In 2016, New Jersey City University began construction of University Place, on its West Campus. It is a 22 acre redevelopment consisting of 8 new buildings with a cost of $400 million. When completed, there will be a residence hall for students, a performing arts center, supermarket, four luxury housing buildings with over 1,000 units along with street level retail space. The redevelopment also includes restaurants, cafes green space and a pedestrian plaza. It is part of a master plan to not only transform NJCU, but the West Side neighborhoods around it.
University Place is the result of a public-private partnership between NJCU, developers and Jersey City. According to NJCU’s president, Sue Henderson, the idea for University Place came about in a search to raise funds for the University without raising tuition. NJCU, like other higher education institutions, is faced with the challenge of maintaining and expanding its facilities and services with fewer resources in a very competitive environment. Federal and state funding for higher education has increased, but not kept up with inflation, leaving many colleges searching for other ways to raise funds. New Jersey’s 2009 Economic Stimulus Act allows public colleges and universities to form partnerships with private entities to finance the maintenance and expansion of their institutions.
NJCU is leasing its land for an annual fee to developers for fifty years. Developers have the financial responsibility for the construction and maintenance of new development. NJCU and the developers will pay taxes to the city on the land and new construction. They will also receive 30 year tax abatements from the city. In addition, the city is providing $16 million in bonds for infrastructure around University Place to improve roads, sidewalks, lighting, landscaping, sewers and a public plaza. This project has also been subsidized by the state’s Economic Development Authority. According to the president of NJCU, University Place will create over 1,000 permanent jobs as well as $141 million in economic growth from new residents and businesses and will provide $108 million in taxes for the city over 30 years.
The West Campus Village Residence Hall was the first building constructed under the redevelopment plan called University Place. It will provide students with the experience of apartment living.
The first luxury housing built as part of University places was the Rivet, a complex of two luxury apartment houses. The housing units are mainly studio and one bedroom apartments. Studios apartments start at $1960. They have most of the amenities associated with this kind of upscale housing.
Cityline Apartments is another luxury apartment house that is part of University Place. One bedroom units start at $2,000.
The performing arts center is yet to be built but will be home to the Joffrey Ballet School and will have a 500 seat theater. Its ballet students will have the opportunity to obtain a bachelor of arts degree from the University. The arts center is projected to be an 11 story mixed-use building with 343 apartments of which 24 will be affordable units.
University Place is also a controversial project. In September of last year, NJCU’s faculty senate passed a vote of “no confidence” in the president on the grounds of: financial mismanagement, failing to consult with faculty and real estate development that harms the interests of students. In an editorial, the Jersey Journal has suggested appointing an independent auditor and blue ribbon panel to answer these questions.
NJCU students have raised questions about University Place. In 2020, the editor-in-chief of The Gothic Times, NJCU’s student newspaper, expressed skepticism about the new development when the University’s “enrollment is down, tuition is increasing and the university has a deficit.” She also quoted other students with similar views: One said: “We don’t support the school for putting so much effort on this expensive project and our tuition increasing.” In another issue of the paper last year another student asked: “Why are such expensive apartments being made and what can be done to make them more accessible to students like myself, to students that don’t have the money or can barely afford tuition?”
Students at University Academy Charter High School also expressed concerns about University Place. A reporter, in an article for the student newspaper, The Student Voice, raised the question: “But in the end, is this hurting or helping our community? One student quoted in the article said: The rent will be more because the buildings are new. The prices will be more than what the middle class and lower class can afford.” Another student said: “If all these modifications continue, they will wipe out small businesses like Sams and even our school if they wanted to.”
A common concern among the university and high school students is the impact of University Place and other development on the West Side. Their concern is well-placed since the major players behind University Place, say it will have a “transformative” effect. According to President Henderson, it is “bringing tangible, tranformative real estate development to our communities.” According to the head of one of the investment groups in University Place: “The opportunity this development offers our investors is a chance to be a part of something that will completely transform a neighborhood.” The mayor also described University Place as “transformational.” But transformation into what and for whom? These are the questions these students are asking.
Follow This Blog
Get new content delivered directly to your inbox.
- Gentrification Math & the False Promise of Affordable Housing
- Why is the City Selling Public Property to Luxury Housing Developers?
- Why So Much Luxury Housing in a City Where Most Can’t Afford It?
- Why Do So Many New Apartment Houses Look Alike?
- Signs of Gentrification: House Numbers, Their Color and Design
Jersey City Today 