Real Estate

Eminence Waterfront: Hoboken Council Gives Go-Ahead For Dry Dock

The Hoboken City Council gave Mayor Ravi Bhalla a green light to use eminent domain to buy the Union Dry Dock.

The Hoboken City Council approved the use of eminent domain to purchase the Union Dry Dock on Sept. 4, 2019.
The Hoboken City Council approved the use of eminent domain to purchase the Union Dry Dock on Sept. 4, 2019. (Photo: YouTube/NY Waterway)

HOBOKEN, NJ — It’s officially eminent domain – take two – for the Union Dry Dock in Hoboken.

On Wednesday, the Hoboken City Council unanimously voted to authorize Mayor Ravi Bhalla the use of eminent domain to acquire Union Dry Dock on Sinatra Drive for the purpose of a public park.

The site is owned by NY Waterway, a private ferry company that wants to turn it into a repair and maintenance facility. The company claims that it would enhance transportation, public security and property values on the Hudson River waterfront. But a large group of local community members have dug in their heels against the proposed location of the new facility, demanding that the area be used for open space instead.

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Eminent domain allows the city to force the sale of the property at a fair market price for the "public good."

The city council approved eminent domain on first reading last month.

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Bhalla and his administration will now begin negotiations with NY Waterway in an effort to agree on a price for Union Dry Dock. If the administration and NY Waterway are unable to come to terms, the city can purchase the property through the use of eminent domain for the price of $13.1 million, if New Jersey Transit doesn’t acquire the property first.

NY Waterway president and founder Arthur Imperatore offered the following statement after the council’s vote:

“On behalf of the 32,000 New Jersey commuters we carry every day, and the thousands of additional commuters we carry in emergencies, NY Waterway will continue to fight for the Union Dry Dock. This site is critical to our ability to provide the safe, reliable, environmentally-friendly service on which New Jersey commuters have come to depend – and to our ability to respond in emergencies.”

Prior to Wednesday’s meeting, Councilwoman Tiffanie Fisher said she planned to vote yes on eminent domain for the Dry Dock.

“For those who are not supportive of this action, please know that I do not take the concept of eminent domain lightly and would only consider it in situations that are for the public good,” Fisher wrote in an email.

“I take some comfort in the fact that any condemnation requires that the acquiror pay a fair market price for the property,” Fisher added.

The councilwoman continued:

“In this scenario not only do I believe in preserving Hoboken's waterfront for the public use, but I also believe that there is no scenario where NY Waterway would cease its operations given the importance of ferry operations to the area and to NJ Transit and identified alternative locations where NY Waterway could run its operations. Rather I think a bigger risk is that we will end up where we were in early 2018 when NJ Transit threatened to take the property from us if we used eminent domain and we potentially lose our ability to ensure the best possible access and enjoyment for our community.”

After the council’s vote, Bhalla praised the decision, saying it takes the city one step closer to bringing a waterfront park to the Dry Dock.

“We cannot, and will not give up this opportunity to create a contiguous waterfront our children can enjoy for generations to come,” Bhalla said. “I want to extend a special thank you to the many residents and community groups who have made their voices heard throughout the process, as well as the City Council for their unanimous support. I look forward to beginning good faith negotiations with NY Waterway to acquire Union Dry Dock in a process that is fair to both parties.”

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