After reviewing preliminary figures in the 2025 budget, the Hopewell Township Committee expressed confidence that a township tax increase will not be necessary this year.
“The tax rate in the proposed budget will go down,” Committee Member Kevin Kuchinski said.
The budget is scheduled to be introduced at the April 14 Committee meeting, with a final vote expected in mid-May.
Housing Deal Reduces Township Obligation by 27%
The positive fiscal outlook comes as the Township finalizes a major agreement on affordable housing that may prevent the need for further large-scale development.
The Committee approved a settlement agreement at a special meeting on March 24, with the Fair Share Housing Center and the New Jersey Builders Association that sets the township’s 2025–2035 affordable housing obligation at 399 units. The number reflects a 27% reduction—144 fewer units—than the initial draft obligation of 543 units issued last year by the New Jersey Department of Community Affairs (DCA) and is among the largest reductions achieved by any municipality statewide in the Fourth Round.
Officials say the agreement will allow the township to meet its Fourth Round affordable housing obligation without the construction of additional market-rate housing. The Committee is pursuing a multi-pronged strategy, including the renewal of existing affordability controls in communities like Brandon Farms, credits from the proposed Project Freedom group homes, and an expansion of group home capacity through partnerships with organizations like ARC Mercer. Township officials said they are also exploring the development of 100% affordable housing communities.
From Dispute to Settlement
The process began in October when the DCA issued non-binding draft obligations, setting Hopewell’s total at 543 units. Municipalities were given until Jan. 31 to review and certify their own figure. Hopewell Township conducted a detailed parcel-by-parcel land analysis and determined that only 287.5 acres were truly available for development—far less than the 781.2 acres originally estimated by the DCA, which included land already committed under the Township’s prior housing plan.
The Committee certified its revised obligation at 348 units in January. That number was then challenged by the Fair Share Housing Center and the New Jersey Builders Association, triggering a legislatively mandated mediation process. The settlement sets the final obligation at 399 units.
“We strongly believe in the importance of affordable housing in New Jersey, but that commitment also requires that the numbers and assumptions behind our obligations are accurate and reflect Hopewell Township’s unique realities. This settlement accomplishes exactly that,” Mayor Courtney Peters-Manning said in a news release.
Officials said that had the original 543-unit figure remained, it could have triggered the construction of more than 1,000 market-rate units—or as many as 6,000 new homes—under a potential builder’s remedy lawsuit. Such lawsuits can override local zoning and allow dense development, with as many as nine or ten market-rate units permitted for each affordable one.
“It’s critical that we protect Hopewell Valley and its rural character from a builder’s remedy lawsuit and the associated potential for unchecked development,” Kuchinski said in the release. “Our community is committed to meeting its constitutional obligation on affordable housing, but we will not compromise our core planning principles.”
Committee Member Michael Ruger called the state’s process for determining municipal obligations one with “absurd timelines” and “no correlation with reality.” Despite those challenges, he said the agreement provides an opportunity to meet the Township’s obligation without further development.
“That is a big deal,” Ruger said. “It also gives us legal certainty without the risk of litigation and retains control over our own future. That, too, is a big deal.”
Third Round Housing Projects Still in Progress
While the new agreement may ease future pressures on development, several housing projects from the Township’s prior Third Round obligation (2015–2025) remain in various stages of planning and construction. All will include a mix of market-rate and affordable units.
Two of the projects are near the Pennington Circle. The Collection by Lennar, located behind ShopRite, will include 378 homes and condos in a mixed-use development. Lennar currently has homes for sale, and the project will also include a new community and senior center. A concept plan for the mixed-use portion has been submitted to the Planning Board.
A smaller development is planned for the Enuardo tract on Route 31, just south of the Circle. Officials estimate about 30 homes will be built.
To the west, Lennar at Hopewell Park, with access from Scotch Road, currently has for-sale units. Once complete, it will include 1,141 homes.
Farther south in the township, The Venue at Deer Park—a 600-unit, age-restricted development—is proposed for the west side of Scotch Road near Nursery Road and is currently before the Planning Board and you can read more about that development here. A separate senior-oriented, continuing care development is also planned for the east side of Scotch Road near the Capital Health campus.
Township officials said all the projects are expected to take several years to complete.
