AIM Apartment Industry Magazine - March/April| Issue 02 - New Jersey Apartment ...
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AIM Apartment Industry Magazine March/April| Issue 02 An Open Dialogue 218th Legislative The Department of NJAA Conference & through our Session Comes to a Community Affairs: Expo 2020 Government Affairs Close 2020 and Beyond Jack Linefsky David Brogan Lt. Governor Sheila Oliver
MARCH/APRIL 2020 TABLE OF CONTENTS THE OFFICIAL PUBLICATION OF Leadership THE NEW JERSEY APARTMENT ASSOCIATION 104 Interchange Plaza, Suite 201 07 President’s Message: Maintaining an Open Dialogue Monroe Township, NJ 08831 through our Government Affairs Efforts Tel: (732) 992-0600 Fax: (609) 860-0060 Jack Linefsky www.njaa.com 08 Executive Director’s Message: 218th Legislative EXECUTIVE DIRECTOR Session Comes to a Close David Brogan David Brogan david@njaa.com EXECUTIVE VICE PRESIDENT Features Nichole LoPresti nichole@njaa.com 14 The Department of Community Affairs: 2020 and Beyond VICE PRESIDENT OF LEGISLATIVE Lt. Governor Sheila Oliver & REGULATORY AFFAIRS Nicholas Kikis 17 HUD’s Proposed Disparate Impact Rule Moving nicholas@njaa.com in the Right Direction Nicole Upano VICE PRESIDENT, GOVERNMENT AFFAIRS Andrew Musick 18 New Law Addresses Hairstyle Discrimination andrew@njaa.com Tracey Goldstein, Esq. MANAGER OF MEMBERSHIP SERVICES 20 New Landlord-Tenant Laws Take Effect in 2020 Kelly Ryan Nicholas Kikis kelly@njaa.com 22 An Overview of the Legislature's Newest Members BOOKKEEPER Karly Simon-Sapp Membership karly@njaa.com 27 2020 NJAA Diamond Sponsors EDUCATION COORDINATOR Sarah Shaw 28 2020 NJAA Conference & Expo sarah@njaa.com 44 New Members SPECIAL EVENTS COORDINATOR Robin Surgent robin@njaa.com Community SPECIAL EVENTS COORDINATOR 49 Thank You to Our Advertisers Joseph Huntenburg joseph@njaa.com 50 Education Calendar AIM Advertising contact membership at membership @njaa .com or (732) 992-0600 for rates and deadlines Editor, Danielle Van Drew 02 AIM - Apartment Industry Magazine | NJAA
MARCH/APRIL 2020 LEADERSHIP 04 AIM AIM--Apartment ApartmentIndustry IndustryMagazine Magazine||NJAA NJAA
LEADERSHIP NJAA BOARD OFFICERS President 1st Vice President 2nd Vice President Jack Linefsky Diana Penn Michael O’Dea Value Companies, Inc. JMG Realty, Inc Hekemian & Company, Inc Treasurer Secretary Vice President Jay Lombardo Jeffrey Garfinkel Daniel Flamini CJ Lombardo Sterling Properties Morgan Properties Company Vice President Vice President of Executive Director Theresa Reed Associate Affairs David Brogan Community Michael F. Floyd, Esq. NJAA Investment Archer & Greiner, P.C. Strategies, Inc. Past Presidents 2020 Board of Directors Stephen Waters Lynne Aber, Andrew Goldberg, AIT, Paul McGrath, Lynne Aber LPZ Bertram RestoreCore City Fire Equipment Company Ryan Antonelli, Michael W. Goldberg, Andrew Rosen, William Dailey Greystar Goldberg Realty Associates Solomon Organization Brent Kohere Michael Barry, Tracey Goldstein, Esq., Bianca Scholl, Applied Property Management Co. Feinstein Raiss Kelin Apartments.com Jeff Smith Vincent Comperatore, Booker & Goldstein LLC Wendy Schreiber, Tom Kretsch Comperatore Associates, Inc. Alan R. Hammer, Esq., AFR Furniture Rental George D. Cowden, Brach Eichler, LLC Gabriel Shiff, Jonathan S. Gershen, Esq. Multi-Housing Depot By ARI Michael Haydinger, Roseland Residential Trust David Legow, Esq. John D. Cranmer, Esq., First Montgomery Group, AMO® Sefi Silverstein, CPA, First Montgomery Group, AMO® Timothy Henkel, WilkinGuttenplan Peter J. Weidhorn William Dailey, CPM, Pennrose Properties, LLC Jeffrey Smith, Michael Goldberg President Real Estate George Jacobs, Kriegman & Smith, Inc. David DeAugustine, JK Management, LLC Joseph Spadaccini, Paul Kaliades Ingerman Management Nick Kotsidis, The Kamson Corporation Mark S. Rosen, Esq. Charlene Delia, CSC ServiceWorks Larry Stein, Western Pest Services Ronald S. Ladell, Esq., Appliance Brokers, LTD Norman A. Feinstein, Esq. Steve Dicker, AvalonBay Communities, Inc. Stephen Waters, Herbert Brien P. Cooper Roofing Anthony E. Lauro, Morgan Properties William Diggs, Affiliated Management, Inc. Brent Winig, Donald M. Legow, Esq. Renaissance Equity, LLC David L. Legow, Esq., CPM, CALECO Robert Goldberg (1936-2018) Michael Duncan, Legow Management Company Lewis Zlotnick, Andrew B. Abramson Scully Company Scott Machlovitz, CAPS, Woodmont Properties Larry Falkow, Hilton Realty John Zoetjes, Richard Segall The Apts James M. McGrath, American Architectural Window & Sam Herzog (1930-2013) Robin Flagler, PRD Management, Inc. Door AION Management Alfred Sanzari (1932-2005) Jonathan S. Gershen, Esq., The Gershen Group, LLC AIM - Apartment Industry Magazine | NJAA 05
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LEADERSHIP PRESIDENT'S MESSAGE: MAINTAINING AN OPEN DIALOGUE THROUGH OUR GOVERNMENT AFFAIRS EFFORTS dialogue is a two-way street. While an overview of a new law in it is imperative for us to advocate New Jersey that clarifies that and share our perspectives, we discrimination based on hairstyles must also be willing to listen and associated with race is illegal. understand where policymakers are coming from in addressing the The Association utilizes a concerns of their constituents. number of different methods to create relationships and foster Each year, the March/April an open dialogue with elected edition of AIM focuses on the and appointed officials. NJAA efforts of our government is the voice of the multifamily affairs operation and highlights industry by providing feedback issues currently impacting the on proposed regulations and multifamily industry. It also legislation, holding face-to-face provides for an open dialogue with meetings with policymakers the NJAA membership, allowing on priority issues, and creating policymakers to directly share guidance documents to inform their priorities. Understanding the membership. However, Jack Linefsky what lies ahead helps us better it is incumbent upon us as NJAA President prepare for changes that we may members to stay informed. see at our individual properties, and what changes the multifamily AIM serves as the perfect vehicle Government affairs is a key industry may face overall. to help us stay up to date with component of many trade the latest developments on the associations, and the New Jersey In this edition you’ll hear from government affairs front, and hear Apartment Association (NJAA) Sheila Oliver, who serves as both about the most relevant issues. I is fortunate to have one of the Lieutenant Governor and New hope you’ll take the time to read most effective and powerful Jersey Department of Community this edition of the magazine, as I government affairs teams in Affairs (DCA) Commissioner, think it will help you gain a better Trenton. The NJAA team plays regarding the specific priorities understanding of the work of a critical role in advancing the of the Department in 2020 and our government affairs team. mission of the Association to beyond. Additionally, Nicole provide safe, affordable, and Upano, Director of Public Policy . quality housing by working at the National Apartment alongside local, state and federal Association has composed an policymakers. During my time article discussing the National on the executive board, and now Apartment Association's (NAA) as President, I have seen first- efforts with HUD regarding the hand the work being done on a revisions to the disparate impact daily basis. I have gained a better rule. Feinstein Raiss Kelin Booker understanding of the legislative & Goldstein LLC attorney Tracey process, including how an effective Goldstein, Esq. also provides AIM - Apartment Industry Magazine | NJAA 07
MARCH/APRIL 2020 EXECUTIVE DIRECTOR'S MESSAGE: 218TH LEGISLATIVE SESSION COMES TO A CLOSE Affairs (DCA) to transform a Electric Vehicle Charging bill that originally would have Infrastructure inspected ALL multiple dwellings every two years, into a multi-tiered S-2252/A-4819 – NJAA opposed inspection system that rewarded provisions in early drafts of good actors and punished bad the legislation that would have actors or “slumlords.” Under created new mandates on the final bill, the best properties multifamily property owners to are given seven years between provide electric vehicle charging inspections, a significant number stations. Working with the bill’s of properties would continue to sponsors, NJAA was able to be inspected every five years, successfully secure amendments and the worst properties will to remove these mandates be inspected every two years. and replace them with goals. NJAA supported this legislation We also opened the door to and joined Lt. Governor Shelia Y. possible incentives through the Oliver at a bill signing ceremony Global Warming Solutions Fund. in Trenton on August 5, 2019. The Governor signed the bill David Brogan into law on January 17, 2020. New Jersey Apartment Association Long Term Tax Abatement Extension for Requires Landlords to Affordable Housing Accept Payment Three With the start of a new Legislative Days After Lockout Session that began in January, S-538/A-2536 – NJAA strongly NJAA is focused on the challenges advocated for this legislation S-3124/A-5493 – As originally ahead. But we’re also reflecting which promotes the preservation written, beyond reversing an on the accomplishments we’ve of affordable housing by allowing eviction action if a tenant pays had in the last two years. The last municipalities and property rent within three days after a legislative session was one of the owners to agree to an extension lockout, the legislation would most ambitious on record. NJAA of tax abatements for affordable have capped recoverable landlord protected its Owner Members by housing projects beyond the attorney’s fees and expenses at supporting bills that were good date of initial financing, provided 30 percent while tenants could for our industry and stopping that the project extends its recoup 100 percent of those or securing key changes to affordability controls. NJAA costs. The bill would have also legislation that would negatively worked closely with the sponsors prohibited late fees, required impact apartment living. of the legislation to ensure landlords to accept rent paid by that both municipalities and “any means,” (with no definition of BILLS SIGNED INTO LAW property owners would have a “any means”) and included a very new tool to preserve the state’s proscriptive receipt requirement Authorizes DCA to Establish a existing Affordable Housing if the tenant paid by cash. NJAA Tiered Inspection Schedule stock. The law is permissive and secured significant amendments enhances the state’s ability to that deleted a section limiting S-1150/A-5041 – NJAA worked with preserve the existing Affordable the recovery of attorney’s fees, the bill sponsors and the New Housing stock for decades. clarified payment types that must Jersey Department of Community The Governor signed the bill be accepted, ensured that any into law on January 13, 2020. 08 AIM - Apartment Industry Magazine | NJAA
LEADERSHIP charitable organizations that are Sales Tax on Short Term Rentals towns. We successfully worked paying a tenant’s rent are bona to maintain permanent vacancy fide charitable organizations, A-1753/S-749 – When the State decontrol in Eatontown while and made the receipt itself undertook an effort to apply also helping to ensure that the much more reasonable. The the state sales tax to short makeup of Eatontown’s council Governor signed the bill into term rentals, NJAA was there to would continue that trend going law on January 13, 2020. ensure that our members were forward. In Phillipsburg, NJAA not inadvertently impacted. opposed the expansion of rent Prohibition for Mandatory NJAA successfully secured an control by working alongside Electronic Rent Payments amendment to specifically local property owners to assist and Mandatory Receipts exclude leases with a term of their efforts to stop a sweeping for Cash Payments 90 days or more. The bill was rent control ordinance that would signed into law on July 1, 2018. have reduced much-needed S-1493/A-1749 – This legislation investment in rental housing. requires an apartment owner RENT CONTROL ACTIVITY accepting electronic rent LOOKING FORWARD payments to also provide the At the state level, NJAA option of paying rent through successfully stopped two The 219th Legislative Session is non-electronic means, such as statewide rent control bills. already off to a fast start and as check or money order. The bill also The first would have prohibited we move forward, we will continue requires that apartment owners a residential landlord from to build on the momentum and accepting cash must provide increasing rent for a dwelling unit relationships we have created. written or emailed receipts. NJAA by more than five percent plus While we had some great worked closely with the sponsors inflation, or 10 percent, whichever successes over the past two-years, on amendments to make the was lower. The second would have the NJAA Government Affairs team requirements for the receipt less implemented statewide senior will not rest on its laurels. We prescriptive, so that an owner citizen rent control, which would are in the state capital on a daily acting in good faith would not have prevented a landlord from basis, advocating on your behalf face penalties for inadvertent being able to raise rents by more and communicating the impact of errors. The bill was signed into than a fraction of the Consumer pending legislation to members of law on January 13, 2020. Price Index (CPI). While we were the Senate and the Assembly. The successful this session, clearly NJAA is among the most-respected this will be an ongoing battle. organizations in Trenton, and our voice will only continue NJAA also continued the fight to help ensure the strength against rent control at the local of the multifamily industry. level, scoring key victories in two AIM...It’s Not Just a Great .NJAA Magazine! Not only does it symbolize a great industry publication, but it also represents the name of the leading insurance provider for apartment owners & managers in the Mid- Atlantic! With over 135,000 units insured, we take aim at your insurance coverage and provide you with the best value for your insurance dollar with some options previously unavailable to you. Our Program Includes: • Property • Automobile • General Liability • Umbrella • Equipment Breakdown • Management Liability • Workers’ Compensation • Environmental Liability (with a 30% Dividend!) • Cyber & Crime Coverage • Builders’ Risk Call me today to talk about how we can benefit your organization. AIM - Apartment Industry Magazine | NJAA 09 Chuck Wise, CIC | crwise@aimcommercial.com | 410.274.3827 | www.chuckwise-aim.com
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MARCH/APRIL 2020 FEATURES 12 AIM - Apartment Industry Magazine | NJAA
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MARCH/APRIL 2020 THE DEPARTMENT OF COMMUNITY AFFAIRS: 2020 AND BEYOND Our core mission at DCA is to own. This year, the Department improve the quality of life for plans to establish a protocol New Jersey residents. The DCA for collaborating with other has a multi-faceted strategy state agencies to leverage their with its many divisions that funding streams, including the facilitate development and Economic Development Authority, investment in all of New Jersey’s the Departments of Human 565 municipalities. DCA works Services, Health, Transportation, closely with these municipalities Children and Families, Housing and local community and Mortgage Finance Agency, organizations to advance housing New Jersey Redevelopment and economic development Authority, and NJ Transit. throughout the state. We also work to assist communities Improving Access to that have experienced Affordable Housing and systematic disinvestment. Tackling Homelessness Investing in Communities and Another area of prioritization Lieutenant Governor Sheila Oliver Increasing Collaboration for the Department is to help State of New Jersey vulnerable populations, such as Programs like the Neighborhood low-income persons, the elderly, Preservation (NPP) and disabled veterans and those I’m pleased to have the Neighborhood Revitalization Tax with special needs be able to opportunity to update the New Credits (NRTC) focus on providing afford and retain high-quality Jersey Apartment Association incentives to revitalize distressed places to live. We will carry this (NJAA) with some of the specific communities while the Affordable important mission into 2020 while priorities that the Department Housing Trust Funds, Main Street maintaining the Department’s of Community Affairs (DCA) New Jersey and New Jersey high level of performance in is working on this year. As Lt. Historic Trust grants address the federal Housing Choice Governor and Commissioner specific needs in communities Voucher program – which for two for the Department, I’ve spent that are not necessarily distressed years in a row has received the the last two years working but are still in need of assistance. highest rating in the Section 8 with Governor Phil Murphy to These programs are valuable Management Assessment from achieve a stronger and fairer springboards to build a stronger, the U.S. Department of Housing New Jersey. Increasing resident more equitable New Jersey and and Urban Development. access to affordable housing we will continue to advance and is one of our top priorities. promote their success this year. DCA will also be helping to create more affordable housing I commend the work that NJAA However, we know that to opportunities for residents does to provide advocacy for make an even deeper impact throughout the entire state by the multifamily housing industry on our communities, we must administering the Affordable and renters in our state and we further coordinate with other Housing Trust Fund, otherwise remain committed to working agencies and organizations known as Balanced Housing, with you to advance affordable who have investments and which will be fully funded housing opportunities. goals that are aligned with our for the first time in years. 14 AIM - Apartment Industry Magazine | NJAA
FEATURES And to tackle the long-standing (LAB), which provides on-site Lieutenant Governor Oliver is a issue of homelessness in our and remote consulting to local self-described “Jersey Girl,” born State, we have plans to use units seeking assistance. And and raised in an ethnically diverse our Rapid Re-Housing model this year, DCA started a new $10 Newark neighborhood. Lieutenant to respond to the problem of million grant program called The Governor Oliver was inspired as homelessness in the re-entry Local Efficiency Achievement a young girl to be a fighter for the population. We’re working on Program (LEAP) which provides voiceless when her eyes were opened developing an anti-eviction monetary incentives to local to societal injustices and inequities pilot program that will provide units to pioneer, investigate, and around her, often citing “A Tale of legal services, short term rental implement meaningful service Two Cities” as her youth awakening. arrears payments and relocation sharing projects. Shared services She has since pioneered a successful assistance to households facing are proven to help reduce costs, career in public service advocating eviction. We also plan to introduce deliver municipal services more for social justice, women’s equality, a shelter diversion pilot program efficiently, and generate increased and education, ultimately becoming which is designed to help keep value for each tax dollar spent. the first woman of color to serve in families from becoming homeless. a statewide elected office in New DCA has also been working to Jersey history. In addition to her role Revising Inspection Cycles build partnerships in New Jersey as Lieutenant Governor, she serves for Multi-Families and innovate by mining data as Commissioner of the Department resources within the Department of Community Affairs, where she has Recently, under Public Law 2019, to help municipalities. We have led efforts to strengthen and expand Chapter 202, DCA was authorized a comprehensive Data Hub initiatives for fair and affordable to establish a flexible multiple that consolidates a multitude housing, community revitalization, dwelling inspection schedule of data resources that can be homelessness prevention, and local to better reflect the range of used to support and inform government services that support maintenance efforts employed the development of evidence- New Jersey’s 565 municipalities. by owners of multifamily rental based housing and community properties. The Department will development policy through move from the standard of an qualitative and quantitative inspection every five years to a research. We will continue to three-tiered inspection standard. expand its functionality and The new procedure will allow promote the convenience of a seven-year inspection cycle accessing community-level for multiple dwellings in which data resources from DCA no violations are found or are platforms. The next addition corrected by the first reinspection; will be an affordable housing a five-year cycle for multiple attribute on our Community dwellings where violations Asset Map. This data layer are corrected after the first will allow both providers and reinspection but before the third consumers of affordable housing reinspection; and a two-year cycle to see which municipalities are for multiple dwellings in which all implementing affordable housing violations have not been corrected activities and programs. by the third reinspection. We’re so pleased that NJAA has Improving Services to Localities an interest in the work we do at DCA and we hope to continue This year, the Department plans to foster more collaboration to expand and improve guidance between State government and and services to municipalities, organizations such as yours. counties, schools and local Governor Murphy and I look authorities. We recently created forward to working together the Local Assistance Bureau with you in 2020 and beyond! AIM - Apartment Industry Magazine | NJAA 15
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FEATURES HUD’S PROPOSED DISPARATE IMPACT RULE MOVING IN THE RIGHT DIRECTION Under disparate impact theory, use of disparate impact liability. a rental housing provider can be For example, it puts the burden sued if the owner or operator of proof squarely on the plaintiff implements a policy that is neutral to establish the elements of on its face but nonetheless has the disparate impact claim, an unintended, discriminatory including demonstrating that (1) effect on members of a protected the challenged policy imposed class under the FHA. For example, an “arbitrary, artificial and rental housing providers risk unnecessary barrier” to housing, scrutiny for alleged discrimination (2) a “robust causal link” exists if they utilize resident screening between the challenged policy policies that prohibit accepting and the alleged disparate impact, felons in housing or more and (3) the alleged disparity broadly, deny housing to any caused by the challenged policy applicant with a criminal record. is “significant,” among other Plaintiffs argue these policies elements. In addition, the proposal have a disproportionate, negative identifies a number of defenses impact on certain protected that a housing provider can assert Nichole Upano classes at higher rates than to defeat a disparate impact claim. National Apartment Association the general population. In coordination with NJAA, we Rental housing providers are actively monitoring the In 2019, the U.S. Department of establish clear rules to limit situation and will update you Housing and Urban Development discretionary decision-making as we learn more about HUD’s (HUD) requested public comments at the site level and reduce the plan to finalize the rule. on its proposed disparate impact risk of unintentional fair housing rule. The rule, first issued in 2013, liability. HUD’s current disparate Nicole Upano serves as Director of formalizes the agency’s position impact regulation threatens Public Policy for NAA. In this role, on disparate impact liability and housing providers with liability she leads the team that conducts establishes uniform standards under the FHA even when they research and analysis on industry to determine when a real estate take reasonable steps to stay in policy concerns and develops practice or policy violates the compliance with the law and adopt communications materials in Fair Housing Act (FHA). For years, policies and practices that serve support of the apartment industry’s NAA and the National Multifamily legitimate business interests. advocacy initiatives at all levels of Housing Council (NMHC) have government. Ms. Upano specializes supported HUD’s efforts to NAA and NMHC commend HUD in fair housing, landlord-tenant, review and revise the rule and for its work. Many of the changes and property operations issues. encouraged the agency to amend proposed by the agency align its interpretation of the FHA’s with our previous comments. disparate impact standard to The proposed revisions to the better reflect the U.S. Supreme rule will discourage “abusive” Court’s 2015 ruling in Texas disparate impact claims and Department of Housing and include a number of “safeguards” Community Affairs v. Inclusive intended to prevent such abusive Communities Project, Inc. AIM - Apartment Industry Magazine | NJAA 17
MARCH/APRIL 2020 NEW LAW ADDRESSES HAIRSTYLE DISCRIMINATION Guidance recognizes that “the LAD restrict natural hair or hairstyles not only prohibits discrimination associated with Black people that is explicitly based on a based on a desire to project protected characteristic, but also a certain “corporate image,” discrimination that is ostensibly because of concerns about based on something that is “customer preference” or inextricably intertwined or closely customer complaints, or because associated with a protected of speculative health or safety characteristic.” The Guidance concerns” are not justifiable. states, “… [j]ust as it would likely According to the Guidance, any violate the LAD to refuse to health and safety justification hire an Orthodox Jewish man must be “rooted in objective, because he wears payot, or to factual evidence – not generalized refuse to hire a Muslim woman assumptions – that the hairstyle because she wears a hijab, or in question would actually present to refuse to hire a Sikh person a materially enhanced risk of because they wear uncut hair, it harm to the wearer or to others.” is unlawful to refuse to hire or to Moreover, the Guidance requires Tracey Goldstein, Esq. otherwise treat a Black person employers to consider whether Feinstein Raiss Kelin differently because they wear a legitimate health or safety risk Booker & Goldstein LLC their hair in a style that is closely can be eliminated or reduced associated with being Black.” by reasonable alternatives, such as hair ties, hairnets, or Governor Murphy recently signed The Guidance states that other head covering, to banning into law, S-3945/A-5564, known employers may not “enforce or restricting a hairstyle. as the “Create a Respectful and grooming or appearance policies Open Workspace for Natural that ban, limit, or restrict hair The CROWN Act applies to Hair Act” or the CROWN Act. The styled into twists, braids, the workplace, housing, and law, authored by Senator Sandra cornrows, Afros, locs, Bantu schools. The law was enacted Cunningham and Assemblywoman knots, fades, or other hairstyles in response to an incident in Angela McKnight, prohibits closely associated with Black New Jersey where a high school discrimination based upon racial, cultural and ethnic identity.” wrestler was forced to cut his hairstyles. Under the law, the Employers cannot selectively dreadlocks in order to participate definition of “race” under the New enforce facially neutral grooming in a wrestling meet. California Jersey Law Against Discrimination policies, such as requirements and New York have passed laws was expanded to include the to maintain a “professional” or banning hair discrimination and prohibition of discrimination “tidy” appearance. By way of more states are considering based upon hairstyles commonly example, Black employees with the passage of such laws. associated with race. Under shoulder length locs or braids the law, protective hair styles cannot be told to change their Tracey Goldstein, Esquire is a include braids, locks and twists. hairstyle, if white employees partner at the Livingston-based law with long hair are permitted firm of Feinstein Raiss Kelin Booker Prior to the passage of the CROWN to maintain their hairstyles. & Goldstein LLC. Tracey represents Act, the New Jersey Division on owners, managers and developers Civil Rights issued Guidance on The Guidance further states of real estate in real estate related Race Discrimination Based upon that policies that “explicitly litigation. This article is not, nor Hairstyle in September 2019. The or in practice, ban, limit, or is it intended to be legal advice. An attorney or other qualified professional should be consulted 18 AIM - Apartment Industry Magazine | NJAA to discuss your particular matter.
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MARCH/APRIL 2020 NEW LANDLORD-TENANT LAWS TAKE EFFECT IN 2020 or prospective tenants to pay payment, and (5) the printed or rent, security deposit, and other typed names of both the landlord lease-related payments via and the tenant. electronic funds transfer without also providing a non-electronic The provisions of this bill take payment alternative. Landlords effect upon the next lease renewal, who allow tenants to pay via so landlords should make sure check would still be in compliance that lease provisions surrounding with this provision even if those electronic rent payments and checks are ultimately processed receipt books are in compliance. electronically. Furthermore, landlords are still able to offer Expanded Period to Pay Rent in electronic rent payment options, Nonpayment of Rent Cases such as Automated Clearing House (ACH) or credit cards, provided Governor Murphy also signed that they are not mandatory for S-3124/A-5493 into law, as P.L. tenants. The sponsors’ perspective 2019, c. 316. The bill, sponsored on this bill was that some low- by Senator Brian Stack and Nicholas Kikis income people simply do not have Assemblyman Raj Mukherji, New Jersey Apartment Association access to bank accounts. As such, provides tenants in nonpayment NJAA worked with the sponsors of rent cases the ability to pay rent to require alternatives while also due and owing three days after a As the 2018/19 Legislative Session providing the industry adequate warrant for removal is posted or a ended, we saw final action on flexibility to determine acceptable lockout is executed and potentially several bills that modify New payment methods. avoid eviction. Under prior law, Jersey’s landlord-tenant laws. tenants had until 4:30 p.m. on the NJAA advocated throughout the Receipts for Cash Payments day of the trial to pay all rent due legislative process in an effort to and owing and have the judgment minimize the impact of these bills Additionally, the bill also requires vacated. Should a tenant not pay on the apartment industry. While owners to provide receipts when by that time, a landlord could they are not ideal, NJAA worked accepting rent paid in cash. Note apply for a warrant of removal to with the sponsors and secured that owners are not required to have a tenant legally evicted by important changes. accept cash, except when cash is a court officer. However, if the paid during the eviction process tenant subsequently became able Requiring Landlords to Provide to satisfy or avoid a judgement to pay, the tenant could seek an Alternatives to Electronic Rent for possession. NJAA worked Order to Show Cause from the Payment closely with the bill sponsors to judge to have his tenancy rights ensure that the requirements for restored. On January 13, 2020, Governor the cash receipt were not overly Phil Murphy signed S-1493/A-1749 prescriptive, and to allow receipts Under the process established in into law as P.L. 2019, c. 300. The to be emailed. Under the bill, as this law, if all rent due and owing bill, sponsored by Senator Brian amended, a receipt could be either is submitted to the landlord within Stack, Senator Troy Singleton, printed or emailed, and must the period established under the and Assemblywoman Annette include (1) the amount received, bill, the landlord must accept Quijano, prohibits apartment (2) the date, (3) the purpose of the payments made by made by cash, owners from requiring tenants payment, (4) who accepted the certified check, or money order, 20 AIM - Apartment Industry Magazine | NJAA
FEATURES or through any federal, state, or local rental assistance program or bona fide charitable organization Multifamily Lending on behalf of the tenant. This right to pay ends three days after a lockout is executed. The landlord must notify the court within two business days that payment was received and provide a copy to Construction & Permanent Loans the tenant. The court will then dismiss with prejudice the action for nonpayment of rent. Should the landlord fail to notify the court, the tenant may file a motion for dismissal upon the court. NJAA worked with the sponsors to secure significant amendments to this legislation as it moved through the Legislature. The bill, as introduced, would have eliminated late fees, required landlords to accept rent payments made “by any means,” limited attorney’s fees to 30 percent of a landlord’s actual costs, and established procedures that would not have been workable. The bill took effect March 1, 2020. Looking Forward RECENT FINANCING The New Jersey Legislature is more active now than ever before. Over the past two years, over 11,000 $30,000,000 bills were introduced, and NJAA 214 ApArtments actively worked on over 50 bills to For over 130 years, Amboy Town of Dover, Morris County protect your interests. Whether we Bank has been financing NJ’s like it or not, lawmakers can pass Construction/Permanent building and housing needs. bills that can either positively or negatively effect your business. In We provide commercial, most cases, lawmakers are simply trying to be responsive to their construction and permanent $9,700,000 constituents. However, the way in loans with flexible terms and, of course, quick local 63 ApArtments which they do it is critical. That is Bound Brook, Somerset County why NJAA is so important. We are decisions. your voice in Trenton, and we take Construction/Permanent the time to educate legislators on the impact that legislation will have Bob Beni on your ability to provide quality Senior Vice President, housing. As the saying goes, “you Senior Commercial Real Estate Officer $14,200,000 are either at the table or on the 732.591.8700 x5732 35 ApArtments/retAil menu.” Newark, Essex County Non-Recourse/Permanent Voted Best Bank! AIM - Apartment Industry Magazine | NJAA 21
MARCH/APRIL 2020 AN OVERVIEW OF THE NEW JERSEY LEGISLATURE’S NEWEST MEMBERS On Tuesday, November 5 New Jersey voters went to the polls, with all 80 seats in the General Assembly on the ballot, along with one special election in the State Senate. Republicans gained a total of three seats during the election. In the new legislative session, the Democratic majority in the State Senate will be 25-15, and 52-28 in the General Assembly. Leadership in both houses remained unchanged with Senate President Stephen Sweeney and Assembly Speaker Craig Coughlin both returning to their respective posts for the Democrats, and Senator Tom Kean and Assemblyman Jon Bramnick returning as leaders in their respective Republican caucuses. Each and every member of the Legislature has the ability to affect the multifamily industry overall. As such, our government affairs team has been actively working to meet with these new officials to discuss the impacts of pending legislation and convey the benefits that our industry brings to New Jersey’s economy. 1st Legislative District of New Jersey Senator Mike Testa Assemblyman Antwan McClellan Assemblyman Erik Simonsen The 1st Legislative District, which encompasses all of Cape May and parts of Atlantic and Cumberland Counties, was one of the most hotly contested races in the state heading into the election. Republicans flipped all three seats in the district, with Republican challenger and Cumberland County GOP Chairman Mike Testa defeating incumbent Senator Bob Andrzejczak. Senator Testa is a partner at Testa, Heck, Testa, and White, P.A. Testa is also a member of the Greater Vineland Chapter of the NAACP, past Chair of Big Brothers Big Sisters of Cumberland and Salem Counties, and past Board Chairman of the Vineland Downtown Improvement District/Main Street Vineland. On the Assembly front, Republican challengers Antwan McClellan and Erik Simonsen defeated Democratic incumbents Bruce Land and Matt Milam. Assemblyman McClellan works as the public information officer and personnel director in the Cape May County Sheriff’s Office, and was a former Ocean City Councilman, and Ocean City Board of Education member. Assemblyman Simonsen serves as the athletic director of Lower Cape May Regional High School and was previously the Mayor of Lower Township. 22 AIM - Apartment Industry Magazine | NJAA
FEATURES 5th Legislative District of New Jersey In District 5, Bill Moen was elected to serve a two-year term in the Assembly following the retirement of Assemblywoman Patricia Egan Jones. Assemblyman Moen is currently the youngest member of both houses of the State Legislature. Prior to joining the Legislature, Assemblyman Moen served as an elected member of the Camden County Board of Freeholders. Moen is also a member of the Runnemede VFW Post #3324 Auxiliary and serves as a board member of the Rowan University Alumni Association. Assemblyman Bill Moen 8th Legislative District of New Jersey In one of the most watched races in the state, Republican candidate Jean Stanfield was successful in her bid for an Assembly seat, and will join incumbent Assemblyman Ryan Peters, who was also re- elected. Assemblywoman Stanfield became the first female sheriff of Burlington County, a post she held for 18 years. Stanfield joined the Sheriff’s Department in 1996 as an undersheriff and served briefly as an assistant prosecutor in the Burlington County Prosecutor’s Office. Assemblywoman Jean Stanfield 10th Legislative District of New Jersey Former Brick Councilman John Catalano was elected to serve in the Assembly in the Ocean County-based district, after long-time Assemblyman David Wolfe announced he was retiring from the Assembly. Assemblyman Catalano has been a small business owner for more than 30 years, and is the owner and operator of Country Store Jewelers in Brick. Assemblyman John Catalano AIM - Apartment Industry Magazine | NJAA 23
MARCH/APRIL 2020 13th Legislative District of New Jersey Another new face to Trenton, Gerry Scharfenberger, was elected to serve in the Assembly following the retirement of Assemblywoman Amy Handlin. At the state level, Assemblyman Scharfenberger previously served as the Acting Executive Director of the New Jersey Business Action Center, and the Director of the Office for Planning Advocacy. Locally, Scharfenberger previously served as a Monmouth County Freeholder, and served on the Middletown Township Committee for 13 years. Assemblyman Scharfenberger is currently a member of the adjunct faculty of Monmouth University. Assemblyman Gerry Scharfenberger 25th Legislative District of New Jersey Senator Anthony M. Bucco Assemblywoman Aura Dunn Assemblyman Brian Bergen Former Assemblyman Anthony M. Bucco was sworn into the Senate seat previously held by his father, the late Anthony R. Bucco, in October but remained on the Assembly ballot. Aura Dunn was selected to fill Anthony M. Bucco’s Assembly term for the remainder of the 218th New Jersey Legislature, and was also selected to fill the Assembly seat for the 219th Legislative Session. Assemblywoman Dunn previously served as the district director for Rep. Rodney Frelinghuysen from 2016- 2019, and as a budget analyst on education policy for the U.S. Senate Appropriations Committee from 1997 to 2000. Dunn serves on the board of the Morris County Habitat for Humanity as well as the Morris County Mental Health Addictions Services advisory board. Republican candidate Brian Bergen was elected to serve in the Assembly, following the retirement of Assemblyman Michael Patrick Carroll. Assemblyman Bergen is a graduate of West Point, a member of the VFW and American Legion, and a former Councilman in Denville Township. Bergen also operates Bergen Botanicals. 24 AIM - Apartment Industry Magazine | NJAA
www.MultiFamilyWiFi.com COMMUNITY-WIDE WIFI TRIPLE PLAY OPTIONS FOR RESIDENTS Call (800) 435-6618 Visit us at Booth 508 AIM - Apartment Industry Magazine | NJAA 25
MARCH/APRIL 2020 MEMBERSHIP 26 AIM - Apartment Industry Magazine | NJAA
2020 DIAMOND SPONSORS SEPTEMBER/OCTOBER 2019 2018 DIA- B E C A U S E I N T E G R I T Y M AT T E R S SM MOND SPON- SORS Planned Companies Janitorial Maintenance Security Concierge 27 AIM - Apartment Industry Magazine | NJAA AIM - Apartment Industry Magazine | NJAA 27
MARCH/APRIL 2020 NJAA Conference & Expo Tuesday, May 19 - Thursday, May 21 Atlantic City Convention Center & The Water Club 28 AIM - Apartment Industry Magazine | NJAA
The 2020 NJAA Conference & Expo is the ultimate industry showcase for New Jersey’s multifamily housing professionals to network and build connections. More than 1,700 attendees are anticipated to participate alongside over 200 exhibit booths as they display the latest in products and services on the tradeshow floor. Our three-day conference will also feature many important education sessions and exciting networking events! Some Reasons You and Your Colleagues Should Attend: • Network with over 1,700 industry leaders; • Receive continuing education credits by attending our education sessions; • Hear from Aron Ralston, the inspiration for the movie “127 Hours,” during his keynote presentation; • Receive the latest information from over 200 exhibitors on products and services offered in the multifamily industry; • Don’t miss your chance to be the lucky winner of our $5,000 GRAND PRIZE during our Expo Floor Cocktail Reception (eligibility for the prize is limited to employees of owner member companies); • Celebrate with your fellow NJAA members at our popular President’s Reception and After-Hours Party! … and much more! AIM - Apartment Industry Magazine | NJAA 29
MARCH/APRIL 2020 NJAA CONFERENCE & EXPO Schedule at a Glance MONDAY, MAY 18 3:00pm to 7:00pm Exhibitor Set-up & Registration (Optional) Atlantic City Convention Center (ACCC), Halls A & B TUESDAY, MAY 19 8:00am to 4:00pm Registration Open ACCC, Hall A 8:00am to 10:30am Exhibitor Set-up (Mandatory) ACCC, Hall B 12:00pm to 1:30pm Opening General Session and Lunch ACCC, Hall A 1:30pm to 4:00pm Expo Floor Open ACCC, Hall B 6:30pm to 9:30pm Registration Borgata, Events Center 6:30pm to 7:30pm Diamond, Signature & Keynote Sponsor Reception (Invitation Only) Borgata, Salon A 7:30pm to 9:30pm President's Reception (Ticketed Event) Borgata, Salon D WEDNESDAY, MAY 20 7:30am to 4:00pm Registration Open ACCC, Hall A 7:45am to 8:45am Breakfast ACCC 9:00am to 11:15am Education Sessions ACCC, 3rd Floor 11:30am to 1:00pm Keynote Presentation ACCC, Hall A 30 AIM - Apartment Industry Magazine | NJAA
WEDNESDAY, MAY 20 (continued) 1:00pm to 4:00pm Expo Floor Open ACCC, Hall B 1:00pm to 2:00pm Networking Lunch ACCC, Hall B 3:00pm to 4:00pm Cocktail Reception with Exhibitors Expo Floor, Hall B 4:00pm to 8:00pm Exhibitor Breakdown (Optional) ACCC, Hall B 9:00pm to 1:00am After-Hours Cocktail Reception (Ticketed Event) Borgata, Premier Nightclub THURSDAY, MAY 21 (All events held at Water Club Hotel) 8:00am to 9:00am Breakfast Water Club at the Borgata, Waves A & B 8:00am to 12:00pm Exhibitor Breakdown (Mandatory) ACCC, Hall B 9:00am to 10:00am Breakfast Keynote Presentation Water Club, Tides A, B & C 10:05am to 11:05am Education Sessions Water Club, Luna & Aqua A & B 11:10am to 12:10pm Closing Keynote Presentation Water Club, Tides A, B & C 12:30pm Hotel Checkout Schedule Subject to Change All programs and events will be held at the Atlantic City Convention Center unless otherwise noted. AIM - Apartment Industry Magazine | NJAA 31
Mark Your Calendar MARCH/APRIL 2020 for our Convention Keynote Presentation ARON RALSTON We are happy to announce our keynote presentation on Wednesday will be delivered by Aron Ralston– fearless adventurer and the subject of the film, “127 Hours.” An ordinary man pushed to extraordinary limits, Aron Ralston takes you inside the story that captured international headlines in which he proves that courage, perseverance and the human spirit can help you triumph over tough challenges when the stakes are extraordinary. DEC3 An experienced climber and avid outdoorsman, Aron was canyoneering alone in Utah when he became trapped 1 between two boulders in a remote location for more than five days, ultimately freeing himself by severing his own arm with a pocketknife. His harrowing tale captivated global news outlets and remains one of the most incredible and extreme survival stories of all time. Aron recounts his ordeal in searing detail in his New York Times best-selling book, Between a Rock and a Hard Place, which inspired the major motion picture, “127 Hours,” starring James Franco. On stage, he brings his gripping story to life – and audiences to the edge of their seats. With great candor and humility, Aron reflects on his remarkable triumph over insurmountable odds, and shares the lessons he learned about the importance of examining one’s priorities and outlook on life. Take away a true appreciation for the power of the human spirit and the value of relationships to overcome life’s challenges, no matter how large or daunting one’s “boulder” may be. Wednesday, May 20, 2020 11:30 AM – 1:00 PM Atlantic City Convention Center, Hall A Atlantic City, NJ 32 AIM - Apartment Industry Magazine | NJAA
2020 NJAA Conference & Expo Professional Development Schedule at a Glance Wednesday, May 20 (all courses held at the Atlantic City Convention Center) 9:00 AM – 10:00 AM Ethics in Real Estate – Room 318 Approved for 1 core CEC for NJ real estate licensees and pending 1 CLE credit. Derek Reed, Esq. and Bruce Gudin, Esq., Ehrlich, Petriello, Gudin, Plaza & Reed P.C. Lease It Like You Love It – Room 301 Rommel Anacan, The Relationship Difference Mold & Mildew: Mitigation Techniques and Troubleshooting 101 – Room 305/306 Brian Collins, HD Supply Transformational Leadership: Is Your Glass Half Empty or Half Full? – Room 321 Alex Jackiw, Hayes Gibson Property Services, LLC 10:15 AM – 11:15 AM Legitimate Emotional Support Animal Letters What You Need to Know – Room 322 Tracey Goldstein, Esq., Feinstein Raiss Kelin Booker & Goldstein LLC Thermostat Leadership: How to Activate the Power of Your Team – Room 301 Rommel Anacan, The Relationship Difference Preventative Maintenance – Room 305/306 Brian Collins, HD Supply Conflict Isn’t Crazy: How to Deal with Team Conflict Efficiently – Room 320 Bill Nye, Bill Nye Consulting THURSDAY, MAY 21 (all courses held at the Water Club at the Borgata) 9:00 AM – 10:00 AM High Tech High Touch: The Balance Between Technology and the Human Experience – Tides A, B, & C Alex Jackiw, Hayes Gibson Property Services, LLC 10:05 AM – 11:05 AM Intentional Culture: Build a Culture That is Right For You – Luna A & B Bill Nye, Bill Nye Training Online Property Reviews Masterclass – Aqua A & B Matt Easton, Leasing University 11:10 AM – 12:10 PM How to Have Difficult Conversations – That Don’t Make Things Worse! – Tides A, B, & C Rommel Anacan, The Relationship Difference AIM - Apartment Industry Magazine | NJAA 33
MARCH/APRIL 2020 EDUCATION NATIONAL SPEAKERS ROMMEL ANACAN Rommel Anacan is an award-winning motivational speaker, consultant, strategist, and president of The Relationship Difference. He powerfully impacts thousands of people per year by providing the education, clarity, motivation, and inspiration they need to break through their limits and achieve the success they desire. Some of the leading organizations he has spoken for include: Yardi Syste ms; Sabra Foods; Ellis Partners; and the National Apartment Association. Rommel is proud to be a member of the famed Apartment All-Stars team. Lease It Like You Love It Wednesday, May 20 9:00 AM – 10:00 AM Atlantic City Convention Center, Room 301 It's obvious but always worth repeating – if you want to succeed at selling, you need to be passionate about what you're selling. Your customers can tell instantly if you don't love, believe or even like what you're trying to sell. Conversely, your enthusiasm and excitement can be the factor that motivates customers to choose you over your competitors. In this seminar, you'll discover how to help your customer "fall in love" with your community by helping you sell with enthusiasm, passion, and confidence. Whether you are brand new to the industry or a seasoned pro, this seminar is for you! Remember, your customers are not just leasing a new home, they're buying into you too! Thermostat Leadership: How to Activate the Power of Your Team Wednesday, May 20 10:15 AM – 11:15 AM Atlantic City Convention Center, Room 301 In this new program, I reveal how YOU can be the thermostat that sets the temperature on your team and not have the temperature set for you! Your team is looking to you to provide the guidance, education, and stability that they need to succeed. By taking this session, you'll discover the "C'crets" of being a thermostat leader through learning the "The 4 C's." These "C's" are so simple that anyone can use them—yet so simple that leaders often miss them! If you choose to learn these and apply these principles to set the temperature on your team, you'll tell yourself, “It wasn't always easy; but it was worth it!" How to Have Difficult Conversations – That Don't Make Things Worse! Thursday, May 21 11:10 AM – 12:10 PM The Water Club at the Borgata, Tides A, B, & C Life is filled with difficult conversations! The multifamily industry is filled with difficult conversations. Whether it's with an upset resident, an underperforming employee, a vendor who isn't doing things the way you need them to be, or that co-worker that drives you crazy; you can be sure that almost every day will present you with an opportunity to have a difficult conversation. In this seminar, you'll learn how to have difficult conversations without making the issue worse; bulldozing the other person; being bulldozed by the other person; not actually dealing with the issue; or causing damage to the relationship. This seminar is a CRUCIAL life skill that everyone could benefit from! 34 AIM - Apartment Industry Magazine | NJAA
EDUCATION NATIONAL SPEAKERS MATT EASTON If you search YouTube or Google for anything about leasing apartments or property management training, you will most likely find Matt Easton, the founder of Leasing University. In 2001, Matt began investing in multifamily and started offering property management consulting services in 2006, which helped lead to creating an apartment marketing startup in 2012. He is a leading expert that apartment communities look to when they need to get and stay occupied ahead of schedule and under budget. Matt Easton has simplified and systematized how the industry leases apartments — making the lives of both new and veteran multifamily professionals easier. His mission in life is to help give property management professionals more confidence and the skills they need to sign more leases. Online Property Reviews Master Class Thursday, May 21 10:05 AM – 11:05 AM The Water Club at the Borgata, Aqua A & B Learn how to get unlimited actionable positive community reviews and neutralize damaging negative reviews. By taking this seminar, you will learn the good, the bad, and the ugly of online property reviews. This class will help you understand the importance of positive reviews and how to neutralize those negative reviews that cost you leases. Visit NJAA.com for more information about all the exciting events and educational opportunities during our Conference & Expo! AIM - Apartment Industry Magazine | NJAA 35
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