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2025 Housing Element & Fair Share Plan
BID #: EHT-017A
DUE: 3/2/2026
VALUE: TBD
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Executive Summary
The Township of East Hanover has prepared an amended Housing Element and Fair Share Plan (HEFSP) for the period between 2025 and 2035, aiming to voluntarily comply with its constitutional obligation to provide a realistic opportunity for affordable housing. This HEFSP utilizes Prior Round Rules, Third Round Rules (as applicable), and amendments implemented in P.L. 2024, c.2. The Township's affordable housing obligation is divided into four parts: Rehabilitation Obligation, Prior First and Second Round Obligations, Third Round Obligation, and Fourth Round Obligation.
The plan addresses the Township's capacity to accommodate its housing needs, considering appropriate lands for construction, potential conversion or rehabilitation of existing structures, utility capacity, and developers who have expressed a commitment to providing affordable housing. The document includes analysis of existing credits, mechanisms, and an implementation schedule. The Land Use Planning Board adopted the 2025 Housing Element & Fair Share Plan on February 24, 2026, and the Township Council endorsed the HEFSP on March 2, 2026.
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Document Text
--- Document: 2025 Housing Element & Fair Share Plan Document ---
Amended 2025 Housing Element & Fair
Share Plan
Township of East Hanover
Morris County, New Jersey
Adopted by the Land Use Planning Board: February 24, 2026
Endorsed by the Township Council: March 2, 2026
The original of this report was signed and sealed in accordance with NJSA 45:14A-12.
EHT-017A
Page ii
Table of Contents
I.
Introduction ................................................................................................................................................ 1
II.
Content of Housing Element .................................................................................................................... 7
III.
East Hanover’s Population Demographics ........................................................................................... 10
IV.
East Hanover’s Housing Demographics ................................................................................................ 15
V.
East Hanover’s Employment Demographics ........................................................................................ 21
VI.
Projection of Housing Stock ................................................................................................................... 25
VII. Capacity for Fair Share ............................................................................................................................ 28
VIII. Multigenerational Family Continuity Evaluation.................................................................................. 35
IX.
State Development & Redevelopment Plan Consistency ................................................................... 36
X.
Fair Share Plan ......................................................................................................................................... 37
XI.
East Hanover’s Affordable Housing Obligation ................................................................................... 40
XII. Mechanisms & Credits ............................................................................................................................ 44
XIII. Implementation Schedule ...................................................................................................................... 75
XIV. Implementing Documents ...................................................................................................................... 77
XV. Appendix ................................................................................................................................................... 78
Page 1
I.
Introduction
According to the New Jersey Fair Housing Act, a Housing Plan Element shall be designed to meet the
municipality’s fair share of its region’s present and prospective housing needs, with particular
attention to low- and moderate-income housing.
Affordable housing in New Jersey has a long, convoluted history dating back to 1975, when the New
Jersey Supreme Court ruled that municipalities could not use their power to zone to exclude the
region’s low- and moderate-income households. This landmark decision is commonly referred to as
Mount Laurel I, as the defendant was the Township of Mount Laurel. In 1983, the New Jersey
Supreme Court decided what is commonly referred to as Mount Laurel II, wherein the Supreme
Court created a quota system for growing municipalities and invented the “Builder’s Remedy” as an
enforcement mechanism. In response to the court decisions, the Fair Housing Act (“FHA”) was
adopted in 1985, which provided an administrative process for municipal compliance. The FHA also
created the Council on Affordable Housing (“COAH”), which was responsible for promulgating
municipal obligations, adopting regulations, and administering the compliance process. The first
round of affordable housing spanned from 1987 to 1993. This was followed by the second round
from 1993 to 1999.
The third round of affordable housing commenced in 1999, but COAH failed to establish new
affordable housing obligations. Several lawsuits were filed between 2008 and 2015 regarding the
obligation. Ultimately, on March 10, 2015, the Supreme Court ruled that COAH failed to act and as a
result, the Courts assumed jurisdiction over the Fair Housing Act. The decision and accompanying
Order divided municipalities into one of three categories – those that achieved Third Round
Substantive Certification, those that filed or petitioned COAH and those that had never participated
in the COAH process.
The transitional process created by the Supreme Court tracked the Fair Housing Act procedures for
compliance. In this regard, the process permitted municipalities to file a Declaratory Judgment
Action during a 30-day window between June 8 and July 8, 2015, that sought an adjudication as to
their fair share. This would enable the municipality to comply voluntarily with its constitutional
obligation to provide a realistic opportunity for the construction of its fair share of the regions’ low-
and moderate-income households.
On January 18, 2017, the Supreme Court ruled that municipalities are responsible for obligations
accruing during the so-called “gap period,” the period between 1999 and 2015. However, the Court
stated that the gap obligation should be calculated as a never-before-calculated component of
Present Need (also referred to as Rehabilitation Obligation), which would serve to capture Gap
Period households that were presently in need of affordable housing as of the date of the Present
Need calculation (i.e. that were still income eligible, were not captured as part of traditional present
need, were still living in New Jersey and otherwise represented a Present affordable housing need).
Between 2015 and 2024, towns that elected to voluntarily comply with their constitutional obligation
participated in mediation sessions, reached settlement agreements, adopted Housing Element and
Fair Share Reports, and most towns concluded the process with a judgment of repose and
compliance. As a result of COAH’s inability to function, the third round period spanned from 1999 to
2025.
Page 2
Then, on March 20, 2024, Governor Murphy signed legislation that dramatically modified the State’s
affordable housing regulations. The 75-page bill, known as A4, abolished COAH, modified the
process of affordable housing compliance, amended bonus credits, and, among other changes, set
forth several important deadlines. P.L. 2024, c.2 (“Amended FHA”) charged the Department of
Community Affairs (“DCA”) with the preparation of fourth round obligations and set forth aggressive
timelines for compliance. In October of 2024, DCA published a report on its calculations of regional
need and municipal present (Rehabilitation Obligation) and prospective (Fourth Round Obligation)
fair share obligations. The Report is entitled “Affordable Housing Obligation of 2025-2035 (Fourth
Round) Methodology and Background”. The DCA calculated East Hanover’s present need obligation
as 0 and its prospective need obligation as 315. Municipalities were required to adopt a binding
resolution outlining their present and prospective fair share obligations by January 31, 2025. On
January 28, 2025, the Township Council adopted Resolution No. 58-2025 accepting the DCA’s
calculation of the Township’s present need and correcting the developable land data regarding East
Hanover’s prospective obligation. The modifications resulted in an adjusted Fourth Round
Obligation, which was subject to any vacant land and/or durational adjustment. The Township of
East Hanover also filed a Complaint for a Declaratory Relief on January 29, 2025, as part of the
compliance certification process outlined in the Director of the Administrative Office of the Courts
Directive #14-24.
During the 30-day challenge window, the New Jersey Builder’s Association (“NJBA”) challenged the
Township’s Fourth Round Obligation. Mediation was conducted on March 27, 2025, but a settlement
could not be reached and the Township proceeded to a session. The Court later issued a decision
regarding the obligation on May 13, 2025 that determined the Township’s obligation to be 271.
This is the Township of East Hanover’s Housing Element and Fair Share Plan (“HEFSP”) for the period
between 2025 and 2035, known as the Fourth Round. East Hanover seeks to voluntarily comply with
its constitutional obligation to provide a realistic opportunity for affordable housing. This HEFSP is
prepared utilizing the Prior Round Rules1, Third Round Rules2 (as applicable), and the amendments
implemented in P.L. 2024, c.2. Each municipality in the State has a four-part obligation:
1. Rehabilitation Obligation
2. Prior First and Second Round Obligations (1987-1999)
3. Third Round Obligation (1999 – 2025)
4. Fourth Round Obligation (2025-2035)
Affordable Housing History
A summary of East Hanover’s affordable housing timeline is included below:
1985 | A “builders remedy” lawsuit was filed against East Hanover for exclusionary zoning
practices.
July 17, 1986 | The “builders remedy” lawsuit against East Hanover was transferred by Judge
Skillman to COAH.
1 NJAC 5:91 (Procedural) and NJAC 5:93 (Substantive) Rules, which can be found at:
New Jersey Department of Community Affairs | Second Round Regulations
2NJAC 5:96 (Procedural) and NJAC 5:97 (Substantive) Rules, which can be found at:
https://nj.gov/dca/dlps/hss/thirdroundregs.shtml
Page 3
September 6, 1988 | East Hanover received First Round Substantive Certification.
November 30, 1988 | COAH declared the Township’s plan null and void after it failed to
adopt the implementing ordinances. As a result, the matter was transferred back to
Superior Court.
December 7, 1990 | Judge Skillman issued a Judgement of Compliance and Repose.
May 7, 1998 | East Hanover petitioned for Second Round Substantive Certification.
December 6, 2000 | COAH granted East Hanover Second Round Substantive Certification via
Resolution #174-99 for a new construction obligation of 262. (See Appendix A.)
December 31, 2008 | East Hanover petitioned COAH for Third Round Substantive
Certification.
September 1, 2009 | COAH deemed East Hanover’s petition for Third Round Substantive
Certification complete.
October 30, 2009 | Public comment ended on the Township’s petition. COAH did not deny
or approve the petition.
April 2014 | The Township Governing Body extended the affordability controls on 73 of the
74 for-sale affordable units in the Hanover Park (previously referred to as Hanover Estates)
development pursuant to Resolution #71-2014.
July 7, 2015 | East Hanover filed a Declaratory Judgment Action seeking to comply with its
constitutional mandate to provide affordable housing in accordance with the March 10, 2015
New Jersey Supreme Court Order.
March 7, 2016 | East Hanover adopts Resolution 60-2016 extending the controls on all 74
affordable units at Hanover Park.
June 3, 2019 | Governing Body executes Settlement Agreement with Fair Share Housing
Center (“FSHC”) (see Appendix B.)
January 19, 2021 | Final Order of Judgment of Compliance and Repose issued by Judge Gaus
(see Appendix C).
January 28, 2025 | Township Council Resolution No. 58-2025 Committing to Fourth Round
Obligation (see Appendix D).
January 29, 2025 | Township of East Hanover filed Complaint for Declaratory Relief (see
Appendix E) regarding Fourth Round Obligation.
May 13, 2025 | Decision and Order Fixing Municipal Obligations issued by Judge Allen (see
Appendix F).
June 24, 2025 | Land Use Planning Board adopted 2025 Housing Element & Fair Share Plan
(“2025 HEFSP”).
July 7, 2025 | Township Council endorsed 2025 HEFSP.
Page 4
August 25, 2025 | Mondelez Global, LLC filed a challenge to the 2025 HEFSP.
August 28, 2025 | Fifty Route 10 West, LLC filed a challenge to the 2025 HEFSP.
August 29, 2025 | FSHC filed a challenge to the 2025 HEFSP.
September 2, 2025 | 130 Ferry LLC filed a challenge to the 2025 HEFSP.
December 29, 2025 | Township Council adopted Resolution No. 206-2025 entitled “A
Resolution Authorizing the Execution of a Mediation Agreement with 130 Ferry LLC in
Connection with the Township’s Fourth Round Affordable Housing Obligations”.
December 29, 2025 | Township Council adopted Resolution No. 207-2025 entitled “A
Resolution Authorizing the execution of a Mediation Agreement with Fifty Route 10 West,
LLC in Connection with the Township’s Fourth Round Affordable Housing Obligations”.
December 29, 2025 | Township Council adopted Resolution No. 208-2025 entitled “A
Resolution Authorizing the execution of a Mediation Agreement with Mondelez Global, LLC
in Connection with the Township’s Fourth Round Affordable Housing Obligations”.
Municipal Summary
The Township of East Hanover is located in east-central Morris County and encompasses 8.1 square
miles. New Jersey Route 10 traverses the southern half of the Township in an east-west direction,
while Interstate 280 traverses the northern part of the Township. The Township is primarily
residential and commercial and industrial areas are focused along Route 10, New Murray Road,
Ridgedale Avenue, Deforest Avenue, and Eagle Rock Avenue. Additionally, the Township’s
“downtown” is located along Ridgedale Avenue. The Township does not have access to any NJTransit
rail service. However, NJTransit operates a bus route along Route 10 and Hanover Road.
The Township is bordered by the Townships of Fairfield, Montville, and West Caldwell to the north,
the Borough of Roseland and Township of Livingston to the east, the Borough of Florham Park to
the south, and the Townships of Hanover and Parsippany-Troy Hills to the west. See the map on
page 6.
Between 2010 and 2020, East Hanover’s population slightly declined by 52 residents from 11,157 to
11,105 residents.3 It should be noted that the 2023 American Community Survey (“ACS”), which is
the most recent Survey available, estimates the Township’s population to be nearly the same as in
the 2020 Census, 11,106 residents.4 The North Jersey Transportation Planning Authority (“NJTPA”)
projects that the Township will grow to 12,668 residents by the year 2050.5
Affordable Housing Obligation
The Township of East Hanover has agreed to a Rehabilitation Obligation of zero units. The
Township’s Prior Round Obligation (“PRO”) is 262. The Township agreed to a 786-unit Third Round
Obligation (“TRO”). However, the Township received a Vacant Land Adjustment (“VLA”) during the
Third Round, which determined the Realistic Development Potential (“RDP”) of East Hanover to be
3 Information sourced from https://data.census.gov/, accessed March 20, 2025.
4 Ibid.
5 Information sourced from NJTPA Plan 2050, Appendix E, “Demographic Forecasts”, https://www.njtpa.org/plan2050,
accessed March 20, 2025.
Page 5
138. This results in an Unmet Need of 648. Finally, East Hanover’s Fourth Round Obligation (“FRO”)
is 271 units. East Hanover remains a land-constrained town and has conducted another VLA, which
has revealed the Township has a Fourth Round RDP of 0.
However, pursuant to the Township’s Mediation Agreement with FSHC, East Hanover agreed to
voluntarily increase its Third Round RDP to 191 to account for the 53-affordable units built at 60-72
Eagle Rock Avenue, which correspondingly reduced the Unmet Need to 595. Additionally, the
Township agreed to increase its Fourth Round RDP to 101 to account for the proposed 100 Eagle
Rock and Mondelez sites, which results in an Unmet Need of 170.
The chart below illustrates the Township’s four-part obligation. See Chapter XI. for a detailed
discussion of the Fourth Round VLA.
Township Goal
It is the overall goal of the HEFSP, in combination with the Land Use Plan, to provide the planning
context in which access to low- and moderate-income housing can be provided in accordance with
the requirements of the Fair Housing Act and the laws of the State of New Jersey, while respecting
the character, scale, density, and utility capacity of the Township of East Hanover.
Rehabilitation
Prior Round
1987 - 1999
Third Round
1999 - 2025
Fourth Round
2025 - 2035
Obligation
0
262
786
271
RDP
--
-
191
101
Unmet Need
--
-
595
170
Affordable Housing Obligation
REGIONAL LOCATION
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from NJDOT, and NJGIN, but this secondary
product has not been verified and is not state-authorized.
0
0.3
0.6
1 inch = 0.6 miles
Township of
Livingston
Borough of
Roseland
Township of
West Caldwell
Township of
Montville
Borough of
Florham Park
Township
of Hanover
Township of
Parsippany-Troy Hills
¨§¦
280
609
632
632
Tr
oy
Road
So
u
th
R
idg
edale Av
e
nue
Hanover
Road
Eagle Rock Avenu
e
Mount Ple
asant Avenue
Ridgedale
Avenue
Defore
st
Av
enue
R
iver Road
508
637
607
611
661
609
610
632
510
8!
10
8!
10
8!
10
Township of
Fairfield
Bergen County
Essex County
Hudson
County
Middlesex
County
Morris County
Passaic
County
Somerset
County
Sussex
County
Union County
Staten
Island
Page 7
HOUSING ELEMENT
Township of East Hanover
Page 8
II. Content of Housing Element
The Amended Fair Housing Act requires that “the housing element be designed to achieve the goal
of access to affordable housing to meet present and prospective housing needs, with particular
attention to low and moderate income housing”. As per the Municipal Land Use Law (“MLUL”),
specifically NJSA 52:27D-310, a housing element must contain at least the following items:
a. An inventory of the municipality's housing stock by age, condition, purchase or rental value,
occupancy characteristics and type, including the number of units affordable to low- and
moderate-income households and substandard housing capable of being rehabilitated, and
in conducting this inventory the municipality shall have access, on a confidential basis for the
sole purpose conducting this inventory, to all necessary property tax assessment records
and information in the assessor’s office, including but not limited to the property record
cards;
b. A projection of the municipality's housing stock, including the probable future construction
of low-and moderate-income housing for the next ten years, taking into account, but not
necessarily limited to, construction permits issued, approvals of applications for
development and probable residential development of lands;
c. An analysis of the municipality's demographic characteristics, including but not necessarily
limited to, household size, income level and age;
d. An analysis of the existing and probable future employment characteristics of the
municipality;
e. A determination of the municipality’s present and prospective fair share for low- and
moderate-income housing and its capacity to accommodate its present and prospective
housing needs, including its fair share for low- and moderate-income housing, as established
pursuant to section 3 of P.L.2024, c.2 (C.52-27D-304.1);
f.
A consideration of the lands that are most appropriate for construction of low- and
moderate-income housing and of the existing structures most appropriate for conversion to,
or rehabilitation for, low- and moderate-income housing, including a consideration of lands
of developers who have expressed a commitment to provide low- and moderate-income
housing;
g. An analysis of the extent to which municipal ordinances and other local factors advance or
detract from the goal of preserving multigenerational family continuity as expressed in the
recommendations of the Multigenerational Family Housing Continuity Commission, adopted
pursuant to paragraph (1) of subsection f. of section 1 of P.L.2021, c.273 (C.52D-329.20);
h. For a municipality located within the jurisdiction of the Highlands Water Protection and
Planning Council, established pursuant to section 4 of P.L.2004, C.120 (C.13-20-4), an analysis
of compliance of the housing element with the Highlands Regional Master Plan of lands in
the Highlands Preservation Area, and lands in the Highlands Planning Area for Highlands-
conforming municipalities. This analysis shall include consideration of the municipality’s
most recent Highlands Municipal Build Out Report, consideration of opportunities for
redevelopment of existing developed lands into inclusionary or 100 percent affordable
Page 9
housing, or both, and opportunities for 100 percent affordable housing in both the
Highlands Planning Area and Highlands Preservation Area that are consistent with the
Highlands regional master plan; and
i.
An analysis of consistency with the State Development and Redevelopment Plan, including
water, wastewater, stormwater, and multi-modal transportation based on guidance and
technical assistance from the State Planning Commission.
Chapters III. through IX. address a. through i. above except for the determination of the Township’s
affordable housing obligation (subsection e.) and the Highlands Council (subsection h.). East
Hanover’s four-part obligation is discussed in Chapter XI. Additionally, East Hanover is not within
the jurisdiction of the Highlands Council and, as a result, subsection h. is not applicable.
Page 10
III. East Hanover’s Population Demographics
The Township of East Hanover’s population rose rapidly from 2,151 people in 1950 to 9,319 in 1980,
which is a 333% increase over 30 years. The Township’s population continued to increase at various
intervals between 1980 and 2000 to a peak of 11,393 residents. However, East Hanover has seen a
slight population decline since 2000, losing 288 residents between then and the 2020 Census. See
the table below for additional details.
The NJTPA projects that the Township’s population will grow to 12,668 residents by 2050 from their
baseline 2015 population of 11,250. This represents an increase of 1,418 residents, or an average
increase of approximately 41 residents annually over 35 years. However, as noted above, the
Township’s estimated population according to the 2023 ACS is 11,106, which is 1,562 less than
projected by the NJTPA. This translates to an average annual increase of approximately 58 residents
over the next 27 years.
Age Distribution of Population
The 2023 ACS estimates nearly one quarter of East Hanover’s population was 65 years or older
compared to only 19.4% of the population being 19 years or younger. The largest age cohort was
estimated to be those aged 35 to 39 years, which comprised 8% (889) of the Township’s population.
Residents aged 60 to 64 years comprised the second-largest age cohort at 7.6% (846) of the
population, followed by those aged 55 to 59 years at 7.6% (843) of the population. The median age
Year
Population
Change
Percent
1940
1,579
--
--
1950
2,151
572
36.2%
1960
4,379
2,228
103.6%
1970
7,734
3,355
76.6%
1980
9,319
1,585
20.5%
1990
9,926
607
6.5%
2000
11,393
1,467
14.8%
2010
11,157
-236
-2.1%
2020
11,105
-52
-0.5%
Population Growth
Source: 2010 & 2020 Census Table P1; New Jersey Population Trends, 1790 to 2000,
https://www.nj.gov/labor/labormarketinformation/assets/PDFs/census/2kpub/njsdcp3.pdf
Year
Population
Change
Percent
2015
11,250
---
---
2020
11,105
-145
-1.3%
2050
12,668
1,563
14.1%
Population Projection
Source: NJTPA Plan 2050, Appendix E, 2050 Demographic Forecasts,
https://www.njtpa.org/plan2050; 2020 Census Table P1
Page 11
was estimated at 46.9 years in the 2023 ACS. See the table and chart below for further details.
Household Size & Type
According to the 2023 ACS, East Hanover had 4,045 households. A majority were married-couple
households, which comprised 70% of all households (2,831). Of those, 1,052 had children under 18
years old. Female householders with no spouse present comprised 18.6% of all households, while
male householders with no spouse present comprised only 8.9%. Of all households with no spouse
present, 38 had children under the age of 18 (0.9%), while 645 were living alone (18.4%). See the
table on the following page for complete details.
Age
Total
Percent
85 years and over
532
4.8%
80 to 84 years
345
3.1%
75 to 79 years
593
5.3%
70 to 74 years
540
4.9%
65 to 69 years
724
6.5%
60 to 64 years
846
7.6%
55 to 59 years
843
7.6%
50 to 54 years
747
6.7%
45 to 49 years
516
4.6%
40 to 44 years
801
7.2%
35 to 39 years
889
8.0%
30 to 34 years
433
3.9%
25 to 29 years
565
5.1%
20 to 24 years
582
5.2%
15 to 19 years
390
3.5%
10 to 14 years
571
5.1%
5 to 9 years
469
4.2%
Under 5 years
720
6.5%
Total
11,106
100%
Population by Age Cohort
Source: 2023 ACS Table S0101
Page 12
The most common household size in East Hanover was estimated to be two-person households,
which comprised 35.6% of households in 2023. Four-person households comprised the second-
largest number of households at 24.5%. Finally, one-person households comprised 18.4% of the
4,045 households in East Hanover. It should be noted that 20 households contained seven or more
people. The table and pie chart below graphically illustrate the household size composition in East
Hanover. Finally, the 2023 ACS estimated the average household size at 2.74 persons, which is
slightly less than reported in the 2010 Census (2.86 persons).
Income & Poverty Status
The 2023 ACS estimated the median household income for the Township of East Hanover to be
$144,792, which is nearly $10,000 more than Morris County’s and over $43,700 more than the
State’s. Similarly, the median family income for the Township was estimated at $173,088, which is
$4,657 above the County’s and over $49,000 greater than the State’s. Finally, East Hanover’s per
Type
Number
Percent
Married-couple
2,831
70.0%
with children under 18
1,052
26.0%
Cohabitating couple
102
2.5%
with children under 18
0
0.0%
Male householder, no spouse
361
8.9%
with children under 18
21
0.5%
living alone
261
6.5%
Female householder, no spouse
751
18.6%
with children under 18
17
0.4%
living alone
484
12.0%
Total
4,045
100%
Household Type
Source: 2023 ACS Table DP02
Size
Total
Percent
1-person
745
18.4%
2-person
1,440
35.6%
3-person
618
15.3%
4-person
992
24.5%
5-person
142
3.5%
6-person
88
2.2%
7+ person
20
0.5%
Total
4,045
100%
Household Size
Source: 2023 ACS Table B11016
Page 13
capita income was estimated at $68,909, which is just under the County’s by $317 but nearly $16,000
more than the State’s.
The ACS also provides data on poverty rates of individuals and families. East Hanover’s poverty rate
for individuals was estimated at just 2.2%, which less than the County’s by 2.9% and the State’s by
7.6%. Similarly, the Township’s poverty rate for families was estimated at 1.7%, which is half of
Morris County’s and a quarter of the State’s. The table and bar chart below provide a comparison
between income and poverty characteristics.
According to the 2023 ACS, 36.2% of households in East Hanover (1,463) earn over $200,000
annually. Households earning $100,000 or more annually were estimated to include 3,016
households or 74.6% of all households in East Hanover. Only 63.5% of households in Morris County
and only 50.5% of households in New Jersey earned at least $100,000 annually. It should be noted
that 12.8% of households in East Hanover earned less than $50,000. See the table on the following
page for additional details.
Income Type
East Hanover Township
Morris County
New Jersey
Median Household Income
$144,792
$134,929
$101,050
Median Family Income
$173,088
$168,431
$123,892
Per Capita Income
$68,909
$69,226
$53,118
Poverty Status (Percent of People)
2.2%
5.1%
9.8%
Poverty Status (Percent of Families)
1.7%
3.4%
7.0%
Income and Poverty Characteristics
Source: 2023 ACS Table DP03
Page 14
Total
Percent
Total
Percent
Total
Percent
Less than $10,000
101
2.5%
5,289
2.8%
140,262
4.0%
$10,000 to $14,999
30
0.7%
2,711
1.4%
99,362
2.9%
$15,000 to $24,999
109
2.7%
5,398
2.8%
175,402
5.0%
$25,000 to $34,999
125
3.1%
7,383
3.8%
184,753
5.3%
$35,000 to $49,999
151
3.7%
10,491
5.5%
276,601
8.0%
$50,000 to $74,999
274
6.8%
19,409
10.1%
448,192
12.9%
$75,000 to $99,999
239
5.9%
19,283
10.1%
397,939
11.4%
$100,000 to $149,999
1,068
26.4%
35,184
18.3%
627,526
18.0%
$150,000 to $199,999
485
12.0%
26,911
14.0%
407,723
11.7%
$200,000 or more
1,463
36.2%
59,781
31.2%
720,595
20.7%
Total
4,045
100%
191,840
100%
3,478,355
100%
East Hanover Township
Morris County
Household Income
New Jersey
Income Range
Source: 2023 ACS Table DP03
Page 15
IV. East Hanover’s Housing Demographics
Housing Type
The 2023 ACS estimated the Township’s housing stock at 4,162 units. Single-family, detached
dwellings comprised a majority of the housing stock with 3,393 units or 81.5% of all dwellings. There
were an estimated 474 attached single-family dwellings (e.g. townhomes). Additionally, 217 units, or
5.2% of all housing units, were estimated to be multi-family dwelling units in structures containing
five or more units. See the table below for details. Of the estimated 4,162 units in 2023, 80 or 1.9%
of the housing stock was affordable in 2023.
Occupancy Status
Of the 4,162 residential units, 4,045 units, or 97.2% of the housing stock, was occupied. This
includes 3,820 owner-occupied units and 225 rental units. The 117 vacant units included 50 units
listed for sale and 47 units used seasonally. The remaining 20 units are classified as “other” vacant.
See the table on the following page for details.
The 2023 ACS estimated the average household size in East Hanover was 2.74 persons, while the
average family size was 3.16 persons. Comparing tenure, the average owner-occupied household
was 2.79 persons, while the average renter-occupied household was 1.95 persons.
Structure
Number of Units
Percent
1-unit, detached
3,393
81.5%
1-unit, attached
474
11.4%
2 units
8
0.2%
3 or 4 units
70
1.7%
5 to 9 units
161
3.9%
10 to 19 units
56
1.3%
20 or more units
0
0.0%
Mobile Home
0
0.0%
Other (boat, RV, van, etc.)
0
0.0%
Total
4,162
100%
Housing Units in Structure
Source: 2023 ACS Table DP04
Page 16
Value & Rent of Housing Stock
The 2023 ACS provided estimates for owner-occupied housing units in East Hanover. According to
the data, a vast majority of homes in the Township were worth between $500,000 and $999,999
(70%). Homes worth more than $1 million comprised 13.2% of the owner-occupied housing units,
while 12.2% of homes were estimated to be worth between $300,000 to $499,999. It should be
noted that 119 homes were valued less than $99,999 (3.1%). These values likely correlate to the
condominiums that exist within the community. The median home value estimated in the 2023 ACS
was $668,500. See the table below and chart on the following page for details.
Status
Units
Percent
Occupied Total
4,045
97.2%
Owner Occupied
3,820
94.4%
Renter Occupied
225
5.6%
Vacant Total
117
2.8%
For rent
0
0.0%
Rented, not occupied
0
0.0%
For Sale
50
42.7%
Sold, not occupied
0
0.0%
Seasonal
47
40.2%
For migrant workers
0
0.0%
Other
20
17.1%
Total
4,162
100%
Occupancy Status
Source: 2023 ACS Tables DP04 & B25004
Value
Number of Units
Percent
Less than $99,999
119
3.1%
$100,000 to $199,999
54
1.4%
$200,000 to $299,999
0
0.0%
$300,000 to $499,999
467
12.2%
$500,000 to $999,999
2,675
70.0%
$1,000,000 or more
505
13.2%
Total
3,820
100%
Median Value
Value of Owner Occupied Units
Source: 2023 ACS Table DP04
$668,500
Page 17
The median rent in the Township was estimated at $2,745 per the 2023 ACS. Looking at the rent
ranges, none of the Township’s rental units cost less than $2,000 per month. 55 units fell between
$2,500 and $2,999, while 54 cost between $2,000 and $2,499 per month. Additionally, 53 units cost
$3,000 or more. Interestingly, 63 rental units reported no rent paid, which was the highest number
estimated. See the table below and chart on the following page for more information.
Cost
Number of Units
Percent
Less than $1,000
0
0.0%
$1,000 to $1,499
0
0.0%
$1,500 to $1,999
0
0.0%
$2,000 to $2,499
54
24.0%
$2,500 to $2,999
55
24.4%
$3,000 or more
53
23.6%
No rent paid
63
28.0%
Total
225
100%
Median (in dollars)
Cost of Rentals
$2,745
Source: 2023 ACS Table DP04
Page 18
Condition and Age of Housing Stock
The Census does not classify housing units as standard or substandard, but it can provide an
estimate of the substandard housing units that are occupied by low- and moderate-income
households. All of the Census indicators available at the municipal level indicate a sound housing
stock within East Hanover. According to the 2023 ACS, none of the Township’s occupied dwelling
units lack complete plumbing facilities, complete kitchen facilities, or adequate heat.
Housing with 1.01 or more persons per room (excluding bathrooms and kitchens) is an index of
overcrowding as defined by the U.S. Department of Housing and Urban Development.6 According to
the 2023 ACS, 49 units (1.2%) of the Township’s 4,045 occupied units contained 1.51 or more
persons per room.
6 https://www.hcd.ca.gov/planning-and-community-development/housing-elements/building-blocks/overpayment-payment-and-
overcrowding#:~:text=The%20U.S.%20Census%20defines%20an,room%20are%20considered%20severely%20overcrowded. Accessed April 3,
2025.
Condition
Number of Units
Percent
Lack of complete plumbing
0
0.00%
Lack of complete kitchen
0
0.00%
Lack of telephone service
0
0.00%
Lack of adequate heat
0
0.00%
Total Occupied Housing Units
4,045
0.00%
Condition of Housing Stock
Source: 2023 ACS Table DP04
Page 19
The table below and bar graph on the following page provide the 2023 ACS estimates for the age of
housing units in East Hanover. An estimated 1,483 units, or 35.6%, of the Township’s housing stock
were constructed prior to 1970. During the 1990s, 1,002 homes were constructed in East Hanover,
which was the most in a single decade according to the 2023 ACS. The 1980s saw the second largest
number of units constructed with 759 units (18.2%). See the table below and chart on the following
page for more details. The Township’s Rehabilitation Obligation is zero units, which reflects the
Township’s “younger” housing stock and good condition of the older homes.
Occupants
Number of Units
Percent
1.00 or less
3,996
98.8%
1.01 to 1.50
0
0.0%
1.51 or more
49
1.2%
Total
4,045
100%
Occupants Per Room
Source: 2023 ACS Table DP04
Year Built
Number of Units
Percent
1939 or earlier
211
5.1%
1940 to 1949
118
2.8%
1950 to 1959
607
14.6%
1960 to 1969
547
13.1%
1970 to 1979
658
15.8%
1980 to 1989
759
18.2%
1990 to 1999
1,002
24.1%
2000 to 2009
107
2.6%
2010 to 2019
142
3.4%
2020 or later
11
0.3%
Total
4,162
100%
Age of Housing Stock
Source: 2023 ACS Table DP04
Page 20
Page 21
V. East Hanover’s Employment Demographics
The 2023 ACS estimated that East Hanover had 6,164 residents over the age of 16 in the workforce.
Of those, 5,905 (95.8%) were employed, which translates to a 4.2% unemployment rate. A majority
of workers were private wage and salary worker (70.5%). However, 21% were workers employed by
the government and 4.3% were self-employed. See the table below for details.
Occupational Characteristics
The 2023 ACS estimated 3,684 workers were employed in management, business, science, and arts
fields, which represents 62.4% of the Township’s employed residents. Sales and office workers
totaled 17.5% of employed residents, while 9.2% were employed in service positions. See the table
below for details.
Employment Projections
NJTPA’s Plan 2050 estimates that the number of available jobs in East Hanover will increase from
18,397 reported in 2015 to 19,462 in 2050. This represents an increase of 1,065 jobs, or an average
annual increase of 30.4 jobs annually. However, as detailed in the following section, the New Jersey
Department of Labor and Workforce Development estimated a total of 15,036 jobs in East Hanover
in 2023, which is 4,426 less than projected by NJTPA. Utilizing this number, roughly 164 new jobs
would need to be created within the Township each year for the next 27 years.
Class
Workers
Percent
Private wage and salary workers
4,345
70.5%
Government workers
1,294
21.0%
Self-employed workers
266
4.3%
Unpaid family workers
0
0.0%
Total employed residents
5,905
95.8%
Total unemployed residents
259
4.2%
Total residents in workforce
6,164
100%
Class of Workers
Source: 2023 ACS Table DP03
Occupation
Workers
Percent
Management, business, science, & arts
3,684
62.4%
Service
544
9.2%
Sales & office
1,035
17.5%
Natural resources, construction, & maintenance
335
5.7%
Production, transportation, & material moving
307
5.2%
Total
5,905
100%
Occupation of Employed Population
Source: 2023 ACS Table DP03
Page 22
In-Place Employment By Industry
New Jersey’s Department of Labor and Workforce Development (“NJDLWD”) is the entity that reports
on employment and wages within the State of New Jersey through the Quarterly Census of
Employment and Wages (“QCEW”). The latest Municipal Report was completed in 2023. According
to the data, there were 8,563 private sector jobs within East Hanover, which were provided by an
average of 598 employers. It should be noted that the Municipal Report redacted data from
multiple private-sector industries for not meeting publication standards (agriculture, utilities,
information, professional/technical, etc.). The “Private Sector Total” row in the table on the following
page provides the totals for the reported data only. However, the 2023 QCEW document reported
that the Township had an average of 14,349 private-sector jobs provided by 692 employers,
including the redacted data. Additionally, the QCEW data reflects employment within the Township,
regardless of where the employee lives.
Based on the 2023 QCEW data provided, the retail trade industry had the greatest number of
workers with an average of 1,917 jobs (20.7%), which were provided by 83 employers (second-most).
The accommodations/food industry employed the 1,152 workers (second-most), or 12.5%, and had
the third highest number of employers (82). The manufacturing industry had 1,118 workers (third-
most), with only 31 employers (eighth-most). The construction industry had the largest number of
employers but employed the sixth-most workers in the Township with an average of 554 jobs (6%)
provided by 86 employers (14.2%). In the public sector, the 2023 QCEW Municipal Report indicated
that there were two federal government employers, which provided just 24 jobs. There was an
average of 663 jobs provided by seven local government employers. This included four local
government education employers providing an average of 456 jobs. See the table on the following
page for data on each industry sector.
Year
Jobs
Change
Percent
2015
18,397
---
---
2050
19,462
1,065
5.8%
Employment Projection
Source: NJTPA Plan 2050, Appendix E, 2050 Demographic Forecasts, https://www.njtpa.org/plan2050
Page 23
Travel Time to Work
The 2023 ACS collected data regarding employed resident’s commute time. The most common
commute time was between 15 and 19 minutes, which was made by 768 workers (15.8%). A
commute between 20 and 24 minutes was the second-most common commute with 728 workers
(14.9%). Rounding off the top three was a commute of 10 to 14 minutes, which was reported by 719
workers (14.8%). The mean travel time was estimated at 24.8 minutes. It should be noted that 377
workers (7.7%) reported a commute of more than one hour. Additionally, 789 workers, or 13.9% of
the Township’s employed residents, reported working from home. See the table on the following
page for additional details.
Total
Percent
Total
Percent
Agriculture
-
-
-
-
-
Utilities
-
-
-
-
-
Construction
86
14.2%
554
6.0%
$77,816
Manufacturing
31
5.1%
1,118
12.1%
$97,154
Wholesale Trade
54
8.9%
921
10.0%
$135,968
Retail Trade
83
13.7%
1,917
20.7%
$45,921
Transportation/Warehousing
10
1.6%
337
3.6%
$57,446
Information
-
-
-
-
-
Finance/Insurance
19
3.1%
104
1.1%
$113,912
Real Estate
17
2.8%
259
2.8%
$75,572
Professional/Technical
-
-
-
-
-
Management
-
-
-
-
-
Admin/Waste Remediation
66
10.9%
967
10.5%
$45,615
Education
9
1.5%
110
1.2%
$30,652
Health/Social
63
10.4%
419
4.5%
$47,554
Arts/Entertainment
11
1.8%
323
3.5%
$21,855
Accommodations/Food
82
13.5%
1,152
12.5%
$32,681
Other Services
52
8.6%
368
4.0%
$37,899
Unclassifieds
15
2.5%
14
0.2%
$73,284
Private Sector Total
598
98.5%
8,563
92.6%
$150,024
Federal Government
2
0.3%
24
0.3%
$80,191
Local Government
7
1.2%
663
7.2%
$73,504
Local Government Education
4
0.7%
456
4.9%
$76,100
Public Sector Total
9
1.5%
687
7.4%
$76,598
Source: The table values above are sourced from the NJDLWD's QCEW 2023 Municipal Report. It is noted that this Report
has redacted multiple private sector industries for not meeting the publication standard. Therefore, the Private Sector
Totals row has been calculated by this office using the published numbers.
Private and Public Sector Employment (2023)
Industry
Establishments
Employees
Annual
Wages
Page 24
Travel Time (minutes)
Workers
Percent
Less than 5
94
1.9%
5 to 9
514
10.6%
10 to 14
719
14.8%
15 to 19
768
15.8%
20 to 24
728
14.9%
25 to 29
332
6.8%
30 to 34
604
12.4%
35 to 39
135
2.8%
40 to 44
193
4.0%
45 to 59
406
8.3%
60 to 89
299
6.1%
90 or more
78
1.6%
Total
4,870
100.0%
Commute Time
Source: 2023 ACS Table B08303
Page 25
VI. Projection of Housing Stock
As per the MLUL, specifically NJSA 52:27D-310, a housing element must contain a projection of the
municipality's housing stock, including the probable future construction of low- and moderate-
income housing for the next ten years, taking into account, but not necessarily limited to,
construction permits issued, approvals of applications for development and probable residential
development of lands.
The DCA Division of Codes and Standards’ website provides data on building permits, certificates of
occupancy, and demolition permits for both residential and non-residential development through
the New Jersey Construction Reporter. This database contains permit and certificate of occupancy
information that is submitted by municipal construction officials across the State each month. The
Construction Reporter has information dating back to 2000, which can be used to show the
Township’s historic development trends. However, data from 2013 and onward was reviewed to
determine more recent trends.
As shown in the table below, there were 124 certificates of occupancy issued over this 12-year
period. However, it should be noted that although 73 certificates of occupancy and two demolition
permits are noted to have been issued in 2024, the Monthly Summary Reports for 2024 indicate that
the DCA only received reports for March and December. Therefore, these number may not be
accurate. Excluding 2024, most certificates of occupancy were issued in 2020 or earlier, including 13
certificates issued in 2016. During the same time, a total of 12 demolition permits were issued,
which equates to a net development of 112 residential units. However, excluding the data from
2024, 51 certificates of occupancy and ten demolition permits were issued between 2013 and 2023
for a net development of 41 units.
Projecting into the future, the Township presently has 8 single-family homes that have been
approved, with building permits issued. Additionally, 256 rental units are under construction at 60-
72 Eagle Rock Avenue and are anticipated to be CO’d in 2025. The remaining 107 rental units in
Buildings 2 and 4 of the KRE development received their CO in the spring of 2025. The remaining
173 units within the townhouse portion of the KRE development, now known as Lennar, are
anticipated to be completed between 2025 and 2027. Finally, the Nike / BNE site has yet to receive
an approval, but is anticipated to contain 295 units. Three other future projects have the potential
to produce 486. Projected development was based on historic development patterns as shown in
the previous table. The Township anticipates issuing 1,349 new COs between now and the end of
the Fourth Round in 2035. The majority of the anticipated COs come from inclusionary multi-family
developments. See Chapter XII. for a discussion of each inclusionary development.
'13
'14
'15
'16
'17
'18
'19
'20
'21
'22
'23
'24
Total
COs Issued
1
7
6
13
5
7
3
6
1
1
1
73
124
Demolitions
3
1
1
1
0
0
2
1
1
0
0
2
12
Net Development
-2
6
5
12
5
7
1
5
0
1
1
71
112
Source: NJDCA, Construction Reporter - Housing Units Certified and Demolition Permits, Yearly Summary Data
Historic Trend of Residential Certificates of Occupancy & Demolition Permits (2013-2024)
Page 26
Of the 1,349 new residences projected to be built between now and 2035, 278 are anticipated to be
reserved for low- and moderate-income households. See the table on the following page for further
details.
'25
'26
'27
'28
'29
'30
'31
'32
'33
'34
'35
Total
Projected Development
0
1
2
3
1
2
3
1
2
3
2
20
419
1 Willow Place
1
1
1A Ivy Court
1
1
9 Windsor Way
1
1
37 Harvest Avenue
1
1
42 Cleveland Avenue
1
1
48 Grant Avenue
1
1
50 Cedar Street
1
1
60-72 Eagle Rock Avenue
(Kushner)
256
256
646 Ridgedale Avenue
1
1
KRE Buildings 2 & 4
107
107
Lennar
48
48
129
15 Knollwood Drive
2
2
155 Troy Road
2
2
Lennar
10
58
57
125
781
Nike / BNE
147
148
295
50 Route 10 West
27
27
100 Eagle Rock
67
67
134
Mondelez
100
100
125
325
Total
414
6
2
150
149
2
3
1
2
3
2
1,349
Projection of Residential Development
Approved Development with Permits Issued and Under Construction
Future Projects
Approved Development, No Building Permits Issued
Page 27
'25
'26
'27
'28
'29
'30
'31
'32
'33
'34
'35
Total
128
60-72 Eagle Rock Avenue
(Kushner)
53
53
KRE Buildings 2 & 4
13
13
Lennar
32
15
15
62
150
Nike / BNE
30
29
59
50 Route 10 West
6
6
100 Eagle Rock
13
13
26
Mondelez
18
18
23
59
Total
98
15
15
30
29
0
0
0
0
0
0
278
Future Projects
Projection of Affordable Units
Approved Development with Permits Issued and Under Construction
Page 28
VII. Capacity for Fair Share
This chapter of the HEFSP provides the following information as required by the rules:
The Township’s capacity to accommodate its housing needs.
A consideration of the lands that are most appropriate for construction of low- and
moderate-income housing and of the existing structures most appropriate for conversion to,
or rehabilitation for, low- and moderate-income housing.
Lands of developers who have expressed a commitment to provide low- and moderate-
income housing.
The location and capacities of existing and proposed water and sewer lines and facilities
relevant to the proposed affordable housing sites.
Land Capacity
East Hanover’s capacity to accommodate its present and prospective affordable housing need is
determined by three components - available land, water capacity, and sewer availability and
capacity. Note that land development is limited by environmental features, parcel size, easements
(conservation, sewer, water, etc.), and municipal regulations. In total, 3,032.97 acres of East
Hanover, or 58.52% of the Township’s 5,182.78 acres, are encumbered by at least one
environmentally sensitive area. Environmental constraints within the Township of East Hanover
include:
Waterbodies – 102.5 acres (1.98% of the Township’s area), which includes 36.71 acres of the
Passaic River, 27.14 acres of the Whippany River, 8.08 acres of the Rockaway River, and 3.32
acres of Black Brook
150-foot Riparian buffer – 972.28 acres (18.76% of the Township’s area)
Wetlands – 1,424.56 acres (27.49% of the Township’s area)
50-ft Wetlands Buffer (excluding wetlands area) – 12.07 acres (0.23% of the Township’s area)
150-foot Wetlands Buffer (excluding wetlands area) – 732.67 acres (14.14% of the Township’s
area)
FEMA Special Flood Hazard Area Zone AE – 1,841.87 acres (35.54% of the Township’s area),
including 837.51 acres within the Floodway
Slopes greater than 15% - 227.33 acres (4.39% of the Township’s area)
State Threatened species habitat (Landscape Rank 3) – 287.19 acres (5.54% of the Township’s
area)
State Endangered species habitat (Landscape Rank 4) – 746.51 acres (14.40% of the
Township’s area)
Federal Listed species habitat (Landscape Rank 5) – 1,114.78 acres (21.51% of the Township’s
area)
Vernal Habitat – 935.07 acres (18.04% of the Township’s area)
Page 29
Potential Vernal Habitat – 315.68 acres (6.09% of the Township’s area)
Additionally, the Township has conducted a VLA analysis that indicates zero additional affordable
units can be realistically constructed on the lands that are vacant and developable within the
Township. However, as noted in Chapter I., the Township increased its Fourth Round RDP to 101,
which modified the Unmet Need of 170, as a result of the Mediation Agreement with FSHC.
Utility Capacity
East Hanover is served by the East Hanover Water Utility for water supply and for the Township’s
sewerage, through an agreement with The Township of Parsippany, sends its sewerage to
Parsippany-Troy Hills Wastewater Treatment Plant for treatment.7 For water, East Hanover utilizes
its wells and its agreement with New Jersey American Water to provide water service throughout the
community. The Township’s well water is not sufficient to meet peak demand in the months June
through September based on NJDEP’s water formula. Therefore, East Hanover is forced to purchase
water from New Jersey American Water at four times the cost of East Hanover’s water. The forced
purchase exceeds the water utility’s budget and thus, the water utility is operating in a deficit. For
sewerage, East Hanover has a total of nine sewer pump stations that sends sewerage to the
Parsippany-Troy Hills Wastewater Treatment Plant for treatment.
It should be noted that NJSA 52:27D-311n. states that “P.L.2024, c.2 (C.52:27D-304.1 et al.) shall not
be construed to require a municipality to fund infrastructure improvements for affordable housing
projects beyond any commitments made in a fair share plan and housing element that has been
provided with compliance certification. A municipality may fund infrastructure improvements for
affordable housing projects, through the adoption of a developer’s agreement with the applicant
providing financial assistance, beyond any commitments made in a fair share plan and housing
element that has been provided with compliance certification”.
Appropriate Locations for Affordable Housing
Land that is most appropriate for the construction of low- and moderate-income housing includes
the following:
1. Nike site – known as Block 96, Lots 47.02 and 50 on the Township’s tax maps. (A subdivision
application modified the lot numbers to 47.03 and 50.01.) The site is vacant and
encompasses roughly 18.9 acres.
2. KRE/Lennar site – Known as Block 42, Lots 37.001 through 37.268, located at the intersection
of Deforest Avenue and River Road. The site previously contained an office building, but has
been transformed over the past four+/- years into a multi-family residential development.
The site is adjacent to the Mondelez site.
3. Eagle Rock Avenue – Four properties along Eagle Rock Avenue, Block 1.01, Lots 53, 53.01, 54,
and 54.01. Three of the four parcels are developed with office buildings, while Lot 54 is
vacant except for two stormwater basins. These four parcels total 50.7 acres.
4. Columbia Turnpike – Known as Block 127, Lot 1.01 on the Township’s tax maps. The site is
developed with an industrial use and comprises 57 acres.
7 Email from Jeffrey Betz, Township Engineer, on June 2, 2025.
Page 30
5. B-1 and B-2 Districts – Certain properties within the B-1 District along Ridgedale Avenue and
Eagle Rock Avenue and the B-2 District along Eagle Rock Avenue are large enough to
accommodate multi-family residential development. On December 12, 2019, the Mayor and
Council adopted Ordinance No. 16-2019, which permits inclusionary mixed-use development
above the first floor of buildings as a conditional use in the B-1 and B-2 Business Zones.
Required conditions include frontage along Ridgedale Avenue or Eagle Rock Avenue, a
minimum lot size of 30,000 square feet, a maximum density of 15 units per acre, a maximum
building height of three stories and 38 feet, and an affordable housing set-aside of 15% for
rental units and 20% for units offered for sale.
6. Mondelez – Known as Block 42, Lot 37.02, located at the intersection of River Road and
McKinley Avenue. The site is currently developed with an office building that is home to
Mondelez International. The site is adjacent to the KRE/Lennar site.
7. Route 10 and Littell Road – Properties along Route 10 and Littell Road have been identified
for mixed-use inclusionary development. These parcels are identified as Block 129, Lots 1, 2,
4, 5, 7, 7.01, 8.02, and 9.01.
Existing structures appropriate for conversion to affordable housing include ranch-style homes,
which may be cost effective to buy and convert to an alternative living arrangement. As for
structures suitable for rehabilitation, according to the Township’s Rehabilitation Obligation, 0 homes
within East Hanover are in need of a major system repair (e.g. roof, electric, plumbing, etc.).
Potential Affordable Housing Developers
The KRE/Lennar site is under construction for multi-family development. 60-72 Eagle Rock is
currently under construction with multi-family development. Additionally, BNE has been awarded
the RFP to build an age-restricted inclusionary development on the Nike site.
Four letters have been submitted by property owners within East Hanover as of June 11, 2025, which
are summarized below. All sites were considered as required by law and despite that consideration,
the Township elected to comply in the manner described in this HEFSP.
1. 30 Ridgedale Avenue (Block 130.01, Lot 2.01). A letter was submitted seeking to redevelop
the 0.5-acre parcel with 60 units. The proposal noted that underground parking may be
necessary. The affordable units described in the letter fail to meet the required bedroom
distribution. The property owner seeks a density of 120 units to the acre, which far exceeds
the highest permitted density within the Township. It is unclear how many stories are
proposed. Moreover, no concept plan was submitted.
Furthermore, as shown on the map on page 33, the Whippany River is located at the rear of
the site, which has an associated 150-foot Riparian buffer encompassing over 99% of the
property. The site is approximately 156 feet deep at its narrowest point, including the
Whippany River. Additionally, a 150-foot wetlands buffer encompasses the rear two-thirds
of the site, while the rear third of the site is within FEMA’s Special Flood Hazard Zone AE and
floodway. Finally, slopes greater than 15% are located along the bank of the Whippany River
at the rear of the site and in the location of the existing building.
The proposed density is unacceptable as it far exceeds the highest density permitted within
East Hanover. Furthermore, it is unclear if said density and associated parking could even be
Page 31
located on the site. The property is encumbered by several environmental constraints, the
most concerning of which is the Special Flood Hazard Area. Additionally, the affordable units
described in the letter fail to meet the required bedroom distribution. For all these reasons,
and more, East Hanover declines to include the subject site in this document as a realistic
mechanism that could generate affordable housing units. It must be noted that the
Township has unilateral discretion over how it complies with its affordable housing
obligation, so long as it meets the relevant legal standards and, therefore, the Township’s
rationale for exclusion is immaterial.
2. 34 Ridgedale Avenue (Block 130.01, Lot 3). A letter was submitted seeking to redevelop the
“approximately 2 acre” parcel with 120 units. The proposal noted that underground parking
may be necessary. The affordable units described in the letter fail to meet the required
bedroom distribution. The property owner seeks a density of 60 units to the acre, which far
exceeds the highest permitted density within the Township. It is unclear how many stories
are proposed. Moreover, no concept plan was submitted.
At its narrowest point, the site is approximately 97 feet deep including the Whippany River,
which encompasses the rear of the property. The 150-foot Riparian buffer from the river
encompasses the entire site. Additionally, all but the southwest corner of the building and
the area in front of the building are within a 150-foot wetlands buffer. The rear of the site
and eastern half of the property is also within FEMA’s Special Flood Hazard Area Zone AE
floodway. Slopes greater than 15% are shown along the bank of the Whippany River, along
Ridgedale Avenue, in the location of the existing building, and in front of the existing
building. See the map on page 33 for the environmental constraints affecting the site.
The proposed density is unacceptable as it far exceeds the highest density permitted within
East Hanover. Furthermore, it is unclear if said density and associated parking could even be
located on the site. The property is encumbered by several environmental constraints, the
most concerning of which is the Special Flood Hazard Area. Additionally, the affordable units
described in the letter fail to meet the required bedroom distribution. For all these reasons,
and more, East Hanover declines to include the subject site in this document as a realistic
mechanism that could generate affordable housing units. It must be noted that the
Township has unilateral discretion over how it complies with its affordable housing
obligation, so long as it meets the relevant legal standards and, therefore, the Township’s
rationale for exclusion is immaterial.
3. 50 Route 10 West (Block 129, Lot 4). A letter was submitted seeking to add a multi-family
building to the existing site, which currently contains a two-story commercial structure. The
property owner applied for a use variance to construct a 25-unit multi-family building on the
site and was denied in 2023. The letter requests to construct a 27-unit building with 6
affordable units. A concept plan was included with the submission.
4. Mondelez (Block 42, Lot 37.02). A letter dated June 6, 2025, after the HEFSP was substantially
written, was submitted by Thomas J. Malman, Esq. The site is home to Mondelez’s North
American regional office and research facility. The letter indicates that Mondelez expects to
continue its operation “for the time being” but anticipates relocating over the next several
years. No specific timeline is provided. Based on the ambiguity of the letter, it is unclear if
Mondelez will vacate the site during the Fourth Round period. The letter requests inclusion
in the HEFSP and attaches a concept plan with 420 units.
Page 32
Anticipated Development Patterns
Anticipated land use patterns within the Township of East Hanover will most likely follow the
established zoning map except for the areas cited in the following paragraph. East Hanover has six
single-family residential zones, a townhouse zone, five affordable housing zones, two affordable
housing overlay zones, four business zones, two industrial zones, three professional and business
office zones, a research laboratory and office zone, and a special economic development zone.
Additionally, there are two zones for public and cemetery properties, two overlay zones for airport
safety, and one redevelopment area. Additionally, the B-1 Zone along Ridgedale Avenue and the B-1
and B-2 Zones along Eagle Rock Avenue conditionally permit mixed-use inclusionary development.
See the Zoning Map page 34 for details.
Three areas on the Zoning Map will require modification following the adoption of zoning
ordinances. The first area is the Mondelez site (Block 42, Lot 37.02), which the Township will rezone
to permit a maximum of 325 age-restricted units. The second site is the 130 Ferry property (Block
1.01, Lot 54.01), which will be overlay zoned to permit inclusionary development. The third site is
the Route 10/Littell Road area (Block 129, Lots 1, 2, 4, 5, 7, 7.01, 8.02, and 9.01), which will be overlay
zoned to permit mixed-use inclusionary development.
ENVIRONMENTAL CONSTRAINTS
BLOCK 130.01, LOTS 2.01 & 3
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
75
150
1 inch = 150 feet
632
Melanie Lane
Litt
ell Road
Ridgedale Avenue
Whipp
a
ny River tribu
t
ary
Whippany
R
ive
r
Township
of Hanover
Lot 2.01
Lot 3
Legend
Municipal Boundary
Block 130.01, Lots 2.01 & 3
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Livingston Township
Roseland Borough
West Caldwell
Township
Fairfield
Township
Florham Park Borough
Hanover Township
Parsippany-Troy Hills Township
Montville
Township
NINA DR
H
ER DR
KRISTI DR
HIGHVIEW RD
WEST ST
IGH
B
R
EAC
UTT
N
B
R
E
P
F
E
W
AVE
FANY DR
4
609
4
611
4
610
4
632
"¬«
10
§¨¦
280
Zoning Districts
R-10 One-Family, Residential
R-11 One-Family, Residential
R-15 One-Family, Residential
R-20 One-Family, Residential
R-120 Residential
R-120-CR Residential, Commercial &
Recreational
SFA Single-Family Attached
RAH-1 Residential Affordable Housing
RAH-4 Residential Affordable Housing
R-10/CSAH Residential Affordable
RMF Residential Multi-Family
RMF-2 Residential Multi-Family 2
! ! ! ! ! ! !
! ! ! ! ! ! !
! ! ! ! ! ! ! RMF-2 Residential Multi-Family 2 Overlay
! ! ! ! ! ! !
! ! ! ! ! ! !
! ! ! ! ! ! !
RMF-3 Residential Multi-Family 3 Overlay
B-1 Neighborhood Business
B-2 Highway Business
B-2B Highway Business
HD/OCI Highway Development/Office,
Commercial, Industrial
R-L Research Laboratories & Office
PB-1 Professional & Business Office
PB-2 Professional & Business Office
PB-3 Professional & Business Office
SED Special Economic Development
I-1 Light Industry
I-3 Light Industry
CEM Cemeteries
P Public
VRA Varityper Redevelopment Area
CZ Clear Zone Overlay
!
!
!
!
!
!
!
!
!
!
!
! RES Runway End Subzone Overlay
R:\AllOffices\RedBank\GIS\GISPROJECTS\Municipal\E-H\EHT\EHT017A\2020\200721apb_Zoning_Map_Adopted.mxd
ZONING MAP
Morris County, New Jersey
MC Proj. No.: EHT-017A
July 2020
Township of East Hanover
0
1,600
3,200
4,800
800
Feet
1 inch = 800 feet
Legend
Municipal Boundary
Parcels
Adopted by Ordinance 11-2017 on October 2, 2017.
Adopted by Ordinance 6-2020 on October 5, 2020.
Zoning Map Revisions
Page 35
VIII. Multigenerational Family Continuity Evaluation
P.L. 2024, c.2 amended various aspects of the Fair Housing Act. These amendments modified the
mandatory components of a municipality’s housing element. NJSA 52:27D-310g. has been added,
which states, “An analysis of the extent to which municipal ordinances and other local factors
advance or detract from the goal of preserving multigenerational family continuity as expressed in
the recommendations of the Multigenerational Family Housing Continuity Commission, adopted
pursuant to paragraph (1) of subsection f. of section 1 of P.L.2021, c. 273 (C.52:27D-329.20)”.
P.L. 2021, c.273 took effect on November 8, 2021. The law established the Multigenerational Family
Housing Continuity Commission, which consists of a body of nine members. The duties of the
Commission include the preparation and adoption of recommendations on how State government,
local government, community organizations, private entities, and community members may most
effectively advance the goal of enabling senior citizens to reside at the homes of their extended
families, thereby preserving and enhancing multigenerational family continuity, through the
modification of State and local laws and policies in the areas of housing, land use planning, parking
and streetscape planning, and other relevant areas. The Law requires the Commission to report
annually to the Governor on its activities, findings, and recommendations, if any, for State and local
government. The Department of Community Affairs (“DCA”) is required to provide staff services as
may be needed for the Commission to carry out its responsibilities, including assembly of necessary
information and statistics, and preparation of draft reports, analyses, and recommendations.
The State of New Jersey’s website was reviewed on January 9, 2026. A search of the website revealed
no webpage for the Multigenerational Family Housing Continuity Commission. As DCA is required to
provide staff and research for the Commission, DCA’s website was reviewed on January 9, 2026.
DCA’s website is silent regarding the Commission, its annual required reports, studies, and/or
recommendations. Without recommendations from the Commission, East Hanover is unable to
conduct an analysis of its ordinances and other local factors. Despite the absence of
recommendations, it should be noted that there is nothing in East Hanover’s zoning ordinance that
prohibits senior citizens from residing at the home of their extended families.
Page 36
IX. State Development & Redevelopment Plan
Consistency
P.L. 2024, c.2 amended the Fair Housing Act to include a new requirement for housing elements.
NJSA 52:27D-310i. reads, “An analysis of consistency with the State Development and
Redevelopment Plan, including water, wastewater, stormwater, and multi-modal transportation
based on guidance and technical assistance from the State Planning Commission.”
The Draft State Development and Redevelopment Plan was approved by the State Planning
Commission (“SPC”) on December 4, 2024 and was released on December 6, 2024. The Office of
Planning Advocacy (“OPA”) conducted public hearings in each of New Jersey’s 21 Counties between
February 12, 2025 and April 16, 2025. East Hanover provided comments on the Draft Plan to the
State and County on March 6, 2025. The New Jersey State Development and Redevelopment Plan
was adopted on December 17, 2025. Due to the State-mandated December 31, 2025 and March 15,
2026 affordable housing deadlines, the Township has not yet reviewed the document for
consistency.
Finally, it should be noted that East Hanover has not received guidance concerning water,
wastewater, stormwater, or multi-modal transportation from the State Planning Commission during
the past year.
Page 37
FAIR SHARE PLAN
Township of East Hanover
Page 38
X. Fair Share Plan
Fair Share Plan is defined by the Amended Fair Housing Act as “the plan or proposal that is in a form
which may readily be adopted, with accompanying ordinances and resolutions, pursuant to
subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), by which a municipality proposes to
satisfy its obligation to create a realistic opportunity to meet its fair share of low- and moderate-
income housing needs of its region and which details the affirmative measures the municipality
proposes to undertake to achieve its fair share of low- and moderate-income housing, as provided
in the municipal housing element, and addresses the development regulations necessary to
implement the housing element, including, but not limited to, inclusionary requirements and
development fees, and the elimination of unnecessary housing cost-generating features from the
municipal land use ordinances and regulations.”
The remaining chapters of this report comprise the Fair Share Plan.
Content of Fair Share Plan
The Fair Share Plan contains the following information:
Outline of the four-part affordable obligation;
Explanation of existing credits intended to satisfy the obligation;
Description of mechanisms that will be used to meet any outstanding obligation; and
An implementation schedule that sets forth a detailed timetable for units to be provided.
In adopting its HEFSP, a municipality may provide for its fair share of low- and moderate-income
housing by means of any technique or combination of techniques that provide a realistic
opportunity for the provision of the fair share. As per NJAC 5:93, these potential techniques include
but are not limited to:
Rehabilitation of existing substandard housing units;
ECHO units (as a Rehabilitation credit);
Municipally-sponsored and 100% affordable developments;
Zoning for inclusionary development;
Alternative living arrangements;
Accessory apartment program;
Purchase of existing homes;
Write-down/buy-down programs; and
Assisted living residences.
Regional Income Limits
Dwelling units are affordable to low- and moderate-income households if the maximum sales price
or rental cost is within their ability to pay such costs, based on a specific formula. A moderate-
income household is one with a gross household income equal to or more than 50%, but less than
80%, of the median gross regional household income. A low-income household is one with a gross
household income equal to 50% or less of the median gross regional household income. Very-low-
income households are those with a gross household income equal to 30% or less of the median
gross household income. East Hanover is located in Region 2, which contains Essex, Morris, Union,
and Warren Counties.
Page 39
Using the Affordable Housing Professionals of New Jersey’s chart on the regional income limits for
Housing Region 2 in 2025, a four-person moderate income household is capped at $108,240. Two-
person moderate income households are capped at $86,640, while two-person households could
make up to $54,150 to be considered a low-income household. The table below provides the
median, moderate-, low-, and very-low-income limits for one-, two-, three-, and four-person
households in Region 2.
Affordable Requirements
The four components that must be addressed by this plan are contained in the table below.
As discussed in Chapter XI., East Hanover has conducted a Vacant Land Analysis and determined the
RDP to be 0, which means the Unmet Need for the Fourth Round is 271. However, as noted in
Chapter I., the Township agreed to increase its Fourth Round RDP to 101, which reduced its Unmet
Need to 170, as a result of its Mediation Agreement with FSHC.
1 Person
2 Person
3 Person
4 Person
Median
$94,800
$108,300
$121,800
$135,300
Moderate
$75,840
$86,640
$97,440
$108,240
Low
$47,400
$54,150
$60,900
$67,650
Very-Low
$28,440
$32,490
$36,540
$40,590
Source: https://www.nj.gov/dca/hmfa/about/regulations/docs/UHAC_Income%20Limits.pdf
2025 Regional Income Limits
Household Size
Income
Rehabilitation
Prior Round
1987 - 1999
Third Round
1999 - 2025
Fourth Round
2025 - 2035
Obligation
0
262
786
271
RDP
--
-
191
101
Unmet Need
--
-
595
170
Affordable Housing Obligation
Page 40
XI. East Hanover’s Affordable Housing Obligation
This chapter outlines the four-part affordable housing obligation Demarest has been assigned.
Four-Part Obligation
Rehabilitation
East Hanover accepted DCA’s rehabilitation obligation of 0 for the Fourth Round.
Prior Round (1987-1999)
The Township of East Hanover was granted Second Round Substantive Certification in 2000. The
municipality had a new construction obligation of 262 units. The November 15, 2000 Compliance
Report included the rental and age-restricted formulas. These formulas provide the minimum and
maximum requirements regarding the development of rentals and age-restricted units for the PRO.
The rental and age-restricted formulas below are taken from the Compliance Report.
Minimum rental obligation:
= 25% (precredited need – prior cycle credits – rehabilitation obligation)
= 25% (266-0-4) = 65.5 = 66
It should be noted that NJAC 5:93-5.15(d)3 limits the number of rental bonuses to the minimum
required rental obligation. Therefore, East Hanover may receive a maximum of 66 rental bonuses
for the PRO.
Maximum age-restricted:
= 25% (precredited need – prior cycle credits – rehabilitation credits – Regional Contribution
Agreements)
= 25% (266-0-4-65) = 49.25 = 49
Third Round (1999-2025)
East Hanover has settled with FSHC and accepted a Third Round Obligation of 786. The Township
completed a VLA which, after multiple mediation meetings, has resulted in an RDP of 138. However,
the Township’s Mediation Agreement with FSHC modified the RDP to 191, which leaves 595 as the
Unmet Need. The Prior Round Rules provide the minimum and maximum formulas for
municipalities seeking a VLA.
Minimum rental obligation:
= 25%(RDP)
=25%(191) = 47.75 ~ 48
It should be noted that NJAC 5:93-5.15(d)3 limits the number of rental bonuses to the minimum
required rental obligation. Therefore, East Hanover may receive a maximum of 48 rental bonuses
for the TRO.
Page 41
Maximum age-restricted:
= 25%(RDP + rehabilitation obligation – rehabilitation credits)
= 25%(191 + 18 – 0) = 52.25 ~52
Fourth Round (2025-2035)
As indicated in the Decision and Order Fixing Municipal Obligations for “Present Need” and
“Prospective Need” for the Fourth Round Cycle, the Township’s Fourth Round Obligation is 271.
The Amended FHA modified the micro-requirement formulas for the FRO, which are as follows:
Minimum 50% of the actual affordable units (exclusive of any bonus credits) available to
families
Minimum 25% of the actual affordable units (exclusive of any bonus credits) as rental units
Half of the above as family rental units
Maximum 30% of the affordable units exclusive of any bonus credits) as age-restricted
housing
Maximum 25% of the obligation as bonus credits
Vacant Land Adjustment Analysis
P.L. 2024, C.2, referred to as the Amended Fair Housing Act, specifically permits vacant land
adjustments under NJSA 52:27D-310.1. Furthermore, NJSA 52:27D311m. states that all parties are
entitled to “rely upon regulations on municipal credits, adjustments, and compliance mechanisms
adopted by the Council on Affordable Housing unless those regulations are contradicted by statute,
including but not limited to, P.L. 2024, c.2”. Therefore, under the Prior Round Rules (5:93-4.1),
municipalities are permitted to seek adjustments. The Rules indicate that there may be instances
where a municipality can exhaust an entire resource (land, water, or sewer) and still not be able to
provide a realistic opportunity for affordable housing. NJSA 52:27D-310.1 lists the permissible
vacant land exclusions.
Colliers Engineering & Design, the Township’s Planner, prepared a VLA analysis to determine the
Township’s RDP in 2025, as per the requirements of NJSA 52:27-310.1 (see Appendix G for a copy of
the VLA results). Utilizing ArcGIS Pro, a Geographic Information Systems (“GIS”) tool, an initial map
illustrating the environmental features present in the Township was prepared to identify areas that
are environmentally constrained. The following environmental features were reviewed:
New Jersey Department of Environmental Protection (“NJDEP”) waterbodies of the 2020
National Hydrography Dataset and Surface Water Quality Classification (SWQC).
-
A 300-foot buffer was applied to all Category One (“C1”) waters. (There are no C1 waters
in East Hanover.)
-
A 150-foot riparian buffer was applied to (1) any trout production waters and tributaries,
(2) any trout maintenance waters and upstream tributaries within one mile, or (3) any
waters and tributaries within one mile that flow through a present or documented
habitat for threatened or endangered species.
-
A 50-foot riparian buffer was applied to all other waters.
Page 42
NJDEP wetlands
-
A 150-foot wetlands buffer was applied to wetlands of exceptional resource value, which
include wetlands that (1) discharge into an FW-1 or FW-2 trout production waters and/or
tributary or (2) are a present or documented habitat for threatened or endangered
species.
-
A 50-foot wetlands buffer was applied to wetlands of intermediate resource value, which
are wetlands that are not defined as exceptional or ordinary.
-
No wetlands buffer was applied to wetlands of ordinary resource value, which includes
wetlands that are (1) isolated and less than 5,000 square feet and has lawn, maintained
landscaping, impervious surfaces, active railroad rights-of-way, and/or roads covering
50% of the area within 50 feet of the wetlands, (2) a drainage ditch, (3) a swale, or (4) a
man-made detention facility.
Steep slopes greater than 15% were sourced from New Jersey Geographic Information
Network’s (“NJGIN”) 10-foot resolution LiDAR derived Digital Elevation Model (“DEM”), slope
dataset.
FEMA Special Flood Hazard Area (“SFHA”) Zones A, AE, and AH from Morris County’s
Preliminary Flood Insurance Rate Map, dated September 28, 2023.
Next, an exhaustive analysis of all vacant properties in the Township was conducted utilizing 2024
MOD-IV tax data from the Morris County Assessment Records search and parcels from NJGIN.
Vacant properties included parcels with a property classification of Class 1 (“Vacant”), Class 3B
(“Qualified Farmland”), and Class 15C (“Public Property) that is not developed and/or not preserved
open space. For example, a Class 15C property that contains a public facility, such as a library, or is
preserved open space listed on the Township’s Recreation and Open Space Inventory, would not be
considered vacant, while a wooded lot owned by the Township without any sort of restriction is
considered vacant land.
The various land use categories within the Township are illustrated on the map entitled “Existing
2024 Land Use”. This map also illustrates the aggregate area of environmental constraints within
the Township.
The environmentally constrained areas were then removed from the parcels, which resulted in each
parcel’s vacant and developable area. For example, if Lot A contained 35 acres, but 20 acres were
encumbered by wetlands and a 300-foot C1 stream buffer, then Lot A has 15 vacant and
developable acres.
Next, each vacant property was reviewed to confirm its vacant status. This included the following:
Recent aerial imagery from NearMap to confirm no development exists. For example, a
Class 1 property with a building under construction and roof visible was not considered
vacant.
Recently issued Certificates of Occupancy.
Recently issued building permits.
Page 43
Once each lot’s unconstrained area and vacancy status was determined, properties were identified
that could be developed with at least five housing units at the minimum presumptive density of
eight dwelling units per acre (lots with at least 0.625 acres). Additionally, properties that could be
developed with between one and five housing units at the minimum presumptive density (between
0.125 and 0.625 acres) were identified as potential infill development. Properties that could not be
developed with at least one housing unit (less than 0.125 acres) were identified as either
environmentally constrained or undersized. This analysis also accounted for adjacent properties
under common ownership that could be combined. For example, if Lot A is 0.1 acres and Lot B is 0.1
acres and both are under common ownership, their combined acreage would be 0.2 acres. This
modifies their developable status from undersized to potential infill development. Similarly,
commonly owned Lot C with 0.5 acres and Lot D with 0.4 acres are combined for a total of 0.9 acres.
This modifies their developable status from potential infill development to potential development
and would generate an RDP.
Based on the results of the VLA analysis, zero properties in the Township of East Hanover were
identified to be vacant, contain at least 0.625 acres of unconstrained land, and have access to sewer
and water infrastructure. Therefore, the Township’s RDP was determined to be zero based on the
results of this VLA. See Appendix G for details.
However, as previously discussed, the Township agreed to increase its Fourth Round RDP to 101 to
account for the 100 Eagle Rock and Mondelez sites. The 101 is generated by the two sites as follows:
Mondelez 46.188 acres x 9 units per acre8 = 415 x 20% = 83
100 Eagle Rock 8.91 acres x 10 units per acre = 89 x 20% = 18
Unmet Need
The RDP has been calculated to be 0 based on the VLA analysis results; therefore, the Unmet Need is
the result of subtracting the RDP (0) from the FRO (271). This results in an Unmet Need of 271.
However, the Fourth Round RDP, as agreed to in the Township’s Mediation Agreement with FSHC, is
101, which results in an Unmet Need of 170.
8 This is the same density that was used to calculate the RDP assigned to the KRE site in the Third Round. Said density is
solely for the purpose of calculating RDP.
Page 44
XII. Mechanisms & Credits
This chapter provides the existing and proposed mechanisms and credits for each of the four
affordable housing obligations.
Existing Mechanisms & Credits
East Hanover has a total of 192 credits of inclusionary units, 73 credits from extended controls, 65
Regional Contribution Agreement (“RCA”) credits, ten alternative living arrangement bedrooms, four
assisted living credits, and 119 bonuses that exist on the ground today.
Rehabilitation Mechanisms & Credits
East Hanover does not have a Rehabilitation Obligation.
Prior Round Mechanisms & Credits
East Hanover has a total of 274 existing credits, including 65 RCA credits, 143 credits, and 66
bonuses. All seven of the strategies listed below were included in the 2019 FSHC Settlement
Agreement and the 2021 Final Order of Judgment of Compliance and Repose.
Hanover Estates / Hanover Park
Originally called Hanover Estates, this inclusionary development is now referred to as Hanover Park.
Located on Block 96, Lots 29, 47, and 49 is this 42-acre tract off of Nike Drive. The development
contains 370 units, of which, 74 are affordable for-sale units. The development was constructed in
the 1990’s. The affordable units received their Certificates of Occupancy between 1994 and 1996.
The units are 95/5 units. A 20-year deed restriction was placed on the affordable units, which
contained the option for the Township to extend the controls. Housing Affordability Services was
the Administrative Agent until the fall of 2019. They were replaced by Piazza and Associates. See
Appendix H for the 1992 Master Deed and one of the Affordable Housing Agreements and
Repayment Mortgage with deed restrictions.
However, prior to 2001 the affordable unit located at 22 Millie Lane went into foreclosure. The unit
was later sold in 2001 to a new owner with no affordable deed restriction. The same, non-qualified
homeowner had been living in the unit since the purchase in 2001. The Township was never notified
of the foreclosure or that the deed restriction had somehow been vacated. Therefore, the
creditable number of units was reduced to 73.
Pursuant to NJAC 5:93-5-6 (inclusionary development), Hanover Estates is eligible for 73 credits.
RCA with Newark
During the First Round, East Hanover transferred 65 units to Newark as part of an RCA. COAH
approved the transfer on October 3, 1990, and the transfer was effective on December 7, 1990.9
According to the COAH Tracking and Monitoring (“CTM”) system, the transfer was completed. East
Hanover transferred $1.3 million to Newark for 65 units. According to the 2000 Compliance Report,
all money was transferred to the City of Newark. Pursuant to NJAC 5:93-5.7 (RCAs), this mechanism
is eligible for 65 credits.
9 CTM System, RCA/Partnership Detail, accessed October 9, 2019.
Page 45
Universal Institute – 229 River Road
Universal Institute owns two facilities in East Hanover. The first is located on River Road on Block
112, Lot 16. The home houses five very-low-income individuals. The group home is licensed by the
Department of Human Services, which issued the initial license in 2002. The home is eligible for
credit pursuant to NJAC 5:93-5.8 (alternative living arrangements) and for rental bonus credits
pursuant to NJAC 5:93-5.15(d). See Appendix I for the group home’s current license and Housing
Survey.
Based on the above, this home is eligible for 5 credits and 5 bonuses.
Universal Institute – 54 Christine Drive
The second facility owned by Universal Institute is located on Christine Drive (Block 40.03, Lot 12).
The home houses five very-low-income individuals. The group home is licensed by the Department
of Human Services, which issued the initial license in 2004. The home is eligible for credit pursuant
to NJAC 5:93-5.8 (alternative living arrangements) and for rental bonus credits pursuant to NJAC
5:93-5.15(d). See Appendix J for the group home’s latest license.
Based on the above, this home is eligible for 5 credits and 5 bonuses.
1 South Ridgedale Avenue
The East Hanover Land Use Planning Board approved Sycamore Propco East Hanover, LLC to
convert an existing office building into a senior living facility at 1 South Ridgedale Avenue on Block
128, Lots 1 and 1.01 via Resolution 9-2018 on February 27, 2018. The facility contains 86 beds
dedicated to extended long-term care (rehabilitation) and 39 beds for assisted living/memory care
residents. The Resolution required the developer to deed restrict four of the 39 assisted
living/memory care units for a minimum of 30 years. The affordable rental units will be age-
restricted. The facility received its CO on January 13, 2020. The deed restriction was initially
recorded on April 25, 2019. However, due to the COVID-19 pandemic, the State took over the facility
and used it for COVID patients. After the temporary use ceased, an Amended Deed Restriction was
recorded on January 20, 2022, which has a 30-year term (see Appendix K).
Pursuant to NJAC 5:93-5.16 (assisted living residence), 1 South Ridgedale Avenue is eligible for 4
credits.
KRE
The 2019 FSHC Settlement Agreement identified the KRE site as an inclusionary mechanism. The
overall KRE tract is located at the intersection of Deforest Avenue and River Road. When the 2020
Housing Element & Fair Share Plan was adopted, the site was identified as Block 42, Lots 37, 38, and
41 by the Tax Map, which comprised approximately 75 acres.
On March 28, 2018, KRE filed a Notice of Motion to Intervene in the Township’s Judgment of
Compliance and was subsequently granted intervention by Order dated April 13, 2018. Multiple
mediation sessions were held between East Hanover, KRE, FSHC, and others, until a final Settlement
Agreement was executed between the Township and KRE on July 29, 2019. Per the terms of the
Settlement Agreement, KRE would construct a 548-unit housing development with a 17.5%
affordable housing set-aside, which translated to 96 total affordable units. Of the 96 total units, 50
Page 46
were required to be family rentals. See Appendix L for a copy of the Settlement Agreement with
KRE.
Since 2019, KRE has subdivided the site and sold a portion of it to Lennar. This section discusses
Block 42, Lot 37.00, the portion of the original KRE tract of which KRE maintains ownership.
The Township adopted Ordinance 11-2019 on August 5, 2019, which created the Residential Multi-
Family Zone on Lots 37, 38, and 41 of Block 42. A copy of the ordinance can be viewed at
https://ecode360.com/13436939#13436939. The Residential Multi-Family Zone permits duplex
dwellings, multi-family dwellings, and townhouse dwellings at a density of 7.4 units per acre, up to
548 units. The Zone also requires a 17.5% affordable housing set-aside.
On June 22, 2021, the Land Use Planning Board approved KRE’s Preliminary and Final Site Plan,
Minor Subdivision, and Preliminary and Final Subdivision application to develop Lots 37, 38, and 41
with an inclusionary multi-family housing development containing 239 multi-family units in five
buildings, 247 townhouse units in 62 buildings, and 62 stacked townhouse units in four buildings,
totaling 548 units. The multi-family unit portion of the approval contained 34 affordable units (KRE),
while the 62 stacked townhouse units within the approved townhome side of the overall tract are
affordable (Lennar). The Board’s approval was memorialized via Resolution No. 19-2021 on August
17, 2021. The approved subdivision created Lots 37.001 through 37.268 of Block 42. KRE owns Lot
37.001, which totals 27.588 acres and contains the 239-unit multi-family portion of the development.
Site improvements include a clubhouse and amenity area for residents, off-street parking areas, etc.
KRE sold Lots 37.002 through 37.268, which contains the townhouse and stacked townhouse portion
of the development to Lennar.
KRE’s inclusionary development includes five residential buildings and a clubhouse. A total of 239
units were issued building permits and constructed. Of this total, 34 are affordable units. The
affordable units were CO’d in 2024 and 2025. The affordable units are family rental units. The
bedroom breakdown is 6 one-bedroom units, 21 two-bedroom units, and 7 three-bedroom units. A
30-year deed restriction was recorded on June 20, 2024 (see Appendix M). Five units are very-low-
income, 13 are low-income, and 16 are moderate-income.
Photo 1 – KRE Development
Page 47
Pursuant to NJAC 5:93-5-6 (inclusionary development), KRE is eligible for 34 credits and 34 bonuses
pursuant to NJAC 5:93-5.15(d)3. It should be noted that the Township was unable to claim rental
bonuses in the Third Round for this mechanism as it did not have a commitment from the developer
that the units would be family rental. Now that the units are built and credit-worthy, they are
eligible for rental bonuses.
Lennar
The Lennar site is part of the overall KRE tract that was identified in the 2019 FSHC Settlement
Agreement. As noted above, the Land Use Planning Board granted KRE’s application to construct a
548-unit inclusionary multi-family development. Subsequently, KRE sold a portion of the approved
development to Lennar to construct the 247 townhomes and 62 stacked townhouse affordable
units. The stacked townhouse units are contained in Building 23 on Lot 37.073 (0.354 acres),
Building 32 on Lot 37.162 (0.367 acres), Building 44 on Lot 37.230 (0.383 acres), and Building 47 on
Lot 37.238 (0.456 acres). The development is accessed from River Road. Building 44 and 47, which
contain 15 and 17 affordable units respectively received a temporary CO in 2024 and residents have
moved into the building. The buildings have a total of 6 one-bedroom units, 19 two-bedroom units,
and 7 three-bedroom units. The affordable units are non-restricted and rental. A 30-year deed
restriction was recorded on December 3, 2024 (see Appendix N). The units meet the income
distribution requirements.
Pursuant to NJAC 5:93-5-6 (inclusionary development), Lennar is eligible for 32 credits for the units
CO’d to date. However, only 22 are allocated to the Prior Round Obligation. Therefore, this
mechanism contributes 22 credits and 22 bonuses pursuant to NJAC 5:93-5.15(d)3.
Photo 2 – Lennar Affordable Building
Third Round RDP Mechanisms & Credits
Two mechanisms have been completed, which are allocated to the TRO RDP. These strategies were
listed in the 2019 FSHC Settlement Agreement and approved by the 2021 Final Order of Judgment of
Compliance and Repose. In addition, the Township has generated surplus credits from the Prior
Round, which can be carried forward to the Third Round RDP.
Page 48
Prior Round Surplus Credits
East Hanover has produced 12 surplus credits to date with the completed mechanisms.
Hanover Estates / Hanover Park
As noted above, Hanover Estates (now known as Hanover Park) contains 74 for-sale affordable units,
which were built between 1994 and 1996. The units originally had 20-year controls, with the option
for the Township to extend the controls. On April 14, 2014 the Township Council adopted
Resolution #71-2014; electing to extend the controls for another 30 years on 73 of the 74 units to
ensure there is an adequate supply of affordable housing in the Township.10 The controls are
extended until April 14, 2044 and until the Township elects to release the units from said restriction.
A Declaration of Restrictive Covenant, Extension of Existing Affordability Controls on Deed-Restricted
Properties was recorded with the Morris County Clerk on May 29, 2014. The Declaration states “This
declaration is intended to make clear in the chain of title for all of the named units in the Hanover
Park Condominium Association, Inc. that the deed restrictions on the units have been extended, and
the units are subject to extended affordability controls limiting the sale, use and re-sale of the units”.
Then on March 7, 2016, the Township Council adopted Resolution #60-2016, as a result of
reconfirming the affordable controls of the 74th unit. This deed restriction extends the controls on
all 74 units. However, as noted above, one of the units is no longer creditworthy.
This mechanism is eligible for crediting pursuant to NJAC 5:97-6.14 (extension of expiring controls).
See Appendix O for the 2014 and 2016 Resolutions.
Based on the above, Hanover Estates is eligible for 73 credits via extensions of controls for the
Township to apply towards addressing its Round 3 RDP – in addition to the credits applied to the
Prior Round Obligation.
60-72 Eagle Rock Avenue
60-72 Eagle Rock Avenue is identified as Block 1.01, Lot 53.02 and encompasses 26.5 acres. In 2021,
E Han, LLC applied for Preliminary and Final Site Plan approval to redevelop the site into a 265-unit
inclusionary multi-family development in four buildings including 53 affordable units. The Board
approved the application on March 8, 2022 and memorialized Resolution No. 10-2022 on April 26,
2022. The affordable units are family rentals. The bedroom breakdown and income distribution
meet the rule requirements and are included in the deed restriction.
A 30-year deed restriction was recorded on June 15, 2023. However, the administrative agent
discovered an error with the income levels of two units and an amended deed restriction was
recorded on March 8, 2024 (see Appendix P).
All four buildings were issued a CO in 2025.
10 As of April 14, 2014, the Township believed one of the affordable units had lost its affordable controls.
Page 49
Photo 3 – 60-72 Eagle Rock
Based on the above information, 60-72 Eagle Rock Avenue is eligible for 53 credits pursuant to NJAC
5:93-5.15 (inclusionary development) and 48 bonus credits pursuant to NJAC 5:93-5.15(d)3.
Third Round Unmet Need Mechanisms & Credits
The Township does not have any existing Third Round Unmet Need credits.
Fourth Round RDP Mechanisms & Credits
There is one completed mechanism to address the Township’s Fourth Round RDP.
Lennar
As noted above, 32 of Lennar’s affordable units have been issued a temporary CO and residents
have moved in. Of the 32 credits, 22 are allocated to the Prior Round Obligation. This leaves ten
completed credits. Therefore, Lennar is eligible for 10 credits pursuant to NJAC 5:93-5-6
(inclusionary development). Additionally, pursuant to NJSA 52:27D-311k.(6), the 10 units are eligible
for one half bonus per unit as the site was a former office building that is being redeveloped to an
inclusionary housing development. Therefore, the inclusionary development is eligible for 5 bonus
credits.
Summary of Existing Mechanisms & Credits
East Hanover has a total of 356 credits and 119 bonuses that can be applied to its various
obligations. See the table on the following page for details.
Page 50
Proposed Mechanisms & Credits
Rehabilitation Mechanisms & Credits
East Hanover does not have a Rehabilitation Obligation, and consequently, no rehabilitation
mechanisms are proposed.
Prior Round Mechanisms & Credits
One mechanism is proposed for the Prior Round Obligation. This strategy was included in the 2019
FSHC Settlement Agreement and the 2021 Final Order of Judgment of Compliance and Repose.
Nike / BNE
Lots 47.02 and 50 in Block 96 are located on the corner of River Road and Nike Drive and comprise
approximately 19 acres. These Township-owned lots are located along Nike Drive, to the south of
the Hanover Estates (Hanover Park) inclusionary development. The site was included in the
Township’s HEFSP that received Substantive Certification in 2000 as a 100% affordable site.
However, the site has remained undeveloped. As outlined in the 2019 FSHC Settlement Agreement,
East Hanover agreed to develop the site with a minimum of 53 affordable units. However, since the
execution of the Settlement Agreement, the Township discovered a crediting issue with 22 Millie
Lane at Hanover Park. Therefore, the Township is increasing the Nike site from 53 affordable units
Mechanism
Credit Type
Tenure
Age-Restricted
Credit Bonus
Total
Hanover Estates / Hanover Park
Inclusionary
Sale
No
73
73
RCA to Newark
RCA
-
-
65
65
Universal Institute -
229 River Road
Alternative Living
Arrangement
Rental
No
5
5
10
Universal Institute -
54 Christine Drive
Alternative Living
Arrangement
Rental
No
5
5
10
1 South Ridgedale Avenue
Assisted Living
Residence
Rental
Yes
4
4
KRE
Inclusionary
Rental
No
34
34
68
Lennar
Inclusionary
Rental
No
22
22
44
208
66
274
Surplus Prior Round Credits (Existing)
12
12
Hanover Estates / Hanover Park
Extension of
Controls
Sale
No
73
73
60-72 Eagle Rock Avenue
Inclusionary
Rental
No
53
48
101
138
48
186
Lennar
Inclusionary
Rental
No
10
5
15
10
5
15
Fourth Round RDP Credits
Total
Existing Mechanisms & Credits
Prior Round Credits
Total
Third Round RDP Credits
Total
Page 51
to 55 affordable units. The 2019 FSHC Settlement Agreement indicates the site may be age-
restricted, inclusionary, 100% family affordable with a veterans’ preference, supportive housing,
assisted living, independent living or any combination of those mechanisms.
As discussed in the 2020 Housing Element & Fair Share Plan, East Hanover initially partnered with
Bergen County United Way (“BCUW”) to construct the development. A letter of intent was submitted
by BCUW in 2019 indicating that they would build at least 53 bedrooms/ units of affordable housing.
Thereafter, in 2020 the Township and BCUW entered into an Agreement of Purchase and Sale, which
delineated the responsibilities of both parties. BCUW did subdivide the property into two pieces via
a lot line adjustment – Block 96, Lots 47.03 and 50.01 in 2023. This subdivision was approved by the
Land Use Planning Board on March 23, 2023 and memorialized on April 25, 2023 via Resolution No.
17-2023. Subsequently, a Minor Subdivision Deed was recorded on June 26, 2023 effectuating the
minor subdivision approval and establishing Lot 47.03 containing 9.949 acres and Lot 50.01
containing 8.931 acres. Despite this achievement, BCUW missed all the deadlines in the Agreement
of Purchase and Sale. In 2024 the Township terminated the agreement.
Meanwhile, the Township issued an RFP in 2023 for approximately half of the site that BCUW was
not utilizing for the 100% affordable development (Lot 50.01). Two responses were received.
Ultimately, the Township awarded the proposal to BNE Real Estate Group (“BNE”). BNE proposed
175 units of age-restricted apartments with a 20% set-aside. The Township then issued a Request
for Proposals (“RFP”) for the second half of the site in 2024. BNE was the only respondent to the
RFP. The 2024 proposal includes 120 age-restricted units with a 20% set-aside on Lot 47.03.
Therefore, the developer proposes a total of 295 age-restricted units, which would include 59 age-
restricted affordable rental units. This proposal produces more affordable units than envisioned in
the 2019 FSHC Settlement Agreement. See Appendix Q for the 2023 and 2024 resolutions awarding
the bids.
On May 5, 2025 the Township Council adopted Ordinance 13-2025, which effectuates minor changes
to the RMF-2 Residential Multi-Family 2 Zone to enable BNE’s concept plan. These minor changes
include, but are not limited to:
The addition of pools, barbecue areas, dog runs, tennis and pickleball courts, and bocce ball
as permitted accessory uses.
Adding a minimum setback of 60 feet along Nike Drive.
Increasing the permitted site yield from 225 units to 295 units.
Increasing the permitted building height to four stories and 55 feet from two stories and 35
feet and specifying how building height is calculated.
Specifying multi-family development requires a 20% affordable housing set-aside.
Eliminating the provision that existing trees within the required buffer cannot be removed.
Modifications to the permitted height of retaining walls.
Page 52
The most recent concept plan is included below.
Since the adoption of the 2025 HEFSP, BNE has filed a preliminary and final site plan application. A
Development Review Committee meeting was held in January 2026 and the applicant will be
submitting revised plans to address the Board professionals’ comments. A public hearing is
expected to occur within the next three to four months.
The affordable housing rules require municipalities to designate sites that are available, suitable,
developable, and approvable, as defined in NJAC 5:93-1. These terms are defined below:
“Approvable site” means a site that may be developed for low- and moderate-income
housing in a manner consistent with the rules or regulations of all agencies with jurisdiction
over the site. A site may be approvable although not currently zoned for low- and moderate-
income housing.
“Available site” means a site with clear title, free of encumbrances which preclude
development for low- and moderate-income housing.
“Developable site” means a site that has access to appropriate water and sewer
infrastructure, and is consistent with the applicable areawide water quality management
plan (including the wastewater management plan) or is included in an amendment to the
areawide water quality management plan submitted to and under review by DEP.
“Suitable site” means a site that is adjacent to compatible land uses, has access to
appropriate streets and is consistent with the environmental policies delineated in NJAC
5:93-4.
Page 53
The Nike/BNE site meets the Four-Prong Test of NJAC 5:93-1 as follows:
Approvable site – Lots 47.03 and 50.01 in Block 96 were rezoned in 2020 to the RMF-2 Zone,
which permits inclusionary multi-family development, assisted living and independent living
facilities, alternative living arrangements, and supportive housing. East Hanover has
awarded an RFP for each property to BNE to develop the site with 295 units of age-restricted
inclusionary multi-family housing. Furthermore, the Township has adopted Ordinance 13-
2025, which effectuates minor changes to the RMF-2 Residential Multi-Family 2 Zone to
enable BNE’s concept plan. A site plan application has been filed and is under review.
Available site – The property is currently owned by the Township of East Hanover. The
Township will transfer the property to BNE when certain milestones are achieved.
Developable – The site is in public water and sewer service areas but is not currently served.
Suitable site – The property is located to the south of Hanover Park, a 370-unit inclusionary
residential development with 74 affordable units. Other adjacent uses include single-family
dwellings to the northeast, commercial and office uses to the east, and vacant land to the
south and west. Other commercial and industrial uses along Route 10 are located to the
south beyond the adjacent vacant land. As for environmental constraints, wetlands are
located to the southeast and west of the site and the associated 150-foot buffer encroaches
into the site. Slopes greater than 15% are also scattered throughout the site including along
Nike Drive and along the eastern property line. Overall, the 18.9-acre site is encumbered by
approximately 5.5 acres of environmental features (29.1%). Both parcels have street
frontage along Nike Drive. See the map on page 54 for the location of these environmental
features. It should be noted that the GIS parcel data has not been updated to reflect the
recorded minor subdivision via a lot line adjustment. Therefore, the original parcels, Lots
47.02 and 50, are displayed.
Based on the information above, the Nike/BNE site would be eligible for a total of 59 credits
pursuant to NJAC 5:93-5.14 (age-restricted housing). However, 53 credits are allocated to the PRO
and six credits will be allocated to the TRO RDP.
Third Round RDP Mechanisms & Credits
Three proposed mechanisms are allocated to the Third Round RDP. Two strategies were included in
the 2019 FSHC Settlement Agreement and the 2021 Final Order of Judgment of Compliance and
Repose.
Surplus Prior Round Credits (Proposed)
As detailed above, the Township has 274 existing credits to address the 262-unit PRO. Therefore, 12
surplus credits exist on the ground today. The proposed Nike/BNE site brings the total existing and
proposed PRO credits to 327, which includes 12 existing surplus credits and 53 proposed surplus
credits. This plan allocates the 53 surplus credits to the TRO RDP.
Nike / BNE
As noted above, 6 credits of the 59 total credits from the Nike/BNE site are allocated to the Third
Round RDP.
ENVIRONMENTAL CONSTRAINTS - NIKE / BNE
BLOCK 96, LOTS 47.02 & 50 (NOW LOTS 47.03 & 50.01)
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
100
200
1 inch = 200 feet
8!
10
Nike Drive
Gina Court
Frankie Lane
Claire Court
Katie Court
Donna Drive
Gracie Road
Frankie Lane
Katie Court
Claire Court
Gracie Road
Nike Drive
Donna Drive
Gina Court
Sabina Terrace
River Road
H
o
rin
g
Co
u
r
t
Lot 50
Lot 47.02
Legend
Nike / BNE
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 55
Third Round Unmet Need Mechanisms & Credits
Six proposed mechanisms are allocated to the Third Round Unmet Need. These strategies were
included in the 2019 FSHC Settlement Agreement and the 2021 Final Order of Judgment of
Compliance and Repose.
Eagle Rock Avenue Overlay Zone
The Eagle Rock Avenue Overlay Zone mechanism presently consists of three properties, located
along Eagle Rock Avenue.11 The properties total 50.7 acres. The following properties are included in
the RMF-2 Residential Multi-Family 2 Overlay Zone:
Block 1.01, Lot 53
Block 1.01, Lot 53.02
Block 1.01, Lot 54.01
The properties are in the Professional and Business Office 3 (“PB-3”) District, which permits office
buildings for business, professional, and administrative offices not engaged in retail or wholesale
and delivery of goods nor the repairing, servicing, or received for repair or service on the premises,
banks and financial institutions, and municipal facilities. Lots 53 and 54.01 are currently developed
with office buildings and parking facilities. Lots 53.01 and 54 were consolidated into one parcel
known as Lot 53.02. This property contains the new 265-unit inclusionary multi-family development
at 60-72 Eagle Rock Avenue. The front half of Lot 53.02 contains the four multi-family buildings,
while the rear half contains stormwater management facilities and recreational space for residents
of the development.
The Township adopted Ordinance No. 19-2019 on December 12, 2019, which established the RMF 2
Overlay District over the properties listed above. The RMF 2 Overlay District permits inclusionary
multi-family residential development at a maximum density of 10 units per acre. A 20% affordable
housing set-aside is required regardless of the development’s tenure. The RMF 2 Overlay District
regulations are located in Section 95-58.8 of the Township’s Land Use and Zoning Ordinance and can
be viewed here: https://ecode360.com/35154870#35154870.
As part of the Township’s Mediation Agreement with FSHC, Lot 54.01 will be amended to a density of
16 units per acre. To achieve this, the site will receive a separate overlay zone to distinguish it from
the other two properties within the RMF 2 Overlay District. However, the base density of 10 units
per acre is still allocated to the Third Round Unmet Need and the increased density of 6 units per
acre is allocated to the Fourth Round Unmet Need.
The Eagle Rock Avenue Overlay Zone mechanism meets the Four-Prong Test, pursuant to NJAC 5:93-
1, as follows:
Approvable site – The Township established the RMF 2 Overlay District over a total of four
properties in 2019, which permits inclusionary development at a density of 10 units per acre.
Two of the properties within the Overlay District were consolidated into one lot, which was
subsequently developed with a 265-unit inclusionary multi-family development. Any owner
11 It should be noted that there were four properties when the prior HEFSP was adopted, however, two lots were consolidated
with the approval of 60-72 Eagle Rock.
Page 56
or contract purchaser can submit an as-of-right application for multi-family development in
the Overlay District.
Available site – The lots within the Overlay are privately owned with no known title or
encumbrance issues. The Township is aware of cross access easements on the properties.
Developable site – All properties included in the Eagle Rock Avenue Overlay Zone are in
water and sewer service areas.
Suitable site – The properties are adjacent to a variety of uses. Interstate 280 is located
directly north, vacant land is located to the east and southeast, commercial uses are present
on Eagle Rock Avenue to the southwest, and single-family residential uses are to the west.
Lots 53.02 and 54.01 have frontage along Eagle Rock Avenue, while Lot 53 does not have
street frontage. However, the property is accessed through Lot 54.01. All properties are
within FEMA’s Special Flood Hazard Area. Additionally, wetlands to the east of the site have a
150-foot wetlands buffer that encroaches along the eastern boundaries of Lots 53 and
54.01. There are two waterbodies in the area, which a tributary of the Passaic River flows
through. A 150-foot Riparian buffer is associated with the tributary. Lastly, slopes greater
than 15% are scattered throughout the site but are primarily located at the edges of the
existing developed areas and along the banks of the waterbodies. In total, approximately
41.2 acres of the 50.7-acre site (81.2%) is encumbered by these environmental constraints.
See the map on page 57 for the location of these environmental features. It should be noted
that the GIS parcel data has not been updated to reflect the consolidation of Lots 53.01 and
54 into Lot 53.02. Therefore, the original parcels, Lots 53.01 and 54, are displayed.
As demonstrated above, the Eagle Rock Avenue Overlay Zone meets the Four-Prong Test and is
eligible for crediting under NJAC 5:93-5.6 (inclusionary zoning). Based on this information, the
Township anticipates this mechanism to provide credits to help address the Third Round Unmet
Need. As discussed in the above section, the rezoning the Township undertook in 2019 has spurred
inclusionary redevelopment.
ENVIRONMENTAL CONSTRAINTS - EAGLE ROCK AVENUE OVERLAY ZONE
BLOCK 1.01, LOTS 53, 53.01, 54, AND 54.01
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
150
300
1 inch = 300 feet
¨§¦
280
611
Mulford Avenu
e
E
v
e
rett Avenu
e
Fourth Street
Tuttle Avenue
Eagle Rock Avenue
Phyldan Roa
d
Pas
s
aic Ri
v
er trib
utary
Pas
saic
R
ive
r tributary
Pa
s
s
a
i
c
R
i
v
e
r tri
b
u
t
ary
Passa
i
c R
i
ver
tribut
ary
Lot 53
Lot 54.01
Lot 53.01
Lot 54
Legend
Eagle Rock Avenue Overlay Zone
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 58
Columbia Turnpike Overlay Zone
The Columbia Turnpike Overlay Zone mechanism concerns Block 127, Lot 1.01. This property is
located in the southwest corner of the Township. The property does not have street frontage but
there is an access road which provides the property with access to Columbia Turnpike. The property
is currently within the I-3 Light Industry Zone, which permits warehouse facilities, the finishing and
assembling of articles made from previously prepared or refined materials, preparation and
fabrication of metals and metal products, self-storage facilities, technical training institutions,
research activities, municipal uses, electronic data centers, and other industrial-style uses.
The Township established the RMF 3 Residential Multi-Family 3 Overlay District over the property on
December 12, 2019 via Ordinance No. 19-2019. The RMF 3 Overlay District permits inclusionary
multi-family residential development at a density of 15 dwelling units per acre. A 20% affordable
housing set-aside is required regardless of unit tenure. The RMF 3 Overlay District regulations are
located in Section 95-53.9 of the Township’s Land Use and Zoning Ordinance and can be viewed
here: https://ecode360.com/35154870#35155128.
The Columbia Turnpike Overlay Zone mechanism meets the Four-Prong Test, pursuant to NJAC 5:93-
1, as follows:
Approvable site – The Township adopted the RMF 3 Overlay District over Lot 1.01 in Block
127 in 2019, which permits inclusionary residential development at a density of 15 units per
acre. Any owner or contract purchaser can submit an as-of-right application for inclusionary
development.
Available site – The site is privately owned with no known title or encumbrance issues.
Developable site – The property is located in water and sewer service areas.
Suitable site – The property is located in the southwest corner of the Township, adjacent to
industrial uses to the north, vacant land to the northeast, east, and south, and the
Morristown Airport to the west. The property does not have direct street access. However,
there is an access road which connects the property to the Columbia Turnpike to the south.
Lot 1.01 is encumbered by wetlands and an associated 150-foot wetlands buffer. The Black
Brook and a tributary are located along the western boundary of the site while the Pinch
Brook flows along the northern and eastern property lines. A 150-foot Riparian buffer is
applicable to these streams. Additionally, the site is within FEMA’s Special Flood Hazard Area
and slopes greater than 15% are located in the south-central portion of the property.
Approximately 53.9 acres of the 63.1-acre site (85.4%) is encumbered by environmental
constraints. See the map on page 59 for the location of these environmental features.
Based on the information above, the Columbia Turnpike Overlay Zone mechanism is eligible for
crediting pursuant to 5:93-5.6 (inclusionary zoning) and could yield credits to address the Third
Round Unmet Need.
ENVIRONMENTAL CONSTRAINTS - COLUMBIA TURNPIKE OVERLAY ZONE
BLOCK 127, LOT 1.01
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
175
350
1 inch = 350 feet
Great Meadow Lane
Black
Brook
Pin
ch B
rook
tri
b
ut
a
ry
Hassolk Broo
k
Bl
ack Brook tributary
Pi
nch Brook
Township
of Hanover
Legend
Municipal Boundary
Columbia Turnpike Overlay Zone
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 60
Ridgedale Avenue B-1 Zone
There are five areas within the Township zoned B-1, Neighborhood Business Zone. Three of these
areas are located along Ridgedale Avenue as shown on the map on page 61. As part of the
Township’s Settlement Agreement with FSHC, East Hanover adopted Ordinance No. 16-2019 on
December 12, 2019, which established multi-family mixed-use development as a conditional use in
the B-1 Zone. Required conditions include having direct frontage on Ridgedale Avenue or Eagle Rock
Avenue, a minimum lot size of 30,000 square feet, a maximum density of 15 units per acre, and a
maximum building height of three stories and 38 feet. Additionally, a 15% affordable housing set-
aside is required for units that are for rent and a 20% set-aside is required for units offered for sale.
Section 95-54E.(2) contains all the required conditions and can be viewed here:
https://ecode360.com/35180192#35180192.
Pursuant to NJAC 5:93-1, the Ridgedale Avenue B-1 Zone conditional use meets the Four-Prong Test
as follows:
Approvable site – In 2019, the Township adopted Ordinance No. 16-2019, which permitted
inclusionary multi-family mixed-used development at a density of 15 units per acre on
properties over 30,000 square feet in the B-1 Zone along Ridgedale Avenue. Any owner or
contract purchaser can submit an as-of-right application.
Available site – There are 21 parcels in the B-1 Zone along Ridgedale Avenue which are
privately owned with no known title or encumbrance issues.
Developable site – All properties in the specified B-1 Zone are located in water and sewer
service areas.
Suitable site – The 21 privately held properties in the B-1 Zone along Ridgedale Avenue are
adjacent to a variety of uses, including single-family homes, schools, government buildings,
commercial, etc. The 21 properties are generally free of environmental constraints.
However, some properties have small areas with slopes 15% or greater. The 15.3-acre area
is encumbered by only 0.9 acres of steep slopes (5.8%). See the map on page 61 for details.
Based on the information above, the Ridgedale Avenue B-1 Zone conditional use mechanism would
be eligible for crediting pursuant to 5:93-5.6 (inclusionary zoning). This mechanism could provide
additional affordable housing credits to help address the Township’s Third Round Unmet Need.
Eagle Rock Avenue B-1 and B-2 Zones
Inclusionary multi-family mixed-use development was established as a permitted conditional use in
the B-1 Zone located along Eagle Rock Avenue, between Ridgedale Avenue and Fifth Street, and the
B-2, Highway Business Zone located along Eagle Rock Avenue via Ordinance No. 16-2019 adopted on
December 12, 2019. As previously stated for the Ridgedale Avenue B-1 Zone mechanism,
inclusionary multi-family residential development above commercial uses is conditionally permitted
on lots fronting Eagle Rock Avenue that have at least 30,000 square feet. A maximum density of 15
units per acre is permitted and the maximum building height is 38 feet and 3 stories. Furthermore,
a 15% affordable housing set-aside is required for units that are for rent and a 20% set-aside is
required for units offered for sale. The required conditions for the B-1 Zone are found in Section 95-
54E.(2), which is linked above, while the required conditions for the B-2 Zone are located in Section
95-55D.(1), which can be viewed here: https://ecode360.com/35180211#35180211.
ENVIRONMENTAL CONSTRAINTS - RIDGEDALE AVENUE B-1 ZONE
VARIOUS BLOCKS & LOTS
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
200
400
1 inch = 400 feet
632
McKinley Avenue
Ridge
dale Avenue
Casey Avenue
Deforest Av
enu
e
C
o
o
lidge Avenue
Gail Driv
e
Barnida Drive
Wilson
Avenue
Ca
m
b
ri
d
ge
R
o
a
d
Co
n
c
o
rd Circle
Wilson Avenue
Revere Court
Cleveland Avenue
K
ennedy Terrace
Roosevelt Avenue
Wilson Avenue
Garde
n
Street
Tro
y
R
oad
Wil
s
on
Avenue West
Ri
d
g
e
d
a
le Avenue
Grant
Avenue
Ridgedale Avenue
S
c
h
o
ol Avenue
Grove Avenue
McKinley Avenue
Grant Avenue
Garfield Avenue
Ward Place
Oxford Drive
P
e
try
D
r
iv
e
Weaver Place
Rona
ld D
rive
L52.01
L52
L54.03
L56
L1
L6
L1
L3
L34.01
L1
L1
L4
L10
L1
L34
L3
L1
L1
L8
L1
Block 42
Block 55
Block
56
Block 59
Block 60
Block 61
Block 67
Block 68
Block 70
Block 77.01
Block
77.03
Legend
Municipal Boundary
Ridgedale Avenue B-1 Zone
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 62
Pursuant to NJAC 5:93-1, the Eagle Rock Avenue B-1 and B-2 Zones conditional use mechanism
meets the Four-Prong Test as follows:
Approvable site - The Township adopted an ordinance in 2019 to establish inclusionary
multi-family mixed-use development in the B-1 and B-2 Zones along Eagle Rock Avenue.
Required conditions include being located along Eagle Rock Avenue, a minimum lot size of
30,000 square feet, a maximum density of 15 units per acre, and a maximum building height
of three stories and 38 feet. Any owner or contract purchaser can submit an as-of-right
application.
Available site – There are 23 privately-owned parcels and one State-owned property, and
four municipally-owned parcels in the B-1 and B-2 Zones along Eagle Rock Avenue. There
are no known title or encumbrance issues on the privately held lots.
Developable site – All properties in the specified Zones are located in water and sewer
service areas.
Suitable site – The properties are surrounded by a variety of uses, including single-family
dwellings, commercial uses, vacant land, and the Township’s Lurker Park. As for
environmental constraints, the B-1 Zone is generally free of environmental constraints,
except for some small areas of slopes greater than 15%. However, the B-2 Zone is
encumbered by wetlands and associated 150-foot buffers, streams and associated 150-foot
riparian areas, and slopes greater than 15%. Additionally, portions of the B-2 Zone are
within FEMA’s Special Flood Hazard Area. A majority of these constraints in the B-2 Zone are
located southeast of Fourth Street. In total, there are approximately 21.7 acres of
environmental constraints in the 33.9-acre area of the B-1 and B-2 Zones. See the map on
the next page for details.
The proposed conditional use in the B-1 and B-2 Zones along Eagle Rock Avenue mechanism is
eligible for crediting pursuant to 5:93-5.6 (inclusionary zoning). This mechanism could yield
affordable housing credits to help address the Township’s Third Round Unmet Need.
Township-Wide Set-Aside
Pursuant to the Settlement Agreement with FSHC, executed on June 3, 2019, the Township adopted
a Township-Wide Set-Aside Ordinance requiring a mandatory affordable housing set-aside for all
new residential developments of five or more units. The required affordable housing set-aside is a
minimum of 20%, regardless of tenure. The Township-Wide Set-Aside Ordinance does not include
residential expansions, additions, renovations, replacement, or any other type of development that
does not result in a net increase of five or more residential units. East Hanover’s Township-Wide
Set-Aside Ordinance is located in Section 95-125G, which can be viewed here:
https://ecode360.com/35180375#35180375.
Based on the information above, this mechanism may yield affordable housing credits, which would
be credited towards the TRO Unmet Need.
ENVIRONMENTAL CONSTRAINTS - EAGLE ROCK AVENUE B-1 AND B-2 ZONES
VARIOUS BLOCKS & LOTS
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
200
400
1 inch = 400 feet
¨§¦
280
632
611
Ridg
edale
Avenue
P
h
yld
an Road
5th Street
E
v
e
rett Ave
n
u
e
Dara Drive
Pollis Driv
e
Tut
tle Avenue
Johnston Place
Hoover Avenue
Fourth Street
Eagle Rock Avenue
Mulford Avenue
River Road
Yale Avenue
Overlook Avenue
Pa
ssaic
Rive
r tribu
t
a
ry
Passaic Riv
er
Passaic River tributar
y
Pass
aic
R
i
ver trib
uta
r
y
P
ass
a
ic Riv
e
r tr
i
b
u
t
ar
y
Pa
s
sa
ic Rive
r trib
u
t
a
ry
Pa
ss
aic Rive
r t
rib
utary
Borough of
Roseland
L1
L8
L14
L24
L19
L15
L10
L1
L24
L16
L2
L1.01
L2
L2
L52
L1
L17
L58
L58
L22
L30
L24
L1
L24
L27
L26
Block 1.01
Block 1.01
Block 1.01
Block 2
Block 21
Block 27
Block 3
Block 3
Block 32
Block 36
Block 37
Legend
Municipal Boundary
Eagle Rock Avenue B-1 Zone
Eagle Rock Avenue B-2 Zone
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 64
Fourth Round RDP Mechanisms & Credits
East Hanover proposes three mechanisms to satisfy the 101-unit Fourth Round RDP.
Surplus Third Round RDP Credits
The existing and proposed Third Round RDP mechanisms will produce a total of 245 credits to apply
against the 191-unit RDP. Therefore, there are 54 surplus credits that can be applied to the Fourth
Round RDP.
Lennar
As discussed above, the townhouse portion of the overall KRE tract is under construction by Lennar.
170 townhomes and 30 affordable units in Buildings 23 and 32 remain to be built. Lennar has
pulled permits for one of the 15-unit affordable buildings, and it is anticipated that this building will
be complete in 2025. The last affordable building consisting of 15 units is estimated to be ready for
occupancy in 2026. These two buildings will contain 4 one-bedroom units, 20 two-bedroom units,
and 6 three-bedroom units. The units will meet the required income distribution. It is this office’s
understanding that the remaining affordable units will be family rental.
The overall concept plan for the Lennar and KRE site is illustrated below. Note that the buildings in
green are the stacked townhouse buildings containing the affordable units.
Page 65
Lennar meets the Four-Prong Test of NJAC 5:93-1 as follows:
Approvable site – The KRE tract was rezoned in 2019 to the RMF Residential Multi-Family
Zone to permit inclusionary multi-family development at a density of 7.4 units per acre up to
548 units. KRE received approval from the Land Use Planning Board in 2021 to construct
239 multi-family units, 247 townhouse units, and 62 affordable stacked townhouse units.
The townhouse portion of the development is under construction by Lennar. Two stacked
townhouse buildings have been completed (Buildings 44 and 47), which total 32 units.
Building 32 is expected to receive a CO in the next month or two and the final affordable
structure (Building 23) is anticipated to be ready for a CO by the end of 2026.
Available site – US Home, LLC (which is Lennar) owns the two affordable stacked townhouse
buildings yet to be CO’d. The Township is unaware of any title issues or encumbrances.
Developable site – The entire KRE tract will be served by water and sewer.
Suitable site – The KRE tract is adjacent to an office use to the north, residential uses to the
east, south, and southwest, a cemetery to the west, and industrial uses to the northwest.
The site has frontage along Deforest Avenue and River Road. The site is generally free of
environmental features except for slopes greater than 15%, which are scattered throughout
the site. Approximately 14.4 acres of the 74.5-acre site (19.3%) contains slopes greater than
15%. However, the location of the two affordable stacked townhouse buildings to be CO’d
do not contain any slopes. See the map on page 66 for the location of the slope areas on the
KRE tract. It should be noted that the GIS parcel data has not been updated to reflect the
minor subdivision and major subdivisions of the KRE tract. Therefore, the original parcels,
Lots 37, 38, and 41, are displayed.
Based on the above information, the Lennar site is eligible for 30 credits pursuant to NJAC 5:93-5.6
(inclusionary development) and 15 bonuses pursuant to NJSA 52:27D-311k.(6).
Mondelez
Lot 37.02 of Block 42, commonly known as 100 Deforest Avenue, is located at the intersection of
River Road and McKinley Avenue (see map on page 67). The 46.118-acre site is owned by Mondelez
Global, LLC. The site contains an office building, surface parking areas, walking paths and other site
improvements. Lot 37.02 is adjacent to residential uses to the north, east, and southeast, the KRE
and Lennar sites to the south and southwest, and industrial uses to the west.
The Mondelez site is in the R-L Research Laboratory and Office Zone, which permits offices for
executive or administrative purposes, limited manufacturing or processing and scientific or research
laboratories, and agriculture. The Township will rezone the property to permit a for-sale, age-
restricted, inclusionary residential development with a maximum of 325 units as-of-right. A
minimum 18% affordable housing set-aside will be required.
ENVIRONMENTAL CONSTRAINTS - LENNAR
BLOCK 42, LOTS 37, 38, AND 41
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
May 27, 2025
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, NJGIN, but this secondary product has
not been verified and is not state-authorized. Aerial image sourced from NearMap, dated March 19, 2025.
0
200
400
1 inch = 400 feet
Preston Avenue
S
amu
e
l
Street
Riv
er Road
B
e
ach Stre
e
t
Lee Place
Herman Street
Mitchell Avenue
D
eforest Avenue
Justin Drive
Terhune Street
S
urrey
Lane
Forest Road
Hugenot Street
Fa
i
rvie
w
D
rive
Canfield Road
Rohn Street
Perry Street
F
a
ir
wa
y D
rive
West St
reet
Lot 41
Lot 38
Lot 37
Legend
Original KRE/Lennar Tract Boundary
Approximate Lennar Tract Boundary
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
150-ft Wetlands Buffer
50-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
ENVIRONMENTAL CONSTRAINTS - MONDELEZ
BLOCK 42, LOT 37.02
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
January 12, 2026
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, and NJGIN, but this secondary product
has not been verified and is not state-authorized. Aerial image sourced from NearMap, dated July 4, 2025.
0
200
400
1 inch = 400 feet
Herman Street
River Road
C
o
olidge Avenue
F
a
irway Drive
Wilson Aven
u
e
Green D
rive
Pa
rk Terrace
Revere Court
Oxford Drive
Shipman Place
Kennedy Terrace
McKinley Avenue
Ba
ybu
r
y
Court
C
harles Lane
Golf Lane
Ivy Co
urt
Samuel Street
S
c
h
r
o
e
d
e
r Terrace
B
e
e
c
h
w
oo
d
L
ane
Cambridge Ro
ad
Bunker Road
Legend
Mondelez
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
50-ft Wetlands Buffer
150-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 68
Pursuant to NJAC 5:93-1, Mondelez meets the Four-Prong Test as follows:
Approvable site – The Township will rezone the site to permit a for-sale age-restricted
inclusionary residential development as-of-right. A maximum of 325 units will be permitted
and an 18% affordable housing set-aside will be required. Once the ordinance is adopted,
any owner or contract purchaser can submit an as-of-right application for inclusionary multi-
family development.
Available site – The site is owned by Mondelez Global, LLC and contains an office building,
off-street parking, and other site improvements. The Township is aware of cross access
easements on the adjacent KRE and Lennar sites to access the property.
Developable site – The property is located within water and sewer service areas.
Suitable site – The property is a corner lot with frontage along River Road and McKinley
Avenue. Surrounding uses include residential uses to the north, east, and southeast, the
KRE and Lennar sites to the south and southwest, and industrial uses to the west. The site
does not contain any water bodies, streams, or wetlands and is not within any riparian zone,
wetlands transition area, or SFHA. However, approximately 5.32 acres of steep slopes are
present on the site. See the map on page 67 for details.
As demonstrated above, the Mondelez site meets the Four-Prong Test and is eligible for crediting
under NJAC 5:93-5.14 (age-restricted housing). Based on this information, Mondelez is eligible for 59
credits. However, only 27 credits are allocated to the Fourth Round RDP. Additionally, pursuant to
NJSA 52:27D-311k.(6), the 27 credits are eligible for 13.5 bonus credits. However, only 5 bonus
credits will be applied as the Township has reached the 25% bonus cap for the Fourth Round RDP
between this site and the Lennar site.
Fourth Round Unmet Need Mechanisms & Credits
Pursuant to the Township’s Mediation Agreement with FSHC, East Hanover has a 101-unit RDP,
which translates to an Unmet Need of 170.
However, the Amended FHA, specifically NJSA 52:27D-310.1, added a new requirement for towns
seeking a VLA. The statute now requires towns to “identify sufficient parcels likely to redevelop
during the current round of obligations to address at least 25 percent of the prospective need
obligation that has been adjusted and adopt realistic zoning that allows for such adjusted obligation,
or demonstrate why the municipality is unable to do so”. Therefore, municipalities seeking a VLA
must identify sufficient parcels that could “realistically” be redeveloped during the current obligation
round (2025 through 2035) to address at least 25% of its prospective need obligation that has been
adjusted. The prospective need obligation that has been adjusted, or RDP, is 101 for the Township.
Therefore, a plain language reading of the statue is “25% of the RDP”.
Therefore, in the case of East Hanover, a 101-unit RDP x 25% = 25.25.
The Township does not believe there is any ambiguity in the words “prospective need obligation that
has been adjusted”. However, FSHC has taken the position that the formula is Unmet Need
multiplied by 25%. For purposes of settlement, the Township and FSHC have agreed that the four
mechanisms below meet the 25% requirement. While the Township agrees to this measure as an
instrument of settling, it should not be considered an admission, nor waiver, of its position on the
25% language located within the FHA. The calculation is:
Page 69
271 Fourth Round Obligation – 146 credits (54 Third Round Surplus + 40 Lennar + 27 Mondelez) =
125 x 25% = 31.25 ~ 32
The following sections describe the proposed mechanisms to address the Fourth Round Unmet
Need.
Surplus Fourth Round RDP Credits
The Fourth Round RDP mechanisms total 146 credits. Subtracting the 101-unit Fourth Round RDP
results in 45 surplus credits that can be carried forward and applied to the Fourth Round RDP.
Mondelez
As noted above, 32 credits of the 59 total credits from the Mondelez site are allocated to the Fourth
Round Unmet Need.
100 Eagle Rock
The 100 Eagle Rock mechanism includes Lot 54.01 of Block 1.01 located along Eagle Rock Avenue,
which is also included in the Eagle Rock Avenue Overlay Zone Third Round Unmet Need mechanism.
The 8.91-acre site is located along Eagle Rock Avenue and is owned by 130 Ferry, LLC. The property
is developed with an office building and parking facilities.
Lot 54.01 is in the PB-3 District, which permits office buildings for business, professional, and
administrative offices not engaged in retail or wholesale and delivery of goods nor the repairing,
servicing, or received for repair or service on the premises, banks and financial institutions, and
municipal facilities. Additionally, the Township established the RMF-2 Overlay District in 2019 along
with adjacent Lots 53 and 53.02. The RMF-2 Overlay District permits inclusionary multi-family
residential development at a maximum density of 10 units per acre. A 20% affordable housing set-
aside is regardless of the development’s tenure. The Township will adopt a new overlay zone over
the property matching the regulations of the RMF-2 Overlay District, except that a maximum density
of 16 units per acre will be permitted. A 20% affordable housing set-aside will still be required. See
Appendix X for a copy of the draft ordinance establishing the new overlay zone.
As 100 Eagle Rock is part of the Eagle Rock Avenue Overlay Zone mechanism, refer to page 62 for
how the site meets the Four-Prong Test.
As part of the Township’s Mediation Agreement with FSHC, the enhanced density of the site
increases the affordable unit yield by 10 units compared to the unit yield of the Eagle Rock Avenue
Overlay Zone mechanism. Therefore, 100 Eagle Rock Avenue is eligible for 10 credits pursuant to
NJAC 5:93-5.6 (inclusionary development).
Route 10 / Littell / Ridgedale
The Route 10 / Littell / Ridgedale mechanism consists of eight properties located within the
triangular area between Route 10, Littell Road, and Ridgedale Avenue. The properties total 8.46
acres. The following properties are included in this site:
Block 129, Lot 1
Block 129, Lot 2
Page 70
Block 129, Lot 4
Block 129, Lot 5
Block 129, Lot 7
Block 129, Lot 7.01
Block 129, Lot 8.02
Block 129, Lot 9.01
The area is developed with one and two-story buildings containing a variety of uses including stores,
personal services, offices, restaurants, and instructional uses. Lots 2, 4, 7, and 7.01 have multiple
uses within the same building. Additionally, Lot 9.01 is developed with a Wawa gasoline station and
convenience store. Surrounding uses include various commercial, office, instructional, and
restaurant uses to the north, a self-storage facility to the east, a warehouse to the south, an assisted
living facility to the southwest, and vacant land to the west.
The properties are in the B-2 Highway Business Zone, which permits business uses serving highway
traffic such as automobile repair garages and shopping centers and business offices, commercial
greenhouses and nurseries, restricted industrial uses, instructional uses, houses of worship, fast-
food restaurants, banquet halls, and permanent cosmetics. The B-2 Zone also allows permitted
business uses in the B-1 Business Zone, which includes single-family dwellings, stores, shops, and
markets, business and professional offices, banks and fiduciary institutions, parking lots for private
passenger and business-related commercial vehicles, restaurants, eatery restaurants, and take-out
restaurants, funeral homes, theater, bowling alley, and similar commercial recreation uses,
automobile sales rooms, instructional uses, permanent cosmetics, and other similar uses to the
aforementioned uses.
The Township will adopt an overlay zone over the properties to permit inclusionary mixed-use
development with a maximum density of 16 units per acre as-of-right. A 20% affordable housing
set-aside will be required, regardless of tenure. The overlay zone will allow permitted B-2 Zone uses
and residential lobbies on the first floor. See Appendix Y for a copy of the draft ordinance
establishing the new overlay zone.
Pursuant to NJAC 5:93-1, Route 10 / Littell / Ridgedale meets the Four-Prong Test as follows:
Approvable site – The Township will adopt an overlay zone to permit inclusionary mixed-use
development as-of-right. A maximum density of 16 units per acre will be permitted and a
20% affordable housing set-aside will be required, regardless of tenure. Once the ordinance
is adopted, any owner or contract purchaser can submit an as-of-right application for
inclusionary multi-family development.
Available site – The properties are privately owned and are developed with commercial,
office, multi-tenant buildings, and a gasoline service station and include off-street parking
and other site improvements. The Township is unaware of any easements or
encumbrances.
Developable site – The properties are located within water and sewer service areas.
ENVIRONMENTAL CONSTRAINTS - ROUTE 10 / LITTELL / RIDGEDALE
BLOCK 129, LOTS 1, 2, 4, 5, 7, 7.01, 8.02, & 9.01
TOWNSHIP OF EAST HANOVER
MORRIS COUNTY, NEW JERSEY
February 9, 2026
EHT017A
This map was developed using GIS digital data from FEMA, NJDEP, NJDOT, and NJGIN, but this secondary product
has not been verified and is not state-authorized. Aerial image sourced from NearMap, dated October 4, 2025.
0
100
200
1 inch = 200 feet
8!
10
632
Littell Road
Ridgedale Avenue
Whippany River tributary
Whippany R
ive
r
Lot1
Lot2
Lot5
Lot7
Lot8.02
Lot4
Lot7.01
Lot9.01
Township
of Hanover
Legend
Municipal Boundary
Route 10 / Littell / Ridgedale
Parcels
Non-Category 1 Streams
Waterbodies
150-ft Riparian Buffer
Wetlands
50-ft Wetlands Buffer
150-ft Wetlands Buffer
FEMA Special Flood Hazard Area
Slopes greater than 15%
Page 72
Suitable site – All nine properties have frontage along Route 10. Additionally, Lots 1 and 2
have frontage along Littell Road and Lots 7.01 and 9.01 have frontage along Ridgedale
Avenue. Surrounding uses include a variety of retail stores, personal services, instructional
uses, offices, and restaurants to the north, a self-storage facility to the east, a warehouse to
the south, an assisted living facility to the southwest, and vacant land to the west. The site
does not contain any water bodies, streams, or wetlands and is not within any riparian zone,
wetlands transition area, or SFHA. However, approximately 1.5 acres of steep slopes are
present on the site. It should be noted that the mapped steep slopes appear to be located
within existing developed areas including buildings and parking areas. See the map on page
71 for details.
As demonstrated above, the Route 10 / Littell / Ridgedale site meets the Four-Prong Test and is
eligible for crediting under NJAC 5:93-5.6 (inclusionary development). Based on this information, the
site is eligible for 27 credits assuming all the properties are redeveloped.
Summary of Proposed Mechanisms & Credits
The table on the following page summarizes the mechanisms and credits East Hanover proposes to
address its four-part affordable housing obligation.
Page 73
Summary of Mechanisms & Credits
The table on the following page provides a summary of the mechanisms, credits, and bonuses this
HEFSP proposes. It should be noted that all proposed mechanisms will meet the required very-low,
low-, and moderate-income distribution and will abide by the UHAC rules in place at the time of
Board approval regarding bedroom distribution.
Mechanism
Credit Type
Tenure
Age-Restricted
Credit Bonus
Total
Nike / BNE
Inclusionary
Rental
Yes
53
53
53
0
53
Surplus Prior Round Credits
53
53
Nike / BNE
Inclusionary
Rental
Yes
6
6
59
0
59
Eagle Rock Avenue Overlay Zone
Inclusionary
TBD
TBD
TBD
TBD
Columbia Turnpike Overlay Zone
Inclusionary
TBD
TBD
TBD
TBD
Ridgedale Avenue B-1 Zone
Inclusionary
TBD
TBD
TBD
TBD
Eagle Rock Avenue B-1 and
B-2 Zones
Inclusionary
TBD
TBD
TBD
TBD
Township-Wide Set-Aside
Inclusionary
TBD
TBD
TBD
TBD
TBD
TBD
Surplus Third Round RDP Credits
54
54
Lennar
Inclusionary
Rental
No
30
15
45
Mondelez
Inclusionary
Sale
Yes
27
5
32
111
20
131
Surplus Fourth Round RDP Credits
45
45
Mondelez
Inclusionary
Sale
Yes
32
32
100 Eagle Rock
Inclusionary
TBD
No
10
10
Route 10 / Littell / Ridgedale
Inclusionary
TBD
TBD
27
27
114
0
114
Third Round Unmet Need Credits
Third Round RDP Credits
Proposed Mechanisms & Credits
Prior Round Credits
Total
Total
Fourth Round Unmet Need Credits
Total
Total
Fourth Round RDP Credits
Total
Page 74
Mechanism
Credit Type
Credit Bonus
Total
Hanover Estates / Hanover Park
Inclusionary
73
73
RCA to Newark
RCA
65
65
Universal Institute - 229 River Road
Alternative Living Arrangement
5
5
10
Universal Institute - 54 Chirstine Drive
Alternative Living Arrangement
5
5
10
1 South Ridgedale Avenue
Assisted Living Residence
4
4
KRE
Inclusionary
34
34
68
Lennar
Inclusionary
22
22
44
Nike / BNE*
Inclusionary
53
53
261
66
327
Surplus Prior Round Credits (Existing)
12
12
Surplus Prior Round Credits (Proposed)
53
53
Hanover Estates / Hanover Park
Extension of Controls
73
73
60-72 Eagle Rock Avenue
Inclusionary
53
48
101
Nike / BNE*
Inclusionary
6
6
197
48
245
Eagle Rock Avenue Overlay Zone*
Inclusionary
TBD
TBD
Columbia Turnpike Overlay Zone*
Inclusionary
TBD
TBD
Ridgedale Avenue B-1 Zone*
Inclusionary
TBD
TBD
Eagle Rock Avenue B-1 and B-2 Zones*
Inclusionary
TBD
TBD
Township-Wide Set-Aside*
Inclusionary
TBD
TBD
TBD
0
TBD
Surplus Third Round Credits
54
54
Lennar*†
Inclusionary
40
20
60
Mondelez
Inclusionary
27
5
32
121
25
146
Surplus Fourth Round RDP Credits
45
45
Mondelez*
Inclusionary
32
32
100 Eagle Rock*
Inclusionary
10
10
Route 10 / Littell / Ridgedale*
Inclusionary
27
27
114
0
114
Existing & Proposed Credits
Prior Round RDP Credits
Total
Total
*Proposed Mechanisms
†10 credits and 5 bonus credits from Lennar allocated to the Fourth Round RDP are existing.
Third Round RDP Credits
Total
Third Round Unmet Need Credits
Total
Fourth Round RDP Credits
Fourth Round Unmet Need Credits
Total
Page 75
XIII. Implementation Schedule
The chart on the following page provides an anticipated implementation schedule for the
mechanisms that are proposed within the Township of East Hanover.
Page 76
Mechanism
'26
'27
'28
'29
'30
'31
'32
'33
'34
'35
Application Review & Approval
Construction
Occupancy
Construction
Occupancy
Application Review & Approval
Construction
Occupancy
Application Review & Approval
Construction
Occupancy
Application Review & Approval
Construction
Occupancy
Application Review & Approval
Construction
Occupancy
Application Review & Approval
Construction
Occupancy
Adopt Ordinance
Application Review & Approval
Construction
Occupancy
Adopt Ordinance
Application Review & Approval
Construction
Occupancy
Adopt Ordinance
Application Review & Approval
Construction
Occupancy
100 Eagle Rock
Route 10 / Littell / Ridgedale
Implementation Schedule
Nike / BNE
Lennar
Eagle Rock Avenue Overlay Zone
Columbia Turnpike Overlay Zone
Ridgedale Avenue B-1 Zone
Eagle Rock Avenue B-1 and B-2 Zones
Township-Wide Set-Aside
Mondelez
Page 77
XIV. Implementing Documents
The deadlines prescribed in the Amended FHA failed to realize the multitude of moving parts in the
world of affordable housing. On December 20, 2024, the Housing and Mortgage Finance Agency
(“HMFA”) adopted “amendments” to the Uniform Housing Affordability Controls (“UHAC”). These
special adopted rules are hardly amendments as there are widespread and dramatic changes
throughout the 192-page document. Furthermore, these rules are only effective until December 19,
2025, or such earlier date at which time the HMFA amends, adopts, or readopts the rules pursuant
to the New Jersey Administrative Procedure Act.
The HMFA then proposed the readoption of the specially adopted amendments and other proposed
rulemaking actions to the UHAC rules, which was published in the New Jersey Register on July 21,
2025. Public comments were accepted through September 19, 2025 on the 2025 proposed rules.
Meanwhile, on March 17, 2025, the State issued proposed rules (NJAC 5:99), which are open for
public comment until May 16, 2025. These rules concern the municipal ordinance requirements for
development fees; monitoring requirements; regulations regarding municipal housing liaison and
administrative agents, etc.
On December 15, 2025 the new NJAC 5:99 and UHAC rules were published. These regulations
impact several of the standard implementing documents that typically accompany a HEFSP. The
below documents will be updated as needed to comport with the newly adopted regulations:
1. Affordable Housing Ordinance
2. Development Fee Ordinance
3. Affirmative Marketing Plan
4. Operating Manuals
5. Affordability Assistance Mini-Manuals
A copy of the Affirmative Marketing Plan and associated approving resolution are included in
Appendix R. Both of these documents were approved by the 2021 Final Judgment of Compliance
and Repose. A copy of the operating manuals and associated governing body resolution are
included in Appendix S. All of these documents were approved by the 2021 Final Judgment of
Compliance and Repose.
A copy of the Township’s current Development Fee Ordinance can be found in Chapter 95 Land Use
and Zoning, Article VII Zoning, Section 68.1 Affordable Housing Development Fees
(https://ecode360.com/13436416#14237382). East Hanover’s current Affordable Housing Ordinance
can be found in Chapter 95 Land Use and Zoning, Article XII Affordable Housing Regulations
(https://ecode360.com/35154852#35154852).
R:\Projects\E-H\EHT\EHT017A\Reports\Fourth Round HEFSP\Amended HEFSP\260212dag_EHT_Fourth_Round_HEFSP_Amended_ADOPTED.docx
Page 78
XV. Appendix
A. COAH Second Round Substantive Certification
B. 2019 FSHC Settlement Agreement
C. 2021 Final Order of Judgment of Compliance and Repose
D. Township Council Resolution No. 58-2025 Committing to Fourth Round Obligation
E. 2025 Complaint for Declaratory Relief
F. Decision and Order Fixing Municipal Obligations
G. Fourth Round Vacant Land Adjustment
H. Hanover Park Documents - 1992 Master Deed, Affordable Housing Agreement, Repayment
Mortgage with Deed Restrictions
I.
229 River Road Housing Survey, Current License
J.
54 Christine Drive Current License
K. 1 South Ridgedale Avenue 2022 Deed Restriction
L. 2019 KRE Settlement Agreement
M. KRE 2024 Deed Restriction
N. Lennar 2024 Deed Restriction
O. Hanover Park 2014 and 2016 Resolutions Extending the Deed Restriction
P. 60-72 Eagle Rock Avenue 2023 Deed Restriction
Q. Council Resolutions 175-2023 and 212-2024 Awarding Nike Bid
R. Affirmative Marketing Plan and 2019 Resolution
S. Operating Manuals and 2019 Resolution
T. 2026 Spending Plan and Council Resolution 89-2026
U. 2026 Municipal Housing Liaison Council Resolution 59-2026
V. 2025 Administrative Agent Council Resolution 158-2025
W. Land Use Planning Board Resolution Adopting 2025 HEFSP
X. 100 Eagle Rock, Ordinance 02-2026
Y. Route 10 / Littell / Ridgedale, Ordinance 03-2026
Z. Land Use Planning Board Resolution Adopting Amended 2025 HEFSP
AA. Council Resolution 90-2026 Adopting Affirmative Marketing Plan
BB. Council Resolution 91-2026 Endorsing Amended 2025 HEFSP
CC. Ordinance 04-2026 Affordable Housing Ordinance
DD. Ordinance 05-2026 Development Fee Ordinance
EE. Draft Ordinance 06-2026 Amending RMF-4 Overlay District
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