There was another sigh of relief for developers in New Jersey as legislation to further extend the Permit Extension Act of 2008 passed both houses last week, keeping project approvals alive as developers wait for further improvement in the economy. The bill has now been sent to Governor Christie who is expected to sign it this week.
On September 6, 2008, Governor Corzine signed the Permit Extension Act of 2008 into law. The act aimed to alleviate some of the economic distress on the real estate market by extending certain development permits through July 1, 2010. The process of renewing permits is often costly and time consuming, and in some cases impossible due to changes in law. An automatic extension allows developers to save money and conserve resources they would otherwise need to expend on permit renewals.
The act was amended in 2010 to further extend those permits through December 31, 2012. Bill A1338/S743, passed by the Assembly last Monday and by the Senate on Thursday, will extend the permit expiration date to December 31, 2014. Additionally, the bill will also amend the definition of “extension area” to include designated areas within the Highlands and Pinelands, excluding areas designated as Planning Area 4B (Rural/Environmentally Sensitive) and Planning Area 5 (Environmentally Sensitive), unless designated as a growth center in an endorsed plan.