hurdles.
Atlantic City Already Working to Strengthen Abandoned-Property Enforcement
Rowan's legislation comes as Atlantic City has begun a separate effort to strengthen its use of existing abandoned-property laws.
In September, the city announced it had been selected as one of two New Jersey municipalities to receive a $30,000 Abandoned Property Rehabilitation Act scholarship from the Center for Community Progress.
The award provides up to 125 hours of technical assistance from national experts, along with a two-day site visit, recommendations for improving local strategies and guidance on potential funding opportunities.
City officials said the assistance would focus on developing an abandoned-property list and using receivership to rehabilitate buildings when owners fail to make necessary repairs.
The city also announced that it was revising its vacant and abandoned property ordinance.
Dale Finch, Atlantic City's director of Licensing and Inspections, said at the time that the assistance would strengthen the city's approach to addressing deteriorating properties.
The local initiative and Rowan's proposed state legislation address similar problems, although they involve different levels of government and potentially different enforcement responsibilities.
Long-Vacant Buildings Remain a Visible Problem
During the interview, Cronick pointed to the former Knights of Columbus building near Atlantic City's Orange Loop entertainment district as an example of the types of properties that continue to frustrate redevelopment efforts.
The discussion illustrated how a single deteriorating building can affect the appearance of an otherwise developing neighborhood.
The Orange Loop has attracted restaurants, entertainment venues and private investment, but vacant and underused properties remain part of the surrounding landscape.
Rowan said the persistence of abandoned buildings reinforces the need for additional tools.
She also expressed optimism about the legislation's prospects because Greenwald, the Assembly majority leader, has joined as a primary sponsor.
"The majority leader signed on as the primary sponsor of it," Rowan said.
"So that's a good sign."
The bill was referred to the Assembly Housing Committee following its introduction.
It has not yet been enacted, and the new powers would not take effect unless the legislation completes the approval process.
Part of a Larger Atlantic City Redevelopment Discussion
The abandoned-properties proposal comes amid renewed discussion about a comprehensive redevelopment strategy for Atlantic City.
Businessman George Norcross recently discussed a potential broader plan involving redevelopment opportunities around the former Trump Plaza property, Boardwalk Hall and the Atlantic City Convention Center.
Rowan separately told Cronick that she supports the concept of a comprehensive master plan but believes the area's elected state legislators should be involved in its development.
Her abandoned-properties bill could become one component of a broader effort to improve the city's appearance, attract investment and return underused real estate to productive use.
The legislation would also require periodic reports to the governor and Legislature documenting how many properties are designated abandoned, what rehabilitation or redevelopment work is completed and how many properties are sold.
Those reporting requirements could provide a way to measure whether the pilot program is producing results.
For Rowan, the objective is to move beyond identifying the problem and provide government with additional means to address it.
"With the state's help, hopefully more resources we can get this problem dealt with," she said.
Whether the proposal ultimately succeeds will depend on legislative approval, how the program is administered and whether state agencies can work effectively with local officials and private developers.
But Rowan believes Atlantic City has waited long enough for progress on some of its most visible abandoned properties.
Assemblywoman Maureen Rowan discussed her legislation during the November 11 edition of Off The Press with Scott Cronick, airing weekdays from 4–6 p.m. on News Talk 1400 & 92.3 WOND.
About the Author
Peter Killeen
A 25-year radio news veteran, Peter covers South Jersey for NewsTalk 1400 & 92.3 WOND radio. Known for his concise and impactful delivery, he ensures listeners and readers stay informed without unnecessary filler.
