Bill Text: NJ S4215 | 2026-2027 | Regular Session | Introduced
Bill Title: Limits resale of certain real property formerly owned by public body in certain circumstances; bans deed restrictions limiting use of commercial real property in certain circumstances.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Introduced) 2026-05-11 - Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee [S4215 Detail]
Download: New_Jersey-2026-S4215-Introduced.html
Sponsored by:
Senator RAJ MUKHERJI
District 32 (Hudson)
SYNOPSIS
Limits resale of certain real property formerly owned by public body in certain circumstances; bans deed restrictions limiting use of commercial real property in certain circumstances.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the payment of prevailing wage on work performed on certain real property formerly owned by a public body and amending P.L.1963, c.150 and supplementing Title 46 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 3 of P.L.1963, c.150 (C.34:11-56.27) is amended to read as follows:
3. a. Every contract in excess of the prevailing wage contract threshold amount for any public work to which any public body is a party or for public work to be done on property or premises owned by a public body or leased or to be leased by a public body shall contain a provision stating the prevailing wage rate which can be paid (as shall be designated by the commissioner) to the workers employed in the performance of the contract and the contract shall contain a stipulation that such workers shall be paid not less than such prevailing wage rate. Such contract shall also contain a provision that in the event it is found that any worker, employed by the contractor or any subcontractor covered by said contract, has been paid a rate of wages less than the prevailing wage required to be paid by such contract, the public body, the lessee to whom the public body is leasing a property or premises or the lessor from whom the public body is leasing or will be leasing a property or premises may terminate the contractor's or subcontractor's right to proceed with the work, or such part of the work as to which there has been a failure to pay required wages and to prosecute the work to completion or otherwise. The contractor and his sureties shall be liable for any excess costs occasioned thereby to the public body, any lessee to whom the public body is leasing a property or premises or any lessor from whom the public body is leasing or will be leasing a property or premises.
b. When any real property that is owned by a public body is sold by the public body to a private party, that real property may not be subsequently sold to any person, public body, or private party for a period of 10 years from the closing date of the sale of the property, unless prior to purchasing the property, the person, public body, or private party enters into a formal agreement requiring the payment of the prevailing wage rate for any construction, reconstruction, demolition, alteration, custom fabrication, duct cleaning, repair work, or maintenance work, including painting, and decorating performed during that 10-year period.
c. The Commissioner of Labor and Workforce Development, in consultation with the Division of Local Government Services, shall promulgate rules and regulations concerning the standardization of the contractual language necessary to effectuate the provisions of this section.
(cf: P.L.2021, c.301, s.2)
2. (New section) Any provision of a deed that prohibits commercial real property from being used for the same commercial purpose for which the person or entity selling the property used that property shall be deemed against public policy and shall be void and unenforceable. Notwithstanding the provisions of this section, any remaining provisions of a deed restriction that are not otherwise contrary to any provision of law shall remain in full force and effect.
3. This act shall take effect immediately and shall apply to any real property sold on or after the effective date of this act and to any deeds entered into on or after the effective date of this act.
STATEMENT
This bill requires that any real property sold by a public body to a private party may not be subsequently sold to any person, public body, or private party for a period of 10 years from the closing date of the sale of the property, unless prior to purchasing the property, the person, public body, or private party enters into a formal agreement requiring the payment of the prevailing wage rate for any construction, reconstruction, demolition, alteration, custom fabrication, duct cleaning, repair work, or maintenance work, including painting, and decorating performed during that 10-year period.
The bill provides that any provision of a deed restriction that prohibits the use of commercial real property from being used for the same commercial purpose as the person or entity selling the property used that property is against public policy, void, and unenforceable.
