An architectural rendering depicts the duplex-style design of the 60-unit Pecks Beach Village housing development.
For the second time in nine months, the Ocean City Housing Authority has rejected construction bids for a proposed 60-unit affordable housing development that would replace a 1960s-era housing complex.
Three construction bids were received ranging from $23.7 million by Epic Management Inc. of Piscataway, Middlesex County, $24.6 million by Gary F. Gardner Inc. of Medford, N.J., and $28.3 million by Costanza Builders Inc. of Mount Laurel, Burlington County.
However, the housing authority said even the lowest bid “substantially exceeds” the construction estimates for the proposed Pecks Beach Village project. The pre-bid estimate was not immediately disclosed by the authority.
Last September, the authority rejected two competitive bids, including the lowest one at $22.6 million, for the same project. The authority announced at that time that the bids were too high.
Hoping to get the project underway this year, the authority has approved seeking a new round of bids. The deadline for new bids is July 11.
Bob Barr, chairman of the housing authority’s board, expressed confidence that the project will get back on track after experiencing delays caused by the rejection of bids.
“For now, we’re intending to build the project with the original plans. We believe we can get there,” Barr said in an interview Wednesday. “Will there be a slight delay or small delay? Yes, but I believe we’ll get there.”
For now, the proposed construction site on Fourth Street remains vacant.Barr noted that the authority also encountered some construction delays with another affordable housing project in Ocean City, the nearly $7 million Speitel Commons complex for senior citizens. Ultimately, the Speitel Commons project was a success when completed in 2021, he said.
The design of the proposed 60-unit Pecks Beach Village project on Fourth Street near Haven Avenue would feature 15 duplex-style buildings containing four units each for the families living there.
Representatives of the housing authority have repeatedly stressed that the development will reflect the agency’s philosophy to build new projects that are compatible with the surrounding neighborhoods.
The project is a centerpiece of the authority’s strategy to modernize its affordable housing stock with new, attractive units for families now living in the existing Pecks Beach Village, a complex dating to the 1960s.
Meanwhile, the existing 40 units of family housing at Pecks Beach Village on the south side of Fourth Street will remain until the housing authority builds the new 60 units on vacant land on the north side of Fourth Street.
The 40-unit complex will likely be demolished in stages as residents move into the new development.
The project is tentatively scheduled to take about 15 months to build, according to the bid specifications.
Financing for the project will consist of a mix of grants and loans from the New Jersey Housing and Mortgage Finance Agency, funding from the city of Ocean City and tax credits given to private investors.
The project will help Ocean City meet its state-mandated obligation to provide its “fair share” of affordable housing under a court settlement in 2018.
The existing Pecks Beach Village affordable housing complex dates to the 1960s.
