New Jersey Governor Plans to Double Homes on State Land to 40,000

New Jersey will double the number of homes built on state-owned land, from 20,000 to 40,000, Gov. Mikie Sherrill announced on Sept. 29.

The plan, unveiled at the Governor’s Conference on Housing and Economic Development in Atlantic City, also sets up a “shot clock” meant to keep permit applications moving on clear timelines. It launches a new tax credit auction that the governor’s office said will generate tens of millions of dollars for affordable housing.

The plan was developed by the Housing Governing Council, which Sherrill, a Democrat, created by executive order during her first 100 days in office. The council’s report found that New Jersey must build 350,000 more homes “to keep pace with growth, increase affordability, and remain competitive,” according to the governor’s office.

“Too many New Jerseyans cannot afford their rent or mortgage, seniors are being priced out of their homes, and young people cannot afford to buy their first house—all while the actions of the Trump Administration continue to drive up prices and construction costs,” Sherrill said.

“We need a new approach, and this plan sets in motion urgent statewide action—bringing together government, builders, labor, business, and community leaders—to speed up housing production, get shovels in the ground, and drive down costs. A home is the foundation on which people build their lives and financial security, and I’m taking strong action to ensure New Jerseyans can afford to build their futures here.”

The plan has five main goals: constructing more homes where residents want to live and work; making approvals faster and more predictable; partnering with towns to build and preserve housing; expanding access to housing; and lowering costs while fighting what the administration calls unfair housing practices.

The governor’s office also pointed to work already underway, including transit-oriented housing projects in Red Bank, Bayonne, and Linden; a permitting dashboard tracking six projects that together represent more than 3,700 potential homes; tripling the number of towns getting hands-on help with housing development; and fully funding the state’s response system for homeless veterans.

The administration said it will focus new home construction near transit, jobs, and schools. It also plans to redevelop underused state property, vacant office buildings, and aging strip malls, while preserving existing affordable homes and open space.

Republican Pushback

Republicans in the state Legislature have opposed the state’s housing mandates. In a Sept. 21 statement before the plan was released, Republican state Sen. Joe Pennacchio questioned why Sherrill supports letting towns decide whether data centers belong in their communities but not giving them a say over state housing requirements.

“Governor Sherrill acknowledged that towns have different needs and capabilities, and that what makes sense in one community may not be appropriate in another. That same principle should apply to state-mandated high-density housing,” Pennacchio said.

“Local governments know their communities, infrastructure, school capacities, and available land better than any bureaucrat in Trenton. State housing policies should recognize those differences. Local decision-making is the right approach, but it should be applied consistently.”

Pennacchio said municipal leaders have warned that high-density housing mandates in their current form threaten open space, lead to overcrowding, and strain local resources and infrastructure.

The governor’s office tied the plan to federal policy. It said decisions in Washington, “from President Trump’s tariffs to the war in Iran,” continue to raise construction and housing costs. It also said the Trump administration has weakened protections for renters, homebuyers, and homeowners through its changes to the Consumer Financial Protection Bureau.

The Republican caucus in the state Senate did not respond to a request for comment from The Epoch Times before publication.