New Jersey Judge Upholds Affordable Housing Mandate Despite Towns’ Legal Challenge

On Thursday, January 2nd, Mercer County Superior Court Judge Robert Lougy rejected a lawsuit filed by 26 New Jersey towns seeking to pause the implementation of a state law requiring municipalities to meet new affordable housing obligations. The judge ruled that the public interest in expanding affordable housing far outweighed the towns’ claims of overdevelopment and strained resources.

The lawsuit stemmed from objections to the Mount Laurel Doctrine, a legal precedent established in 1975 requiring towns to provide their “fair share” of affordable housing. The plaintiffs argued that the 2024 law mandating the development of over 84,000 affordable homes in suburban areas by 2035 imposes unreasonable demands on infrastructure and land availability. They also opposed the establishment of a state-appointed panel to resolve housing disputes, claiming it infringes on local governance.

Judge Lougy dismissed these arguments, emphasizing that delaying the law would exacerbate housing shortages for low- and moderate-income residents. “The court finds it incongruous with principles of equity to leave households in worse shape than before,” he wrote. The decision aligns with the state Attorney General’s position, which defended the law as essential for addressing decades of unmet housing needs.

Adam Gordon, Executive Director of the Fair Share Housing Center, hailed the decision as a victory for housing equity. “This lawsuit is nothing more than a politically driven smokescreen,” he said, urging towns to shift resources from litigation to compliance efforts. State Senator Troy Singleton, co-sponsor of the 2024 legislation, echoed this sentiment, criticizing the lawsuit as a taxpayer-funded delay tactic.

The towns involved in the lawsuit, however, vowed to appeal. Montvale Mayor Michael Ghassali decried the mandate as “unconstitutional and unfair,” accusing the state of favoring urban areas at the expense of suburban communities. The coalition also plans to challenge administrative rules they claim were implemented without proper public input.

Municipalities have until January 31st to either accept or contest their housing obligations, with finalized plans due by June 30th. The legal battle underscores a long-standing tension between local autonomy and statewide efforts to address housing affordability, a challenge New Jersey has grappled with for nearly 50 years. As the case progresses, it highlights the complexities of balancing development with equitable access to housing.