City Relocates Storage Garage, Ends Joint Contract with Neighboring City

October 04, 2010

HOBOKEN, NJ - The City of Hoboken, N.J., on September 26 relocated its garage housing municipal vehicles back to its original Public Works Municipal Garage. The move corresponded with the expiration of a 60-day agreement with neighboring City of Weehawken to share a city vehicle storage location, according to a release from the City of Hoboken.

According to a prior release, the agreement with Willow Avenue Enterprises, LLC for vehicle and parts storage services was made July 23. The City of Hoboken and the City of Weehawken would use the location for "for joint use and equitable sharing of storage space," the release stated. City Council had voted to approve the closure of a city street block for the storage of municipal vehicles, a closure prevented with the new agreement. If the agreement was deemed beneficial to both Cities, the municipalities would work towards a long-term solution, possibly involving other neighboring municipalities and agencies.

There have been legal disputes about the location with a company that had an existing lease on the property. The New Jersey Journal reports that the City of Weehawken never paid rent or moved its vehicles to the location because of court proceedings following its agreement with the City of Hoboken.

Hoboken municipal vehicles were vacated from the Public Works Municipal Garage to complete the planned sale of the property. In 2005, under the previous administration, the City borrowed about $16 million against its interest in the municipal garage to cover operating expenses. The developer of the garage location was determined in breach of contract in August, and the City repurchased the garage. The City chose to relocate its vehicles rather than pay for the use of two locations simultaneously.

"Discussions are ongoing to pursue alternative shared services at the [Public Works Municipal Garage]," according to the City.

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