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Paramus Drastically Reduces Affordable Housing Obligation by 68% in Latest Fair Share Plan

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the staff of the Ridgewood blog

PARAMUS, NJ — In a significant development for one of Bergen County’s most densely developed communities, Paramus has successfully cut its state-mandated affordable housing obligation from 1,000 units to just 316 — a 68% reduction.

The change was unveiled during a public hearing on June 25, when the Paramus Planning Board unanimously adopted its Fourth Round Housing Element and Fair Share Plan, a requirement under New Jersey state law to ensure municipalities provide their fair share of affordable housing.

Paramus Responds to Overdevelopment Concerns

Mayor Chris DiPiazza praised the outcome:

“I’m happy with the hard work the planners, the attorneys, and the governing body put in to try and get that number as low as possible. We’re going to continue to protect Paramus residents from overdevelopment and urge state legislators to really put a pause on the mandates.”

The announcement came just days after nearby Mahwah managed to lower its obligation from 629 units to only 3.

How Paramus Reduced Its Housing Quota

The borough based its new total on a Vacant Land Adjustment — a legal planning mechanism available to “built-out” municipalities with little developable space. The town partnered with DMR Architects to assess land availability and determine a “realistic development potential.”

According to the Fair Share Plan:

  • 87 units will satisfy the town’s realistic development potential, already accounted for by approved redevelopment projects.

  • The remaining 229 units fall under the “unmet need” category, which can be addressed through future zoning and redevelopment strategies, particularly within the commercial corridor.

Projects under consideration to help meet the unmet need include:

  • Mixed-use development at Garden State Plaza

  • Residential redevelopment of vacant or underutilized nursery properties

🗓️ What’s Next for Paramus?

To remain in compliance and avoid costly “builder’s remedy” lawsuits, Paramus and all NJ municipalities must:

  • Adopt housing plans by June 30, 2025

  • Finalize related ordinances and redevelopment plans by March 15, 2026

  • Prepare for possible challenges from developers (due by August 31, 2025)

Borough planner Dan Hauben expressed confidence in the plan, noting that a legal challenge is unlikely based on the strength of the borough’s analysis.

Legal Context: Affordable Housing in NJ

New Jersey municipalities must comply with state housing mandates as outlined by the Mount Laurel Doctrine, which requires towns to provide realistic opportunities for the development of affordable housing. The Fourth Round obligations span the period from 2025 to 2035 and aim to create 85,000 affordable units statewide.

While recent court rulings have reaffirmed the state’s housing rules, many towns — including Paramus — have successfully argued for reduced obligations based on real-world development limitations.

Key Takeaways

  • Original Obligation: 1,000 units

  • Revised Total: 316 units

  • Reduction: 68%

  • Realistic Development Potential: 87 units

  • Unmet Need: 229 units

  • Strategy: Commercial corridor redevelopment & zoning flexibility

 

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5 thoughts on “Paramus Drastically Reduces Affordable Housing Obligation by 68% in Latest Fair Share Plan

  1. You know the greedy developers will challenge this and eventually get their way, especially in Paramus.

  2. The mayor is quoted as saying, “We’re going to continue to protect Paramus residents from overdevelopment”. Seriously? From the most OVERDEVELOPED TOWN EVER. Laughable. Bring on Costco, mayor.

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  3. Won’t it be grand when the population of Bergen County is 10 million?

    1. It’ll look like Brookly and Queens in no time…

  4. Thank you George Flyod for overdosing on fentanyl. Now we have developers destroying our land to build affordable housing for outsiders and illegal immigrants who are already likely taking advantage of our system.

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