Hoboken’s Marine View Plaza tenants could potentially have a 9.8 percent rent hike in 2025, with building management citing an inability to reach an agreement with city officials.
By John Heinis/Hudson County View
“As you know from previous correspondence this year, we were working diligently with Hoboken City Officials with the goal of establishing a multi-pronged approach to address the future direction of Marineview Apartments,” they wrote in a November 30th letter to tenants that was obtained by HCV.
“Last January, we agreed to suspend 6% of the 2024 9.5% rent increase until we could either work out a mutually agreeable plan with Hoboken City Officials or not, a copy of the January rent increase is attached. Currently, we are at an impasse.”
The letter continues that they sought to allow tenants who sought to purchase their units at below market rate, to limit rent increases for low-income tenants, and limit rent hikes for tenants whose rent exceeded 30 percent of their income.
“This past summer we engaged an MAI Appraiser, ARD Appraisal Company, to value each apartment at Marineview. The appraisal established a value for each apartment dependent on the size and location of each unit. Although each unit has a different value based upon its size and location, the average appraised value was $600,861 per apartment,” management wrote to tenants.
“We proposed providing the Marineview Tenants a price reduction of 22% off the value of their unit, or on average a discount of $132,189 per apartment. The result is an average net sales price for the Marineview Tenants of $468,672 per unit. Feel free to reach out to us at the Marineview office to learn what your apartment appraised for value.”
Almost exactly one year ago, Marine View Plaza proposed a 9.5 percent rent increase, which the New Jersey Housing and Mortgage Finance Agency reviewed, as HCV first reported.
Management ended up settling on a 3.5 percent hike for 2024, however, citing the six percent difference and the consumer price index, that number currently sits at 9.8 percent for 2025 – which they say is lower than what it would’ve been under rent control laws.
“This is conservative as it only compares historical Marineview rent increases charged over the last 5 years vs Hoboken CPI increases, it doesn’t include vacancy decontrol rent Increases, nor rent surcharges for real estate tax, water and sewer and capital improvement increases,” the letter stated.
“What is more interesting is our proposal to the Hoboken Officials would have resulted in lower rent increases than the January 2025 rent increase for ALL residents, in addition to the opportunity to purchase their homes at a substantial discount to market value, giving Marineview Tenants instant equity. The proposal was truly a ‘win-win.'”
They concluded that negotiations with the city are ongoing and that new information will be provided when it’s available.
1st Ward Councilman Paul Presinzano, who represents the Marine View tenants and mentioned the situation in his newsletter today, said that he has the full support of his colleagues in reaching a timely resolution here.
“I think it’s pretty clear that the city has said we believe Marine View Plaza is under rent control and all of the city council is united together to make sure we reach a very quick and fair solution during the holiday season,” said 1st Ward Paul Presinzano.
“It’s unfortunate that this is an annual occurrence for some of our residents that have contributed to the overall character of Hoboken.”
In a statement, Hoboken Mayor Ravi Bhalla took a far more aggressive tone, reiterating that they are not abiding by the city’s rent control laws in the eyes of the administration.
“For the last two years, in partnership with the City Council, we have been imploring ownership of Marine View Plaza to stop trying to take advantage of their residents. Their actions demonstrate that their only concern is padding their own pockets at the expense of residents while blatantly ignoring the City’s rent control laws,” he said.
“Despite numerous warnings, notices, and violations, this ownership group has shown no intention of addressing rodent infestations, replacing garbage containers, or making basic repairs. MVP ownership has proven time and time again that they are not dealing in good faith, most recently placing this notice on residents’ doors at 1 a.m. on Thanksgiving Day. Enough is enough. My administration and the City Council will aggressively stand up for MVP residents and hold the property owners accountable.”
