Keansburg developer: Owner of 'tired old amusement park' holds town back with lawsuits

KEANSBURG - Ray O’Hare has a message for Keansburg Amusement Park’s owners and patrons as the legal battle continues over the future use of certain beachfront lots amid a nascent redevelopment project.

“We are not trying to squeeze them out,” O’Hare, the borough manager and longtime power broker, told the Asbury Park Press. “If we work together, everyone is going to benefit. That’s what we want — and to stop the waste of money in courts.”

Last month the amusement park’s parent company, Jersey Shore Beach and Boardwalk, filed a lawsuit against the state, the borough and O’Hare to halt the repurposing of the 400-spot municipal lot used by park visitors into a spot for beachfront apartments.

“I am aghast at this,” park co-owner Hank Gehlhaus told the Asbury Park Press at the time. “The endgame here is they’re trying to squeeze me out. They (borough officials) would love to see me out.”

The Baypoint redevelopment project along Carr Avenue in Keansburg is shown across Beachway Avenue from the Keansburg Amusement Park Tuesday, October 3, 2023, two years after groundbreaking. Baypoint is supposed to bring 700 luxury apartment units, 45,000 square feet of restaurant, entertainment and retail space, and 1,000 parking spaces to Carr and Beachway avenues.

A full copy of the lawsuit can be seen at the bottom of this story.

Developer Carter Sackman, whose Sackman New Jersey firm is nearing completion of phase one of the Baypoint-Keansburg Waterfront District project, echoed O’Hare’s objection to that characterization.

“We were looking for a capital infusion that can help enhance what’s already there,” Sackman told the Press. “Everyone that’s visited that amusement park knows there’s a lot of rides that are in disrepair. There’s no central community boardwalk that’s integrated into the neighborhood. We were looking to see ways in which this capital could be raised, and he could take that next step instead of having a tired old amusement park.

He added, “It wasn’t to eliminate the amusement park. It was to enhance the amusement park.”

Hank Gehlhaus, owner of Keansburg Amusement Park, talks about his fight with the borough over a possible loss of one of his biggest parking lots, in Keansburg, NJ Friday, December 15, 2023.
Hank Gehlhaus, owner of Keansburg Amusement Park, talks about his fight with the borough over a possible loss of one of his biggest parking lots, in Keansburg, NJ Friday, December 15, 2023.

In reaction to those comments, Gehlhaus reiterated Tuesday that he welcomes the redevelopment but draws a line when it impacts parking for his patrons.

“Keansburg Amusement Park has endured for 120 years and four generations of my family — we even weathered superstorm Sandy and rebuilt the entire facility from the ground up,” Gehlhaus said. “Faced with the borough of Keansburg joining forces with Sackman Enterprises to eliminate over 400 parking spaces, we have no choice but to fight back.”

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Project underway

The vast majority of the municipal lot, which abuts the amusement park to the west, is owned by the state under the management of the Department of Environmental Protection’s Tidelands Resource Council.

The lawsuit, filed in Mercer County Superior Court by attorney Ron Gasiorowski of the Red Bank firm Gasiorowski & Holobinko, seeks to block the sale and conversion of the lot into “a high-density apartment complex.”

In its totality, Baypoint-Keansburg Waterfront District seeks to transform a blighted stretch of the borough by building 700 luxury apartment units and 45,000 square feet of restaurant, entertainment and retail space.

The first phase of the Baypoint redevelopment project at 19 Carr Ave. in Keansburg is nearing completion.
The first phase of the Baypoint redevelopment project at 19 Carr Ave. in Keansburg is nearing completion.

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Sackman New Jersey, which is based in Asbury Park, broke ground on the first phase of the redevelopment project at 19 Carr Ave. — a block inland from the amusement park — in October 2021. That complex, which is residential with ground-floor retail, will start being marketed in March for residential; the retail space is being marketed now.

Carter Sackman confirmed that a later phase includes waterfront apartment buildings along Beachway Avenue, next to the amusement park.

“We came out a master plan that (Gehlhaus) liked,” Sackman said. “A community boardwalk, alternative parking, a two-level pavilion — we had our boardwalk raised up to dune height. so you had unobstructed views.”

Conceptual building view of the Beachway Avenue phase of the Baypoint redevelopment project in Keansburg.
Conceptual building view of the Beachway Avenue phase of the Baypoint redevelopment project in Keansburg.

The alternate parking he referenced would include parking under the raised boardwalk and 150 spots on Lot 3, a property the park leases from Keansburg for its go-kart track — which is the source of another lawsuit the park filed against the borough in 2020 over which party actually owns it.

As far as Gehlhaus is concerned, that’s still a net loss of 250 spots. Sackman said a potential parking deck on Lot 3 also has been discussed.

“Why should our guests who both frequent us and the free beach be denied parking? For what is known as progress?” Gehlhaus said. “Five apartment buildings with water views — that’s progress? I am all for development. I even applaud him for the initial apartment building I see being constructed on Carr Avenue, and I truly though it was possible to work with him. But when I see the dealings behind closed doors, I part company.”

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Conceptual building view of the Beachway Avenue phase of the Baypoint redevelopment project in Keansburg.
Conceptual building view of the Beachway Avenue phase of the Baypoint redevelopment project in Keansburg.

O’Hare and Sackman say they have been up front with Gehlhaus and discussed plans with him at length.

“We told him, ‘We want you to be a part of the process,' and he just doesn’t,” O’Hare said.

Intractable standoff?

O’Hare and Sackman said the municipal lot in question gets “very limited” use out of season. Gehlhaus said his concerns about parking for his patrons — and thus his business — has fallen on deaf ears.

The standoff seems intractable and destined to be decided by a judge. The borough has not yet filed a legal response to the amusement park's lawsuit over the municipal parking lot.

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“What Hank is doing is he’s throwing a wedge into the redevelopment of this district,” Sackman said. “This would have a significant positive impact on the community. You can’t have a tired old amusement park, and hold back these community benefits we’re looking to accomplish and hold everybody hostage and throw out all these lawsuits to drag it down — for what purpose? For a hobby?”

Gehlhaus said he will continue to speak out about it.

“I have never shied away from making my views known,” he said.

Keansburg lawsuit by Dennis Carmody on Scribd

Jerry Carino is community columnist for the Asbury Park Press, focusing on the Jersey Shore’s interesting people, inspiring stories and pressing issues. Contact him at jcarino@gannettnj.com.

This article originally appeared on Asbury Park Press: Developer says owner of Keansburg Amusement Park holds town back