Purpose. This article is intended to ensure that any site that benefits from a rezoning, variance or redevelopment plan approved by the Borough or the Planning Board that results in multifamily residential development of five dwelling units or more produces affordable housing at a set-aside rate of 20% for affordable for-sale units and at a set-aside rate of 15% for affordable rental units.

Applicability. This article shall apply except where inconsistent with applicable law.

If the Borough or the Borough Planning Board permits the construction of multifamily or single-family attached residential development that is "approvable" and "developable," as defined at N.J.A.C. 5:93-1.3, the Borough or the Borough's Land Use Board shall require that an appropriate percentage of the residential units be set aside for low- and moderate-income households.

This requirement shall apply beginning with the effective date of this article to any multifamily or single-family attached residential development, including the residential portion of a mixed-use project, which consists of five or more new residential units at a density of six dwelling units or more per acre, whether permitted by a zoning amendment, a use variance granted by the Borough's Planning Board acting as a Board of Adjustment, or adoption of a redevelopment plan or amended redevelopment plan in areas in need of redevelopment or rehabilitation.

For any such development for which the Borough's land use ordinances already permitted residential development as of the effective date of this article, this requirement shall only apply if the Borough permits an increase in approvable and developable gross residential density to at least twice the permitted approvable and developable gross residential density as of the effective date of this article.

Nothing in this section precludes the Borough or the Borough's Planning Board from imposing an affordable housing set-aside in a development not required to have a set-aside pursuant to this section consistent with N.J.S.A. 52:27D-311(h) and other applicable law.

For inclusionary projects in which the low and moderate units are to be offered for sale, the appropriate set-aside percentage is 20%; for projects in which the low and moderate-income units are to be offered for rent, the appropriate set-aside percentage is 15%. Where the set-aside percentage results in a fractional unit, the total set-aside requirement shall be rounded upwards to the next whole number.

This requirement does not create any entitlement for a property owner or applicant for a zoning amendment, variance, or adoption of a redevelopment plan or amended redevelopment plan in areas in need of redevelopment or rehabilitation, or for approval of any particular proposed project.

This requirement does not apply to any sites or specific zones otherwise identified in the Borough's settlement agreement with the Fair Share Housing Center ("FSHC") dated August 25, 2017, or in the Borough's 2018 Housing Element and Fair Share Plan, for which density and set-aside standards shall be governed by the specific standards set forth therein.

Furthermore, this requirement shall not apply to developments containing four or less dwelling units.

Where a developer demolishes existing dwelling units and builds new dwelling units on the same site, the provisions of this section shall apply only if the net number of dwelling units is five or more.

All subdivision and site plan approvals of qualifying residential developments shall be conditioned upon compliance with the provisions of this section.

All affordable units to be produced pursuant to this section and the Uniform Housing Affordability Controls rules (N.J.A.C. 5:80-26.1 et seq.), as may be amended from time to time.