72,000 Square Foot Energy Efficient Facility Will Consolidate Approximately 55,000 Square Feet of Operations Currently Located in Seven Different Facilities
Township Is Also Entering a Redevelopment Agreement to Sell or Lease Two Commercial Pad Sites Along Route 35 That Will Generate Millions in Revenue
Middletown, NJ—The Township of Middletown has reached an agreement to construct a new Town Hall for a guaranteed maximum contract price through a capital sale leaseback under which the Township will incur no new debt and instead make annual lease payments for thirty years. The entire cost of the project will be privately financed by the Township’s designated redeveloper.
“A lot has changed in Middletown in the last 60 years except for our town hall, which has undergone piecemeal renovations over decades creating a number of significant problems that can no longer be ignored,” said Mayor Kevin Settembrino. “The public-private partnership we’re announcing today will enable us to expeditiously construct a new state-of-the art facility with a minimal impact on taxpayers that will be further offset through revenue generated by the sale or lease of two pad sites along Route 35.”
“The Township can no longer put a band aid on this problem; we have been subjected to litigation over ADA compliance, tort claims over working conditions, and our municipal court operations are in jeopardy over security concerns,” said Township Administrator Tony Mercantante. “A minimum of $15 to $20 million in renovations would be required to maintain or expand the Township’s existing town hall complex to make it minimally compliant with current building codes, police and court regulations.”
“We must plan for the future, including Middletown taking on a greater regional role through shared services and consolidation of smaller surrounding municipalities, or serving as a satellite facility for County services,” concluded Deputy Mayor Tony Fiore.
Click HERE to view the Project Cost Breakdown, a timeline of the Town Hall Redevelopment Process, a comparison of processes for constructing a new Town Hall complex, and a snapshot of Middletown from 1960 to present.