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Developer withdraws 124-unit plan for Paterson’s former YWCA ‘with prejudice’; church compromise fell through, letter says
The developer behind a disputed plan to replace the former YWCA on Carroll Street in Paterson, N.J., with 124 apartments has withdrawn the application “with prejudice,” according to city records. The application had been due back before the Planning Board on Monday, Oct. 26.
Image: Jersey Intel infographic. Photo: Paterson City Hall, Jim.henderson / Wikimedia Commons (public domain).
- What we know: The Planning Board’s Oct. 26 special meeting agenda marks Project A2026-033, Paragon Asset Management LLC, 179-183 Carroll Street, “WITHDRAWN WITH PREJUDICE.” A Sept. 15 letter from the applicant’s attorney, attached to the agenda, says the purchase contract for the site was ended “by mutual agreement.”
- Why it matters: More than 100 residents showed up in August for a hearing that was canceled amid pushback, and the mayor had asked for a smaller project. The letter shows a compromise with a neighboring church fell through.
- What’s next: The posted records don’t say what happens to the YWCA building or who might buy it. Two other housing applications remain on the Oct. 26 agenda.
What the letter says
The letter, dated Sept. 15, 2026, is from Alan J. Mariconda, the applicant’s attorney, to Michael Deutsch, the city’s planning and zoning division director. It’s attached to the Planning Board’s updated special meeting agenda for Oct. 26. “Please be advised that this letter will confirm that the above referenced application is being withdrawn with prejudice,” it says. A withdrawal with prejudice typically means the same application can’t simply be brought back.
The letter says the applicant “made extensive efforts to modify this application” after a first hearing before the board and met with a group of concerned residents. Out of that meeting came a proposal to build housing on only half of the lots, the letter says. The other half would go to “the neighboring church which would rehabilitate the existing YWCA building for use as a Community Center.”
“The ownership of the YWCA declined to access this proposal therefore my client’s Contract to Purchase this site was terminated by mutual agreement,” the letter says. It doesn’t name the church or the property owner. It lists the site as Block 4023, while the agenda and the original hearing notice list Block 4206, Lots 1, 2, 26 and 27.
The plan that was withdrawn
According to the hearing notice published in July, Paragon Asset Management sought a major subdivision, site plan approval and bulk variances for the 45,200-square-foot site at Carroll, Van Houten and Ellison streets. The plan called for removing the existing structures and building four five-story buildings with ground-floor parking and 32, 28, 28 and 36 apartments, for 124 in all. The site is in the RA-2 zone of the Fourth Ward Redevelopment Plan, which permits 3.5 stories. The notice listed variances for setbacks, height, building coverage of up to 90.6% where 60% is allowed, and tandem parking.
News 12 New Jersey reported in August that a Planning Board meeting was canceled after more than 100 residents attended. Residents raised concerns about overdevelopment, parking, traffic and infrastructure, and some wanted the site used for recreation and education. Mayor Andre Sayegh said then that he had asked the developer to scale the project down and urged residents to meet with the developer. NorthJersey.com also covered the canceled meeting.
Still on the Oct. 26 agenda
- 255-257 Spring Street (Spring Property Holdings, Inc.): a five-story, 12-unit building on a 3,991-square-foot lot in the Area 11 redevelopment plan. It has seven parking spaces where 16 are required after EV credits, plus variances for lot area and lot coverage of 95.1% where 70% is allowed. First appearance, 6:30 p.m.
- 84-88 Marshall Street (Marshall Project Holdings, LLC): splitting a 4,634-square-foot corner lot into three lots, each with a three-story, two-unit home, with variances for lot size, setbacks and coverage. First appearance, 7 p.m.
The meeting is virtual. The public can listen or join the speaker queue by calling 1-973-321-1579, meeting ID 8326, or watch on the city’s YouTube channel. Plans can be inspected at the Division of Planning and Zoning, 125 Ellison Street, 4th Floor, by appointment.
Help us follow the YWCA site
Do you know what’s next for the former YWCA building, or which church was part of the compromise talks? If you have documents about the site’s sale or future use, email jerseyintel@gmail.com. If you attend the Oct. 26 meeting, record it and send it to us.
