Franklin Lakes approves rezoning of Cigna property. Here's what it means

Marsha A. Stoltz, NorthJersey.com
Updated ·3 min read

FRANKLIN LAKES — The Borough Council has passed an ordinance that rezones the 89-acre Cigna property for affordable housing use.

The vote Thursday night was a condition of approval stemming from an Oct. 24 Superior Court fairness hearing for the borough's settlement agreements with developer S. Hekemian Group, trading as SHG Franklin Lakes LLC.

The Planning Board approved an amendment to its housing element in September declaring that the Cigna proposal was consistent with its master plan.

The former IBM/Express Scripts 88-acre campus at 400 Parsons Pond Road, Franklin Lakes, now owned by Cigna Corporation's Medco Health Solutions, will be the subject of hearings beginning Wednesday on a proposed 585-unit multi-housing development.
The former IBM/Express Scripts 88-acre campus at 400 Parsons Pond Road, Franklin Lakes, now owned by Cigna Corporation's Medco Health Solutions, will be the subject of hearings beginning Wednesday on a proposed 585-unit multi-housing development.

The next steps, said Business Administrator Gregory Hart, are the "presentation of a site plan application by the developer" at an unspecified date and the completion of several procedural items ordered at the fairness hearing.

In a statement issued Friday, Mayor Charles Kahwaty called the vote the result of "a two-year process involving two governing bodies to reach a settlement with the S. Hekemian Group (SHG) regarding the development of the former CIGNA property."

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Thought he said he believes this "is the best resolution that could be achieved for our borough," Kahwaty said "no one should be under the illusion that we welcome extensive construction on this property that will further burden municipal services." The courts are using the Mount Laurel doctrine, he said, "having imposed obligations that no municipality should have to bear. All that being said, I am gratified that our negotiations have resulted in a substantial reduction in the number of units that could have been built on the property and that the court has affirmed our agreement with the developers.”

Voting in favor of the ordinance were council President Dennis Bonagura, Joel Ansh, Thomas Lambrix and Gary Sheppard, meeting the "supermajority" requirement in a petition filed by residents. Voting against it were Councilwomen Ardith Cardenas and Gail A. Kelly.

The 89-acre Cigna property in Franklin Lakes includes a 16-acre forest conservation area (upper left). The site is now vacant. Much of the property's office buildings and parking lots will be removed to make way for multiple housing and office/retail space.
The 89-acre Cigna property in Franklin Lakes includes a 16-acre forest conservation area (upper left). The site is now vacant. Much of the property's office buildings and parking lots will be removed to make way for multiple housing and office/retail space.

How did Franklin Lakes get here?

  • Feb. 1: A combined meeting of the Borough Council and Planning Board hears a preliminary proposal by S. Hekemian Group for 650 multi-housing units on the 89-acre site of the former Cigna/IBM/Express Scripts office complex: 585 units plus a 65-unit affordable housing complex previously planned for McCoy Road.

  • March 29: The council approves a revised settlement agreement proposing 305 multi-housing units and 495,000 square feet of warehouse space: 250 units, of which 15% to 20% would be affordable, plus the 65-unit affordable housing complex previously planned for McCoy Road.

  • May 2: An ordinance to amend the borough's affordable housing plan to add the 89-acre former Cigna/IBM/Express Scripts site is introduced.

  • Aug. 24: The council approves two settlement agreements for two options on the development of the site.

  • The SHG Residential Option calls for 495 units, 62 affordable; a donation of 3.5 acres for the McCoy Road project, and 70,000 square feet of office/retail space.

  • The SHG Federal Use Option calls for 250 multi-family units, 62 affordable; donation of 3.5 acres for the McCoy Road complex, 70,000 square feet of office/retail space, and 330,000 square feet of "federal use" space, with prohibitions on prisons, hazardous materials and warehouses except for the storage of currency, monetary assets and valuable metals.

This article originally appeared on NorthJersey.com: Franklin Lakes OKs rezoning of Cigna land. Here's what it means