New Jersey Administrative Code › Title 19 - OTHER AGENCIES › NEW JERSEY SCHOOLS DEVELOPMENT AUTHORITY › Chapter 35 - DISPOSITION OF SURPLUS REAL AND PERSONAL PROPERTY OF THE NEW JERSEY SCHOOLS DEVELOPMENT AUTHORITY › Subchapter 6 - TEMPORARY USE AND/OR OCCUPANCY OF SDA-OWNED REAL PROPERTY › Section 19:35-6.1 - Temporary use and/or occupancy of SDA-owned real property

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The SDA may, in its sole and absolute
				  discretion, authorize the temporary use and/or occupancy of all or any part of
				  SDA-owned real property, whether or not the same is deemed to be surplus real
				  property, for the period of time during which such real property will not be
				  needed for a school facilities project, or is not used, or otherwise useful, in
				  the business operations of the SDA.
(b) Authorization pursuant to this section
				  shall be memorialized in a written agreement including, but not limited to, a
				  lease, license, and/or use and occupancy agreement, executed by the SDA's Chief
				  Executive Officer, or his or her designee, that incorporates the terms and
				  conditions of the proposed use as determined by the SDA, and that, in every
				  instance, shall contain the following general conditions:
1. The duration shall not extend beyond the
				  point in time when the real property will become necessary for the
				  implementation of a school facilities project(s) or otherwise necessary for the
				  SDA's execution of its responsibilities under the Act;
2. The duration shall not exceed a total term
				  of three years, inclusive of the initial term and any optional extension(s),
				  unless approved by the SDA Board. Any extension or renewal of a temporary
				  lease, license, or use and occupancy agreement originally authorized by the
				  SDA's Chief Executive Officer must be approved by the SDA Board if the
				  resulting renewal or extension will result in a total term exceeding three
				  years;
3. Any agreement for a
				  duration of more than 30 days, with the exception of a post-closing lease or
				  use and occupancy agreement to a seller or a seller's tenants in connection
				  with an acquisition of real property by the SDA, shall specify that the SDA has
				  the unilateral and absolute right to terminate the agreement for any reason
				  upon such notice, as the SDA deems appropriate.
4. The user(s) shall not alter the real
				  property in any manner that, in the sole judgment of the SDA, might negatively
				  impact the amount of proceeds realized by the SDA in any subsequent disposition
				  of the real property and/or result in additional costs to the SDA (including,
				  without limitation, additional demolition costs and/or trash disposal costs)
				  with respect to the property's fitness or suitability for subsequent use of the
				  real property for school facilities purposes;
5. The use or user shall not impact
				  environmental conditions at the property;
6. The user must accept the real property in
				  "as is, where is, with all faults" condition. No alterations or improvements of
				  any kind are permitted, unless upon the prior written consent of the SDA in
				  each instance; and
7. Holdover
				  charges, in an amount to be determined by the SDA, shall be due and payable in
				  the event the user fails to surrender the real property on the date that the
				  right of such temporary use of the property expires.