The Battle for Linwood Avenue: Valley Hospital Sues Ridgewood Over Future of Iconic Site
the staff of the Ridgewood blog
RIDGEWOOD, NJ — The long-standing tension between the Ridgewood Hospital Association and the Village of Ridgewood has officially reached the courtroom. A high-stakes lawsuit filed in early 2026, Ridgewood Hospital Association Inc. v. Village of Ridgewood (Docket No.: BER-C-000017-26), marks a critical turning point for one of the most valuable pieces of real estate in Bergen County.
At its heart, the case is a fight over what happens next to the original 15-acre Valley Hospital campus now that acute-care services have moved to Paramus.
The Conflict: A Health Campus vs. Neighborhood Character
Since the opening of the state-of-the-art Valley Hospital in Paramus, the future of the Linwood Avenue property has been uncertain.
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The Hospital’s Vision: The Ridgewood Hospital Association proposes a “health and wellness campus” featuring specialized medical services.
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The Village’s Stance: Local officials and residents are pushing for strict zoning to prevent high-density development, citing concerns over traffic and the residential feel of the neighborhood.
3 Key Arguments in the Lawsuit
The Hospital Association’s legal team is challenging the Village’s zoning restrictions in the Bergen County Superior Court (Chancery Division), alleging the following:
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“Arbitrary and Capricious” Zoning: The suit claims the Village is unfairly blocking medical uses that would benefit public health.
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Constitutional “Takings” Claim: The Association argues that by restricting the land so severely, the Village is effectively stripping the property of its value without compensation.
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Master Plan Inconsistency: The lawsuit suggests the Village’s new zoning amendments contradict their own long-term planning goals.
Legal Insider Tip: The “C” in the docket number (BER-C-000017-26) indicates this is a Chancery case. In New Jersey, this means the hospital isn’t just looking for a payout—they are asking a judge to force the Village to change its laws.
Why This Matters for Ridgewood Residents
This case represents the final chapter in a decades-long struggle. For the Village, it is about preserving the quiet, residential integrity of the Linwood area. For the Hospital Association, it is a necessary step to utilize a massive asset to support their healthcare network.
Ridgewood Hospital Association and the Village of Ridgewood, Village Manager Keith Kazmark has primarily centered his public claims on the fiscal and regulatory impact of the hospital property’s transition.
Because the lawsuit (Docket No. BER-C-000017-26) is active, Kazmark has been careful to limit specific legal commentary, but his public statements and Village reports outline the following key positions:
1. The “Tax Windfall” Argument
Kazmark has argued that the hospital property is a massive ratable (taxable asset) that the Village is legally required to tax. He revealed that:
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The transition of the campus from a tax-exempt “community service” entity to a regular taxpayer added approximately $200 million in new ratables to the tax base.
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He claims that this added revenue prevented a much larger property tax hike for Ridgewood residents in 2025 and 2026.
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He emphasizes that the Village cannot ignore these taxable properties and must follow State statutes when preparing the budget, regardless of the hospital’s litigation.
2. Resistance to “Spot Zoning”
A central theme in Kazmark’s reports is the preservation of the Village Master Plan. He has suggested that:
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The Village’s zoning decisions are designed to protect the residential character of the Linwood Avenue area.
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He has framed the Village’s restrictions not as an attack on healthcare, but as a defense against high-density over-development that would lead to unmanageable traffic and noise in a residential neighborhood.
3. Legal Risk and Transparency
Kazmark has openly conceded the litigation risk involved in this case. While he defends the Village’s zoning, he has noted:
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The Village cannot publicly discuss specific strategies while the case is “pending litigation.”
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He has consistently pushed back against “false information” on social media regarding how much the Village will spend on legal fees, claiming the administration is being as transparent as possible within the bounds of legal confidentiality.
4. Public Health vs. Land Use
While the Hospital Association claims the Village is blocking “essential health services,” Kazmark’s administration has pivoted to other public health wins—like Ridgewood being named a “Healthy Town” for 2025—to argue that the Village is supportive of wellness, even if it opposes this specific development project.
Summary of the Village’s Defense
In short, Keith Kazmark is framing the Village’s defense as a matter of law and fiscal responsibility. He claims the Village is simply following the rules for taxation and community planning, while the Hospital Association is attempting to force a development that the local infrastructure cannot support.
Current Case Status: March 2026
The litigation is currently in the discovery and motion phase. As both sides gather evidence, the community waits to see if the court will uphold the local zoning ordinances or pave the way for a new era of medical development in Ridgewood.
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They LIED to you about the percentage increase in spending for the last budget by including Valley Hospital in the base when that remains in doubt. They concentrated on the “tax rate increase” instead of quoting the “spending percentage increase”.
Taxes went up 3.14%
Municipal spending went up 6.32%
Municipal taxes did go up by 6+%.
For existing homes the impact was less because they added valley to the ratables.
So the bottom line is what is that property worth. Just curious, I could see any lawsuits coming to the Valley hospital, will go on for a long time.
The Village erred in not supporting Valley, causing the loss of a top-tier nationally recognized hospital just to buy some local area political votes. Now, we all need to go to Paramus, or somewhere else, for hospital care, and the Village is trying to double down on Valley hopng to increase the tax base. How sad. Valley will likely win this, and the Village citizens will AGAIN pay for that stupidity. Your vote matters, doesn’t it?
what’s wrong with going to Paramus? it’s about a mile away and infinitely better place for a hospital than this spot.
as far as I can see there is no need for valley to be in this location any more and would be better to convert to housing or schooling.
What curious opinion. What’s the problem with going to paramus? it’s less than a mile away and a great location for a hospital.
really valley should move out completely and let this location be used for residential or schooling.
Seems like a good spot for a Senior Living Facility?
It does and we have a bunch of self absorbed leaders in this town that are under qualified to do anything right. It’s a mess right at the top. Our horrible manager, all the department heads especially the parks department and a ridiculous squirrel and honey and business and stupid hat lovers as council folk No brains in the whole organization. We need smart, intelligent folk running this town. Business men and women. Not under educated people and restaurant owners
Valley’s own supporters abandoned the hospital when it was revealed the construction would crack and damage the foundations of nearby homes. Give me a break.
As I recall, the “dewatering” required to build the planned underground parking could have destabilized homes in a wide radius and the hospital would not be responsible for any damage.
That was only one aspect of many that made the hospital’s expansion plans unacceptable.
When it was a small community hospital, and even when it got bigger, it was an asset. Overreach made it impossible to support, literally and figuratively.
How is the Health and Wellness transition worse than the Hospital with ER?
I have gone to Valley Ridgewood for outpatient services. It is convenient and there is actually available parking!
Now if they could just learn how to use real people to answer the phones it would be the best.
The whole town is very poorly run. The council has its own agenda and does not care about public opinion and who knows what is really happening behind the screen starting at the top
We are 12 years in and lucky to live in a great town. I observe this mayor initiate timely action and make decisions. I’m surprised with tone from some longtime residents as I see the evening activity, job opportunities for our young adults, and medical professionals in the community doing a good job for the village. Although I have no side here, I’m curious if these are old scores or real issues. I enjoyed having the ER down the street, and the countless visits w my children breaking all sorts of bones at BF and RHS games. The population has grown globally, and in the region 30+%. It’s likely not possible to go backward in demographics. We have great resources- we should make decisions and use the resources. Little benefit from decades of litigation; I think in business, society and life, a wrong decision is almost always better than no decision.
Ridgewood residents around the hospital deployed the old NIMBY principle when Valley opted to expand, fearful a new and expanded hospital would alter the character of the neighborhood, however, the Paramus location was the absolute perfect solution for this. With room for infinite additional expansion in a neighborhood that is morphing from light industry to medical suites and adjacent services, eventually, Ridgewood’s complete loss, will be Paramus’ gain.
And be careful what you wish for, as a razed old Valley location could very easily become the target of a developer with a state mandated hardon for building high density housing.
I’d prefer a park with many turf fields
Let’s go whole hog and turf the entire town like Christo.