Cape May News

W. Cape May master plan paves way for historic panel
By RICHARD DEGENERStaff Writer, (609) 463-6711
Press of Atlantic City
Published: Tuesday, January 31, 2006
Updated: Tuesday, January 31, 2006

— The new Master Plan is complete, and that means the borough can now move forward with a plan to create a Historic Preservation Commission to protect its oldest homes.

Master plans have various sections called elements that deal with issues such as affordable housing, land uses, open space, historic preservation and others. Borough officials for months have worked to create a commission similar to Cape May's but were awaiting completion of the Master Plan.

“We needed the Historic Preservation Element to do the Historic Preservation Commission. This sets that in motion,” said Commissioner Dick Rigby.

The West Cape May Planning Board approved the new plan drafted by Remington, Vernick & Walberg Engineers last week. The plan includes a recommendation to create a strong HPC to set design guidelines, encourage reuse of old buildings and work with owners of houses in the Historic District.

Master plans, which are done every five years, are merely guidelines until they are made into law by the governing body.

“It gives us some guidelines, so we can see where we're going. The Master Plan is just a plan. It has to go through Zoning Regulations,” said Mayor Pam Kaithern.

Rigby said the new plan could lead to plenty of changes, starting with an HPC and extending to zoning changes.

“It sets into motion an examination of our zoning to match the zoning with the Master Plan,” Rigby said.

As the plan is incorporated it could, for example, lead to changes in the commercial zones. The plan makes several recommendations about commercial zones, including:

n Reducing the size of the C-1 zone where it now encompasses residential neighborhoods, but increasing it in other areas that are now mostly businesses

n The C-2 zone would be eliminated as some of it would revert to C-1, relabeled the C Zone, and part of it is envisioned for a planned “Eco-Park” on the eastern side of town in an area that includes an old landfill

n The C-3 Zone would also be eliminated and would become the C Zone

n To make up for the loss of C-1 areas the plan recommends creation of two Neighborhood Commercial, or NC Zones, where mixed uses would be allowed.

“We'd have neighborhood commercial on the north and south ends of Broadway, where we have a lower level of commercial development. We'd like to have a place where people can park for free and walk to an array of shops and restaurants,” Rigby said.

Besides the Eco-Park, the plan also advocates creation of an “ocean to bay greenway” that connects the two water bodies via the borough's wetlands corridor. The plan calls for this greenway to make transit from ocean to Delaware Bay accessible by walking, hiking and bicycle trails. The plan would need funding from such sources as the state Green Acres Program and the Farmland Preservation Program.

As for the Eco-Park, the plan identifies the area and the 46 parcels it encompasses including a former municipal landfill. Money would be needed to acquire them. The plan also identifies areas that could be used for passive recreation including a borough-owned tract on Second Avenue.

The borough may need grants to achieve some of the visions in the Master Plan, but the plan itself might help this process. Grants are sometimes tied to a town's conformance with the State Development and Redevelopment Plan, also called the State Plan.

“This helps with the State Plan,” Kaithern said.

The plan also includes a Housing Element, which often addresses affordable-housing mandates. Rigby said the borough has hired a planner, Kendra Lelie, to address this issue separately, but the Master Plan includes recommendations. It suggests supplying as many as 10 affordable units by 2014. This does not include units the borough was supposed to have already but did not meet under this state obligation.

Master plans are thick volumes and often include interesting tidbits about a town. Here are a few from West Cape May's new plan:

n There are 1,095 year-round residents but 6,270 in the summer.

n The borough has gained 152 residents, 16.2 percent increase, since 1940.

n Housing units increased 10 percent over 10 years.

n Seasonal use increased from 38.1 percent of households to 44.8 percent.

n 33 percent of the houses were constructed prior to 1940.

n Median family income skyrocketed 72 percent in a decade

n 83.1 percent of residents graduated high school and 31.8 percent have a college degree

Doo-Wop Museum

Wildwood to bond funds for recreation center, doo-wop museum
By TRUDI GILFILLIAN Staff Writer, (609) 463-6716
Published: Thursday, January 26, 2006
Updated: Thursday, January 26, 2006

— The city plans to issue bonds to complete the funding puzzle for construction of a new recreation center at Maxwell Field and a combination doo-wop museum and amphitheater at Fox Park.

During Wednesday's City Commission meeting, the commissioners introduced several bonding ordinances that would provide as much as $3.5 million for the community center and $500,000 for the amphitheater.

A public hearing and final vote on both bond ordinances is scheduled for the regular commission meeting Feb. 22.

The city sold its Rio Grande Avenue recreation center but continues to operate in that space under a lease agreement until a new center can be built.

Mayor Ernie Troiano Jr. said the community center would be home to programs for both young and old.

“I want to emphasize this will be a community center. There will be adult programs, after-school programs. This will be a first-class community center,” Troiano said.

The building's design is still being revised to meet both the community's needs and the city's budget, but it is expected to be more than 15,000 square feet and will sit between the baseball and football fields at Maxwell Field on Park Boulevard.

Construction costs will be supported by the bonds along with $1.7 million the city already had set aside and a
$1 million donation from the Byrne Fund for Wildwood Inc.

If all goes as Troiano plans, the center could be completed by this fall, he said.

Also Wednesday, the commission introduced the bond ordinance that would provide additional money for construction of a doo-wop museum and amphitheater across from the Wildwoods Convention Center.

The museum and amphitheater would be housed under the roof of the old SurfSide Restaurant, which was taken apart and stored in a warehouse in 2002.

Development director Lou Ferrara said the concrete-and-steel frame of the former restaurant would be reassembled. The museum, which would make up about 20 percent of the project, would house doo-wop memorabilia.

The remainder of the building will be part of an open-air band shell for concerts and other events. A neon garden of old doo-wop signs is also planned outside the museum.

Ferrara said the amphitheater is being funded with the $500,000 bond, $168,000 from the New Jersey Sports & Exposition Authority, $400,000 from the Byrne Fund, and a $200,000 loan from the state Green Acres program.

Bids for that project have already been received and work is likely to begin in the next few weeks.

In other business, the city set the new mileage reimbursement rate for operating a personal vehicle while conducting city business at 44.5 cents, in line with the IRS mileage rate, and approved an application to the state Urban Enterprise Zone for $1 million for Boardwalk restoration.

North Wildwood Assessments

N. Wildwood property owners plan assessment meeting
By TRUDI GILFILLIAN Staff Writer, (609) 463-6716
Press of Atlantic City
Published: Thursday, January 26, 2006
Updated: Thursday, January 26, 2006

— A group of Pennsylvania residents, stunned by the new assessments on their shore homes here, are getting organized.

Property owners Marge Schernecke and Henry Lewandowski announced plans Tuesday to bring owners from the tri-state region together in Philadelphia to discuss the reassessments, which have increased the town's overall value from $866 million to nearly $3 billion.

“We spoke with many friends and neighbors who own property there and learned that most reassessments increased between 200 percent and 600 percent. This is outrageous and irresponsible,” Schernecke said in a statement.

North Wildwood property owners received word of the new values at the end of December after Tyler Technologies/CLT Division conducted a revaluation of some 9,000 parcels of land.

Residents who disagreed with the figures met with the company's representatives, and decisions on final values should be issued next month. After that, residents can appeal to the Cape May County Board of Taxation.

Lewandowski, who bought a condominium here in October 2003, said Tuesday he is president of his condominium association and has heard from dozens of property owners who believe their assessments are out of line with actual property sales in their neighborhood.

Lewandowski said he and others are trying to organize a meeting to see what they can do as seasonal residents and to put to rest any rumors about the revaluations.

“We just want to be treated fairly,” he said. “We want to make sure we have a voice.”

He added that the meeting is open to anyone concerned about the state of things at the shore.

“This isn't about Philadelphians. This isn't about Pennsylvanians. This is about everybody who is affected by this,” Lewandowski said.

The group plans to meet at 7:30 p.m. Jan. 30 at the Edward O'Malley Athletic Associations Edward J. McBride Sports Complex, 144 Moore St. in South Philadelphia.

Wildwood Sidewalks

WILDWOOD — The faded colored sidewalks that line Pacific Avenue are scheduled to be removed in the next three weeks and replaced with more traditional paving. The rocket shaped street signs are also slated for removal. A $174,000 grant from the Department of Housing and Urban Development and $200,000 from the Downtown Business Improvement District budget are earmarked to pay for the work designed to “revitalize” Pacific Avenue. According to reports, Bud Concrete of Sewell, and Marandino Concrete Co. Inc. of Vineland, bid on the project.

Cape May County Herald

Home Values Increasing

Market Conditions
by Carla L. Davis
Realty Times

Many investors have been hoping that what was a seasonal slowdown in the last quarter of 2005 will turn into quick, consistent drops in home value.

But even when appreciation rates slow by several percentage points, homes are still increasing in value at rates near 10 percent -- and sellers know it.

Blending old with new, San Diego County, California, has become what experts call one of the most desirable places in the country to live.

Even with the real estate market slowing in the area, average home price for the area was 4.9 percent above what it was last year. The median home price in the area is currently $571,300. Consider those numbers and the fact that the County offers miles of beach access, mountains, and desert and a booming economy and it is no wonder people flock to the area.

Experts warn, however, that while you can still get amazing returns when selling your home, sellers need to be prepared for their homes to sit on the market longer than usual. This is a direct result of what our experts refer to as a "moderate market," where slowing rates of appreciation, a growing inventory, and higher interest rates cause the negotiating tables to be more even, instead of in strong favor of sellers.

This is a far cry from early 2003, where, according the National Association of Realtors, 21 percent of all houses went into contract less than one week after going on the market. CNN Money adds that on average, houses sold in just five weeks -- nearly half the time it took throughout the 1990s.

Another area of interest for investors is further up the western coast, in Portland, Oregon. Portland, home to an increasing diverse half a million population, saw a substantial downturn in the month of December. New listings fell by 6 percent -- and accepted offers dropped almost 10 percent. Theses figures may be more the norm now, but earlier in 2005 the market in Portland was thriving. On average there was a 15 percent increase in sales price -- which brought the 2005 average to $289,000.

These increases have some thinking the market is forming a bubble, but our experts note that these prices simply demonstrate that Portland's market is finally catching up with other major west coast cities.

Has the real estate fever experienced in the United States over the last few year been caught by our northern neighbor. Our real estate experts in Edmonton, Alberta, think so.

Edmonton is home to over a million residents and is the capital city of Alberta. With supply down by 20 to 30 percent -- prices are set to rise -- and quickly. The number of sales were up 14.5 percent last year alone. The average price for a residential property last year was $196,000 -- that is a 7 percent increase.

And finally today, we travel east, to the great state of Pennsylvania. Pittsburgh, Pennsylvania, known for old world architecture and historical landmarks, has seen a steady movement to the real estate market. Appreciation rates have ranges anywhere from 3 to 5 percent a year -- consistent with, if not slightly under, the national average. Time will tell if this trend continues in 2006. Warm temperatures have started Pittsburgh's market off early this year -- perhaps giving it the jump start it needs.

Regardless of the area you live in, there is no sure-fire prediction of what the market will do. Experts urge that consumers look to patterns in their area's real estate past and pay close attention to the state of the local economy.

Realty Times

Windy Wildwood

Winds Howl, Cause Damage At Jersey Shore
Trashcans Thrown Around By Wind

POSTED: 3:59 pm EST January 18, 2006
UPDATED: 4:16 pm EST January 18, 2006

WILDWOOD CREST, N.J. -- The high winds left many residents of the Jersey Shore amazed and scared Wednesday morning.

"The wind was just howling, it was just tremendous," said Lou Abbatiello, of North Wildwood, N.J.

The sky wasn't falling in Wildwood Crest Wednesday morning, but pieces of the roof at the Bristol Plaza Motel were.

"I was surprised to see this. It's crazy," Abbatiello said.

Mother Nature left a large chunk of the motel's roof dangling and tore siding off a house in West Wildwood as wind gusts close to 60 mph pounded the Jersey Shore.

"My whole building where I live was rattling. It was howling. There were trashcans flying. They were taking off -- I mean just shooting. It was unbelievable," Abbatiello said.

Torrential rain also flooded streets in the Wildwoods and forced drivers to deal with a wave of weather woes.

"It's really bad down here today. Last night was really, really bad," said Bernadette Money, of Wildwood, N.J.

In Atlantic City, casinos have security to make sure they don't get ripped off, but even Donald Trump couldn't stop the wind from dealing a damaging blow to a sign on his casino Wednesday.

In western Atlantic County, trees were toppling.

"The storm just brought the tree up out of its roots and knocked it against the house," said Jeanette Pratt, of Weymouth Township, N.J.

Powerful gusts made a mess of Jeannette Pratt's front yard.

"It just dented the gutter and we're thankful nobody got hurt," Pratt said.
Copyright 2006 by NBC10.com. All rights reserved

FHA Changes

FHA Relaxes Property and Fix-up Rules
by Kenneth R. Harney
Realty Times


A major new streamlining of property condition and repair rules by the Federal Housing Administration could be excellent news for thousands of moderate-income home sellers and buyers -- and their realty agents -- across the country.

As the government's largest mortgage program, the FHA traditionally has been a key low-downpayment resource for first-time buyers with less than perfect credit. But in recent years the FHA has also been criticized for overly-bureaucratic rules and glacial processing times. Among its most controversial regulations have been its stringent property condition and inspection rules for resale homes, which required sellers to repair even the most minor property defects before the FHA would insure a would-be purchaser's loan.

In fast-moving urban markets during the boom years of 2003-2005, realty agents often advised sellers to ignore or reject purchase offers that carried FHA financing contingencies. With no-hassle subprime mortgage money readily available to buyers, agents reasoned, why complicate a sales transaction with potentially costly and time-consuming cosmetic repairs?

FHA rules prohibited financings where the property had cracked window panes, cracks in sidewalks, signs of "poor workmanship," defective floor finishes, leaky faucets, worn out or buckled carpeting, missing handrails on staircases, among others. Not only did sellers have to pay for repairs when their purchasers applied for FHA financing, but they had to submit to reinspections -- all of which ate up time and sometimes killed the sales transaction altogether.

But now FHA says it has purged itself of its old, nit-picky property condition rules. In the words of FHA Commissioner Brian D. Montgomery, the agency has "shifted from its historical emphasis on the repair of minor property deficiencies and now only requires repairs for those property conditions that rise above the level of cosmetic defects, minor defects or normal wear and tear."

In his letter to lenders, Montgomery also announced streamlined new procedures eliminating once-mandatory termite and pest inspections, septic system and well inspections even when no observable infestation or contamination was evident.

Montgomery's policy changes are designed to help FHA win back its traditional share of the U.S. mortgage market. FHA accounted for 11 percent of all home loans as recently as 1997, but saw that share steadily dwindle in recent years to an estimated 3 percent for 2005. Montgomery and HUD Secretary Alphonso Jackson conceded last year that FHA's decline was directly attributable to realty agents' and lenders' perceptions of it as overly bureaucratic and "a pain to deal with."

During the past six months, FHA has embarked on an aggressive campaign to attract new loan volume by reinventing itself. It has introduced new loan programs, put greater underwriting decision making in lenders' hands to speed up processing, streamlined its appraisal rules by adopting Fannie Mae's widely-used forms, and has now reached out to its realty brokerage critics by easing property condition and repair standards.

Under the revised rules, property defects that could affect "health and safety" must still be corrected in advance. But everything else below that threshold must merely be noted by appraisers, not fixed in advance by sellers.

Combined with FHA's generous new mortgage limits for 2006 -- up to $362,790 in high cost markets and up to $200,160 elsewhere -- FHA financing should get renewed attention by sellers, Realtors, builders and buyers in the coming months. FHA loans require no specific credit score levels and never carry prepayment penalties. Better yet, FHA often offers significantly lower interest rates than subprime loans priced to consumers with comparable credit risk.

"We've got a superior product" in comparison with most alternatives, says HUD Secretary Jackson. "We need to reach out" to African-American, Hispanic and other home buyers to show them that FHA now "offers a much better deal."

Published: January 16, 2006
Realty Times

The Perfect Second Home May Be a First

The Perfect Second Home May Be a First
by Al Heavens
Realty Times


I've spent so much of my adult life trying to keep my primary residences from collapsing on me that I've never had enough spare time to own a second home, too.

It's not that the thought hasn't cross my mind occasionally. Just as it does, however, an electrical switch fails, or the furnace blower fan sputters to a halt, or the check valve on the sump pump sounds like the Second Battle of the Marne.

The checkbook opens, number 90xx is filled out and signed, and $400, $500 or more is deducted from the ever-dwindling balance.

Yet, someone must be out there buying. Clearly a third of all residential real estate sales in 2004 were second homes. My friends Tom Kelly and Christine Hrip Karpinski, for example, are selling great numbers of books about buying property in Mexico or owning vacation rental homes, so someone obviously has the money to do it.

My monthly mortgage payments have always been exceeded by private school and college tuition payments, so there hasn't been much to play with. I thought it was just me, but I look at my neighbors and realize that most of them are one-house people, too.

Even my next-door neighbors who do have a house at the shore inherited it from parents who bought it when property was sand cheap.

Yet, when the bills were stacked high on the kitchen table, we've always treated ourselves to really nice vacations. Before the kids started school, we went in the cheaper off-season. During their school years, we vacationed with everyone else.

Wherever we went, I found I had enough time to look at property with a wouldn't-it-be-nice attitude.

We spent a week in two consecutive Junes in the mid-1980s at a resort outside of Charleston, S.C. The houses we rented were not beach front but they were much nicer than our ever-in-need place back home, especially the central air conditioning and the modern, eat-in kitchen and spacious bedrooms. My wife and I went as far as discussing whether to buy one of the less-expensive places and renting it out 50 weeks a year.

Talking is as far as we got. We then found the west coast of Ireland, made friends in a small village, and began looking at a place for sale across the road from our friends' bed and breakfast.

The price: 17,000 Irish pounds, which was about $30,000 US. The house needed everything, including financing, since Irish banks did not lend mortgage money to foreigners. We didn't have enough equity in our primary residence for even a $30,000 second mortgage, plus the work would have cost a small fortune. The lottery was the only other option, and we never could win it.

Today, 15 years later, that house is worth $400,000 US, and we still can't afford it.

Every vacation brought another dream. One year it was Cape Cod. Unfortunately, we owned two primary residences, and two mortgages on top of school tuition were more than enough for us, thank you.

Then there was an apartment in Paris, a flat in London or a condo at Hilton Head. We couldn't escape the idea of a second home even when we were tent camping. Last year, we ventured out from Acadia National Park and into Bar Harbor, Maine, looking for places in the $400,000 range.

I can barely put up with a short and rainy Middle Atlantic winter these days. Seven months of nor'easters would put me under in eight months.

Things have gotten better. We have a primary residence that increases in value and requires little more than regular maintenance. We've finished paying tuition. Our new tent doesn't leak.

We still don't own a second house, and it's not that I can't afford one. It's just that I'm not ready for one. Twenty years ago, a second home meant a place to get away from it all. Today, with retirement looming, a second home means a place to go when I'm done here, and I haven't begun to figure out the best place to spend the rest of my life.

Fortunately, real estate is more of a liquid asset than it was 20 years ago, which means that if you don't like, you can change it and probably make money in the deal. If you move to Maine and decide that snow isn't your thing, there's always someone waiting in the wings to take it off your hands.

Although I've never owned a second home, I've stayed in enough of them to come up with ideas to make my house more livable. So, in effect, my primary home these days is good enough to be a second home, too.

Published: January 12, 2006
Realty Times

Smoking Ban in NJ

N.J. ban on indoor smoking passes: The Assembly sent the bill, with an exemption for casino floors, to Gov. Codey. He is expected to sign it Sunday.

The Philadelphia Inquirer (Philadelphia, Pennsylvania) (via Knight-Ridder/Tribune Business News); 1/10/2006

Byline: Kaitlin Gurney

Jan. 10--TRENTON -- Assembly lawmakers gave the final nod yesterday to a bill that will make New Jersey the latest state to bar smoking in restaurants, bars, and most other indoor public places. The ban excludes the gambling floors at Atlantic City's casinos, a compromise that prompted weeks of debate and nearly an hour of testimony yesterday before the 64-12 vote on the last day of the lame-duck session. Although a number of lawmakers said they regretted the exemption, saying it would subject the state's 50,000 casino employees to secondhand smoke, most conceded that the bill would not have passed without it.

"Politics is the art of the possible, and this measure is one of the most important pieces of legislation the Assembly will ever pass," said Assemblyman Herb Conoway (D., Burlington), a physician who cosponsored the bill. Gov. Codey, a smoking-ban champion who in November brokered the casino compromise with South Jersey lawmakers concerned about Atlantic City's economy, said he expected to sign the legislation Sunday. He praised Assembly lawmakers for their action, saying New Jersey would become "a healthier state." "We talked about this for a long time, and it's about time we did it," Codey said last night. The smoking ban will become law 90 days after Codey signs it. Smokers or business owners who violate it will be fined up to $1,000 for each offense.

The Assembly also gave final legislative approval to another antismoking measure Codey supported. That legislation will raise the legal age for cigarette sales from 18 to 19. Bar and restaurant owners opposed the smoking ban, citing economic concerns. But the measure received passionate support from the American Cancer Society and other public-health advocates, who broke into applause and cheers from the gallery after the vote. "This vote removes the stigma of New Jersey as the ashtray of the Northeast," said Tom Duffy, executive vice president of the New Jersey chapter of the American Cancer Society. Connecticut, Delaware, Maine, Massachusetts, New York, Rhode Island and Vermont have also passed statewide smoking bans with varying restrictions. Philadelphia is considering a similar proposal. State Sen. Shirley Turner (D., Mercer) announced last night that she would sponsor a bill during the new legislative session, which begins today, to go one step further and ban smoking from casino floors. "If the mom-and-pop stores and the small restaurants have to ban smoking, the ritzy casinos should, too," she said. But Sen. John Adler (D., Camden), who fought for nearly a decade for the ban's approval and was a primary sponsor, said a ban excluding casinos is "as far as the Legislature is prepared to go for now." He cited data from New York City showing business has improved for bars and restaurants since smoking was banned. In Delaware, by contrast, revenue at racetracks equipped with slot machines fell after smoking was banned, Adler noted. "Politics is about getting done as much as you can get done," he said. "Two years ago, it would have been unthinkable to pass a smoking ban that would cover restaurants, bars and country clubs. It's terrific we've moved so far."

The state sets a dangerous precedent by bending legislation to suit the powerful casino lobby, Assemblyman Richard Merkt (R., Morris) said. "This says that in our state if you're a big business, you get concessions, but if you're a small business, you get the back of the hand," he said. Assemblyman Guy R. Gregg (R., Morris), a former restaurant owner, argued that the state should leave decisions about smoking preferences to individual businesses. Two-thirds of the state's restaurants outlaw smoking, and even more allow smoking solely at their bars, he said. "Our system has worked, but here we are trying to mess with the system," Gregg said. "If this is about public health, there should be no exceptions. Once you make an exception, you lose your credibility." The vote did not follow party lines, with Democratic restaurateurs opposing the proposal while Republican public-health advocates supported it. Assemblyman Bill Baroni (R., Mercer) stood up to support the legislation, arguing that "this ban may not be perfect, but perfect does not have to be the enemy of the good." Votes on Ban Below are the New Jersey Assembly members who voted against the Smoke-Free Air Act. Two others abstained, and one legislator was absent. Voted against:Christopher Bateman (R., Somerset), Peter J. Biondi (R., Somerset), Michael Patrick Carroll (R., Morris), Neil M. Cohen (D., Union), Christopher J. Connors (R., Ocean), Joseph Cryan (D., Union), Michael J. Doherty (R., Warren), Guy R. Gregg (R., Morris), Alison Littell McHose (R., Sussex), Richard A. Merkt (R., Morris), Samuel D. Thompson (R., Middlesex), and Jeff Van Drew (D., Cape May).

Abstained:Paul DiGaetano (R., Essex) and James W. Holzapfel (R., Ocean). Absent:Evelyn Williams (D., Essex). Contact staff writer Kaitlin Gurney at 609-989-7373 or kgurney@phillynews.com.

Copyright (c) 2006, The Philadelphia Inquirer

Distributed by Knight Ridder/Tribune Business News.