OLD ORCHARD VILLAGE HOMEOWNERS ASSOCIATION, INC. VS. MUNICIPALITY OF PRINCETON (L-0994-19, MERCER COUNTY AND STATEWIDE)

New Jersey Superior Court Appellate Division·Decided November 3, 2021·No. A-4005-19·Unpublished

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION

DOCKET NO. A-4005-19

OLD ORCHARD VILLAGE HOMEOWNERS ASSOCIATION, INC.,

Plaintiff-Appellant,

v. MUNICIPALITY OF PRINCETON,

Defendant-Respondent.

Argued September 22, 2021 – Decided November 3, 2021 Before Judges Fuentes, Gooden Brown, and Gummer.

On appeal from the Superior Court of New Jersey, Law Division, Mercer County, Docket No. L-0994-19.

Robert F. Simon argued the cause for appellant (Herold Law, PA, attorneys; Robert F. Simon, of counsel;

George W. Crimmins, on the briefs).

Anthony R. Todaro argued the cause for respondent (Mason, Griffin & Pierson, PC, attorneys; Kevin A.

Van Hise, of counsel; Anthony R. Todaro, on the brief).

PER CURIAM

Plaintiff Old Orchard Village Homeowners Association appeals from an order dismissing with prejudice its action in lieu of prerogative-writs challenge to defendant Municipality of Princeton's adoption of a rezoning ordinance allowing the development of sixty-five affordable-housing units. Because we agree Princeton did not act arbitrarily, capriciously, or unreasonably in adopting the ordinance, we affirm.

I.

In 1975, our Supreme Court held that developing municipalities are under a constitutional obligation to provide a realistic opportunity for the creation of affordable housing. S. Burlington Cnty. N.A.A.C.P. v. Mount Laurel Twp. (Mount Laurel I), 67 N.J. 151, 174 (1975). The Court clarified and reaffirmed that constitutional requirement in South Burlington County N.A.A.C.P. v. Mount Laurel Township (Mount Laurel II), 92 N.J. 158 (1983). While noting the "widespread non-compliance with the constitutional mandate" of Mount Laurel I, the Court in Mount Laurel II acknowledged the "municipalities around the State that have responded to our decisions by amending their zoning ordinances to provide realistic opportunities for the construction of low and moderate income housing." Id. at 198, 200-01.

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A.

In 2013, Princeton Borough and Princeton Township consolidated into the Municipality of Princeton. Before the consolidation, the "1996 Princeton Community Master Plan" applied to both the Borough and the Township. After the consolidation, the Princeton Planning Board readopted the 1996 Princeton Community Master Plan as Princeton's Master Plan.

Throughout its Master Plan, Princeton recognizes its commitment to the development of affordable housing. The Master Plan describes Princeton's "community character & quality of life" as including "[m]aintain[ing] a mix and balance of uses that crosscut socio-economic lines" with a "variety of housing . . . continually expanding to include different unit types, and sizes, so that they are affordable to many ages and income levels." The Master Plan incorporates the "promot[ion of] a variety of housing . . . to meet the diverse needs of its citizens of different ages, ethnicity and income" in the Planning Board's "mission statement." According to the Master Plan, Princeton "strives to be a balanced community" and has a goal "meeting the community's affordable housing obligation."

The Master Plan's Land Use Element section also enumerates Princeton's goals, including: "[m]aintain[ing] a balanced community that offers a mix of

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land . . ."; "[g]uid[ing] future development with due regard to its impact upon future taxes, as well as other costs that might adversely affect residents and diminish the opportunity for low and moderate income persons to continue to reside within the community"; and "[c]ontinu[ing] to provide the community's fair share of affordable housing." As for "residential uses," the Land Use Element section expressly states Princeton's land use plan "endeavors to maintain and enhance the diversity of residential options available in Princeto n."

The Housing Element1 of the Master Plan lists as a goal "[p]rovid[ing]

Princeton's regional fair share of affordable housing for low, moderate and middle income households." The Housing Element describes what actions Princeton has taken in past years to provide affordable housing and what future actions it intends to take, including rezoning particular areas. The 2008 Third Round Fair Share Plan states "[t]he Township will continue to seek other opportunities to increase affordable housing obligations."

B.

Like the municipalities recognized by the Court in Mount Laurel II, 92 N.J. at 200-01, as being compliant with Mount Laurel I, Princeton has amended

1 The Housing Element was amended in 2020. Unless otherwise indicated, when discussing the Master Plan, we reference the version in existence when Princeton adopted the ordinance at issue.

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its zoning ordinances to enable the construction of affordable-housing units. According to the 2008 Housing Element of the Master Plan, Princeton Borough had rezoned three properties to permit the construction of eighty-six affordable- housing units, and Princeton Township had zoned two sites for affordable housing and planned to rezone two areas to permit affordable housing.

On March 11, 2019, the Princeton Council introduced Ordinance 2019-

10, which had the express purpose of amending the Princeton Code and Zoning Map to create a new affordable-housing zone: the "AH-3 Affordable Housing 3 Residential District." The new zone would "create a realistic opportunity for the construction of low-and moderate-income housing in the Municipality of Princeton and thereby address the municipality’s fair share housing obligation pursuant to the New Jersey Fair Housing Act," N.J.S.A. 52:27D-301 to -329. In the new zone, "[m]ultifamily residential developments" could contain "a maximum of [sixty-five] affordable family dwelling units . . . in a one hundred percent affordable housing development."

The ordinance had the effect of rezoning the property identified on Princeton's tax maps as Block 901, Lot 21 (the property) from the S-2 Service District No. 2, which had permitted uses ranging from freight yards to motels, to the AH-3 Affordable Housing-3 District. The property is a three-acre vacant

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lot, previously used as an animal shelter. In 2017, the Planning Board approved a site plan for a two-story, 25,000 square-foot office building on the property. According to the property owner, market conditions created "very little demand" for an office building in that area. A developer subsequently approached the property owner and suggested demand would be greater for housing, especially affordable housing. The property has a street address of 900 Herrontown Road and is bounded by Herrontown Road, Mt. Lucas Road, and Old Orchard Lane. Plaintiff is a homeowner's association that owns seven acres located on Old Orchard Lane, adjacent to the property.

Pursuant to N.J.S.A. 40:55D-26(a) and -64, the Council referred the proposed ordinance to the Planning Board for its review. On March 21, 2019, the Planning Board held a public meeting regarding the proposed ordinance. Princeton's Planning Director Michael La Place opined that creating a new affordable-housing zone was consistent with the goals of the 2017 Reexamination Report regarding the Master Plan and stated the Master Plan and the 2017 Reexamination Report contained language about developing more affordable housing. Carl Peters, who identified himself as a planner appearing on behalf of someone who lived on Old Orchard Lane, questioned how the proposed ordinance "fit" within the Master Plan, focusing on the density

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permitted by the proposed ordinance. He suggested reducing the maximum number of units per acre allowed in the ordinance.

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OLD ORCHARD VILLAGE HOMEOWNERS ASSOCIATION, INC. VS. MUNICIPALITY OF PRINCETON (L-0994-19, MERCER COUNTY AND STATEWIDE), (N.J. Ct. App. 2021).

OLD ORCHARD VILLAGE HOMEOWNERS ASSOCIATION, INC. VS. MUNICIPALITY OF PRINCETON (L-0994-19, MERCER COUNTY AND STATEWIDE) (OLD ORCHARD VILLAGE HOMEOWNERS ASSOCIATION, INC. VS. MUNICIPALITY OF PRINCETON (L-0994-19, MERCER COUNTY AND STATEWIDE)) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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