Category Archives: Hotel Development

The Role Played by DEVCO in Development Projects

The Middlesex County Improvement Authority has defaulted in payment of a loan worth 2 million dollars that was advanced by Casino Reinvestment Development Authority. The purpose of the loan was to finance the construction of the Heldrich Hotel in New Brunswick which was to be done by Devco. The article documenting the story was originally written on the Press of Atlantic City http://www.pressofatlanticcity.com/news/breaking/unpaid-million-crda-loan-raises-questions-about-new-brunswick-devco/article_a03318e2-dcdb-11e5-a563-67611bc7b7bc.html.

The state senate president Stephen Sweeney has praised the corporation and said that it would bring hope in establishment of large scale construction programs.

The Corporation is closely similar to Atlantic City Development Corp. DEVCO is expected to oversee more than 200 million dollars in financing including 19.5 million dollars to develop the Gateway project in Chelsea, in the city. Both corporations are headed by Christopher Paladino who stated that Casino Reinvestment Development Authority would be paid the loan. Refinancing of the loan would partly be repaid from the proceeds that would be received from the hotel. Although the delay has been occasioned by the performance of the hotel, DEVCO assures Casino Reinvestment Development Authority that the loan would eventually be repaid and that it has been delayed because of the revenues collected from the hotel.

The Atlantic County Improvement Authority intends to issue bonds worth 120 million dollars for the construction of Gateway project in May. The proceeds from the issuance will be used to construct a Stockon University satellite campus.

New Brunswick Development Corporation was created in the mid of 1970 as real estate development company to serve both clientele in the public and private in investment projects in New Brunswick. Since the incorporation until today, the Corporation has assisted in carrying out development projects to the tune of 1.6 billion dollars significantly helping in the general improvement of the economy.