TRENTON, N.J. – A new bipartisan proposal introduced Monday would make it easier for religious and nonprofit organizations across New Jersey to turn unused buildings or land into affordable housing developments without requiring a zoning variance.
The measure, Senate Bill 4736, sponsored by Sen. Troy Singleton (D-Burlington) and Sen. Benjie E. Wimberly (D-Bergen/Passaic), seeks to streamline redevelopment of properties such as churches, schools, and community centers into “inclusionary developments” — projects that include both market-rate and income-restricted housing.
If enacted, the legislation would amend state land-use laws to classify such projects as permitted uses, removing a major hurdle that often delays or blocks conversions of institutional properties into housing.
Key Points
- Bill S4736 allows religious and nonprofit owners to convert properties into affordable housing without a use variance.
- Developments must reserve at least 20 percent of units for very-low, low-, or moderate-income residents.
- Projects could reach up to 40 housing units per acre and one story higher than local zoning allows.
Housing conversions made easier for nonprofits
Under the proposal, properties owned by churches, synagogues, mosques, or nonprofit organizations could be redeveloped as mixed-income housing projects if they meet affordability and zoning requirements. At least 20 percent of all new units would need to qualify as affordable under state guidelines, including a mix of very-low, low-, and moderate-income housing.
Projects that comply would be exempt from the requirement to obtain a use variance, a significant procedural barrier that typically requires approval from a municipal zoning board. Instead, applications would be reviewed by a planning board as a matter of right if they meet the bill’s development standards.
Density and tax incentives built into plan
The bill sets a default development density of 40 units per acre and allows buildings to exceed local height limits by one story. However, if nearby zoning permits greater height or density, those higher limits could apply.
Eligible projects would also qualify for long-term tax exemptions under the state’s “Long Term Tax Exemption Law,” and applicants could pursue additional grants, financing, or state housing incentives to support construction.
Supporters cite statewide housing need
Singleton said the legislation aims to remove bureaucratic obstacles that prevent community-based organizations from repurposing underused properties to help address New Jersey’s housing shortage. Wimberly added that the bill provides a pathway for faith-based and nonprofit groups to contribute directly to solving the state’s affordability crisis while revitalizing neighborhoods.
The measure would require all projects to comply with the state’s Municipal Land Use Law and Uniform Housing Affordability Controls administered by the New Jersey Housing and Mortgage Finance Agency.
Part of broader housing reform effort
Senate Bill 4736 arrives amid growing legislative focus on housing access and land-use reform in New Jersey. Lawmakers have introduced several measures this year aimed at boosting affordable housing production, reducing local zoning barriers, and supporting redevelopment of vacant or tax-exempt properties.
If passed, the bill could significantly expand development opportunities for community institutions seeking to reuse properties no longer needed for religious or nonprofit purposes, aligning them with the state’s long-term housing goals.