Monmouth County's Next Development Wave: What Developers and Investors Need to Know

Monmouth County is entering a significant new phase of development. For those looking to acquire property or undertake a new project, understanding the market opportunity is only the beginning. The more important question is whether a particular property can actually be developed as contemplated and what approvals, agreements, and other conditions will be required to get there.

Key Takeaways

• Monmouth County is entering a significant period of redevelopment. Major projects, including the redevelopment of Fort Monmouth, are creating opportunities for developers and investors across the region.
• Growth will extend beyond individual project sites. New development is likely to affect housing demand, commercial activity, property values, infrastructure, and surrounding communities.
• Regulatory issues can significantly affect a project’s feasibility. Evaluate zoning, land use approvals, environmental concerns, affordable housing requirements, infrastructure, and municipal agreements early.
• Due diligence is critical. Developers and investors should understand both the opportunities and potential legal and regulatory obstacles before acquiring property or committing to a project.

Fort Monmouth Is Part of a Larger Development Picture

The redevelopment of Fort Monmouth has brought significant attention to the transformation of Monmouth County’s real estate market. Yet Fort Monmouth is only one part of a broader development trend taking shape across the county. Major residential, commercial, mixed-use, and institutional projects are moving forward in communities throughout Monmouth County, creating opportunities for developers and investors while also presenting a range of legal and regulatory considerations.

Netflix’s development of Netflix Studios Fort Monmouth is the most visible example of investment in the county. The studio campus will ultimately include 12 soundstages totaling nearly 500,000 square feet across a 292-acre parcel in Oceanport and Eatontown. The first phase is expected to open in 2027, with the remaining soundstages anticipated to follow in 2028.

The project’s significance extends beyond the Fort Monmouth property itself. A major employment center can create demand for housing, restaurants, hotels, retail, professional services, industrial and flex space, and other businesses that support the new workforce and the activity generated by the studio.

Of course, Netflix is not the only major project underway. The planned redevelopment of Monmouth Park in Oceanport, the transformation of the former Monmouth Mall into Monmouth Square, new residential developments in Middletown, Asbury Park and Red Bank, and senior housing planned for the former Vonage property in Holmdel are among the projects contributing to the county’s broader development pipeline.

That broader activity may matter more to developers and investors than any individual project. Development in one location can change the economics of properties several miles away, especially when new housing, employment, transportation improvements, and commercial activity reinforce one another.

Redevelopment Does Not Happen in a Vacuum

For developers, one of the most important lessons from Fort Monmouth is that major redevelopment projects require considerably more than a willing buyer, available financing, and a desirable location. The Fort Monmouth redevelopment has involved multiple municipalities, the Fort Monmouth Economic Revitalization Authority (FMERA), state agencies, and federal authorities. The project has also required coordination concerning land use, environmental remediation, infrastructure, utilities, traffic, historic preservation, and tax matters. The Netflix development also operates under Amendment 20 to the Fort Monmouth Reuse and Redevelopment Plan.

While other redevelopment projects may not involve anything close to the scale of Fort Monmouth, the same basic principle applies. A property that appears attractive from a market perspective may have significant legal or regulatory issues that affect its value.

Before acquiring a property for development, investors should understand the applicable zoning, whether the property is located within a redevelopment area, whether a redevelopment plan governs the site, and whether the proposed use is permitted as of right or will require variances, zoning amendments, or other approvals. Answer those questions well before closing.

Redevelopment Designations Can Change the Equation

New Jersey’s redevelopment laws give municipalities tools that can substantially influence a property’s future use. A municipality may designate an area as requiring redevelopment and adopt a redevelopment plan establishing permitted uses, development standards, and other requirements. In some circumstances, redevelopment can also provide a framework for public-private agreements and other incentives that would not otherwise be available.

Oceanport’s continuing planning activity around portions of Fort Monmouth illustrates why developers should pay attention to these processes. In June 2025, the borough authorized its Planning Board to study a portion of the property as a potential Area in Need of Redevelopment. That process has continued to move forward.

For property owners and investors, these proceedings can create both opportunities and uncertainty. A redevelopment designation may increase a property’s development potential, but it can also impose requirements that affect the project’s cost, timing, and permitted uses. Understanding where a municipality is heading before a redevelopment plan is finalized can therefore be valuable to a developer considering an acquisition.

Zoning and Land Use Remain Central Issues

Even in a strong market, a development project can fail to make financial sense if the proposed use can’t be approved within the anticipated timeframe or at the anticipated cost. Developers should evaluate the zoning and land-use history of a property as part of their initial due diligence. That includes reviewing the municipal zoning ordinance, master plan, redevelopment plans, prior approvals, existing variances, development agreements, and any conditions imposed by a planning or zoning board. It is also important to speak with the right governmental personnel early on in the process to better understand the municipality’s vision for development.

A property’s history can be as important as its current zoning designation. Prior approvals may contain conditions that continue to affect the property. Existing development agreements may impose obligations related to infrastructure or affordable housing. A proposed redevelopment may also require amendments to municipal plans or ordinances before the project can proceed. These issues can materially affect a project’s underwriting.

Environmental and Infrastructure Issues Can Be Just as Important

Environmental conditions deserve particular attention when evaluating redevelopment opportunities involving former industrial, military, or commercial properties. Fort Monmouth is an obvious example. Redeveloping a former military installation requires extensive environmental work and coordination with federal and state authorities. Smaller redevelopment projects may present different environmental issues. Still, the underlying concern is the same: contamination, wetlands, flood hazards, stormwater requirements, or other site conditions can significantly affect development costs and schedules.

Infrastructure is another consideration that can be easy to overlook when evaluating a property. A proposed development may depend upon improvements to roads, utilities, drainage, or other public infrastructure. The developer may be required to contribute to those improvements or enter into agreements concerning their construction and maintenance. Transportation improvements can also change the development potential and value of surrounding properties.

Housing Development Presents Its Own Legal Considerations

Residential development is another major component of Monmouth County’s current development cycle. Projects range from townhomes and multifamily housing to senior living communities. The Middletown townhome project, for example, followed a court-supervised settlement that ultimately allowed up to 136 townhomes after an earlier proposal called for substantially greater apartment density.

The legal issues surrounding residential development can extend well beyond traditional zoning questions. Developers may need to address affordable housing obligations, density limitations, site-plan requirements, traffic and infrastructure improvements, environmental constraints, and the terms of agreements with municipalities.

New Jersey’s affordable housing requirements can be particularly important when evaluating residential development opportunities. The number and type of units that a developer may be required to provide can affect the project’s design and financial feasibility. Evaluate those obligations at the start of the development process, not after a project has been designed.

Due Diligence Should Extend Beyond the Property

One of the biggest mistakes a developer can make in a changing market is evaluating a property in isolation. The surrounding area may matter as much as the property itself. What projects have been approved nearby? What is the municipality considering? Are transportation improvements planned? Is additional residential development likely to increase demand for retail or services? Could a competing project affect the market for the proposed development?

These questions matter most when a major anchor project is involved. Netflix’s Fort Monmouth campus is expected to generate demand for production-related businesses, housing, hospitality, and other services. Similarly, a large mixed-use project such as Monmouth Square can change traffic patterns, retail demand, and residential development patterns well beyond its own boundaries.

For an investor, those changes may create an opportunity. They can also create risks that should be reflected in the purchase price and development plan.

The Public-Private Structure Matters

Large redevelopment projects also demonstrate the importance of understanding who controls the development process. FMERA, a state authority created to oversee the installation’s reuse after the Army closed the fort, is overseeing Fort Monmouth’s transformation. The redevelopment therefore operates within a different framework than a conventional private development on privately owned land. Other projects may involve municipalities, redevelopment entities, public financing, tax incentives, redevelopment agreements, or other public-private arrangements.

For developers, these structures can provide significant benefits, but they also create additional legal obligations. Agreements with governmental entities may impose deadlines, development requirements, infrastructure obligations, affordable housing commitments, use restrictions, or other conditions that developers must understand before committing substantial capital.

The Opportunity Requires Careful Planning

Monmouth County’s current development activity presents real opportunities for developers and investors. But a strong market does not eliminate the legal issues that can determine a project’s success.

The most attractive properties may be those where the market opportunity and regulatory environment move in the same direction. A property located in an area targeted for redevelopment, supported by appropriate infrastructure, and consistent with the municipality’s planning objectives may have substantially different prospects from a property that requires years of zoning changes and uncertain approvals. That is why legal due diligence should begin before signing a purchase agreement and continue throughout development.

Developers should understand the zoning and redevelopment framework, identify environmental and infrastructure issues, evaluate affordable housing obligations, review existing agreements and approvals, and determine what governmental approvals will be required. Address those issues through appropriate due diligence periods, contingencies, representations, and other protections.

Monmouth County’s Development Wave Is Still Taking Shape

The transformation underway in Monmouth County is larger than any single project. Fort Monmouth and Netflix have been major catalysts. Still, projects throughout the county are contributing to a broader shift in how residential, commercial, and mixed-use properties are being developed.

For developers and investors, the opportunity isn’t simply to identify where construction is happening today. It is to understand where municipal planning, infrastructure investment, housing demand, and private capital are likely to intersect next. That requires looking beyond the headlines and understanding the legal framework governing each property and each municipality. Developers who conduct that analysis early will be better positioned to identify opportunities, anticipate obstacles, and make informed decisions about where to put capital.

Frequently Asked Questions About Monmouth County Development

What is driving development in Monmouth County?

Netflix Studios Fort Monmouth is the most visible example, but it is one part of a broader pipeline. The planned redevelopment of Monmouth Park in Oceanport, the transformation of the former Monmouth Mall into Monmouth Square, new residential developments in Middletown, Asbury Park, and Red Bank, and senior housing planned for the former Vonage property in Holmdel all contribute to the county’s development activity.

What should developers review before acquiring a property in Monmouth County?

Developers should understand the applicable zoning, whether the property is located within a redevelopment area, whether a redevelopment plan governs the site, and whether the proposed use is permitted as of right or will require variances, zoning amendments, or other approvals. The review should also cover the master plan, prior approvals, existing variances, development agreements, and any conditions imposed by a planning or zoning board.

How can a redevelopment designation affect a property?

A redevelopment designation may increase a property’s development potential, but it can also impose requirements that affect the project’s cost, timing, and permitted uses. In some circumstances, redevelopment can also provide a framework for public-private agreements and other incentives that would not otherwise be available.

Why do affordable housing obligations matter in residential development?

The number and type of units that a developer may be required to provide can affect the project’s design and financial feasibility. Evaluate those obligations at the start of the development process, not after a project has been designed.

Why should due diligence extend beyond the property itself?

Development in one location can change the economics of properties several miles away. Nearby approvals, municipal planning, transportation improvements, and competing projects can create opportunities, and they can also create risks that should be reflected in the purchase price and development plan.

How Scarinci Hollenbeck Can Help

Scarinci Hollenbeck’s Real Estate, Land Use and Development attorneys advise developers, investors, and property owners on acquisitions, redevelopment projects, zoning and land-use approvals, tax abatements and other incentive programs, redevelopment agreements, affordable housing requirements, and other legal issues that can affect the feasibility and value of a development project. As Monmouth County’s development landscape evolves, our attorneys help clients evaluate opportunities, identify potential obstacles, and navigate the regulatory process from acquisition through development.

Donald M. Pepe is a Partner in the group and practices out of the firm’s Red Bank office in Monmouth County. Before joining the firm, he served as Division General Counsel of the nation’s largest residential real estate developer, and he sits on the Board of Directors of the Monmouth Ocean Development Council. To discuss a Monmouth County development matter, contact Donald Pepe at Scarinci Hollenbeck’s Red Bank office.