The Press of Atlantic City has recently reported the Middlesex County Improvement Authority has failed to make a $1 million repayment on a CRDA loan that adds to arrears dating back a number of years. The $20 million loan was part of a $107 million financing package created by the New Brunswick Development Corporation from private and public groups; the DEVCO works on a not for profit basis in its bid to revitalize the New Brunswick and Atlantic City areas.
The initial Devco was created in the 1970s and is now headed by attorney Christopher Palatino, who has pushed the reach of the group out to include Atlantic City. The New Brunswick Devco has worked on a number of projects in recent years to bring a better standard of living to the people of New Jersey, including the New Brunswick High School and Lord Stirling Community School.
A major part of the focus for the New Brunswick Development Corporation and its sister group in Atlantic City is the need for every project to have its basis in the need for assistance for the community of New Jersey; along with the need for an anchor within the community the Devco also seeks to bring economic growth to New Jersey.
After stitching together the financing for the development of the 235 room The Heldrich casino and hotel the repayment of the CRDA loans become the responsibility of the Middlesex County Improvement Authority. Initial bond repayments have already been made before the latest round of loan repayments were missed; Christopher Paladino of the Devco believes the loan repayments will be made as The Heldrich continues to increase its levels of occupancy and become profitable as New Jersey continues to be redeveloped.