Unpaid Loans – Capital Improvement Authority Devco Fails to Make $1 Million Loan Payment on Hotel

 

Devco is a shorthand term for the New Brunswick Development corporation. In 2007, the organization opened up a new resort called the Heldrich in Atlantic City which features 235 rooms. Johnson & Johnson is the largest customer of the new resort and also has executives on the board of Devco. The resort hasn’t been able to pay back the loans because the resort has been struggling to attract visitors. These loans were issued by the Middlesex County improvement authority. Much of the resort’s inability to have any success can be attributed to the 2007 economic downturn. Municipal bonds issued by the improvement authority have also been issued for the purposes of funding a new campus of Stockton University. The Heldrich has been held in high regard by those whom created the project, as they feel that the project has managed to turn around something which was crappy and make it something marvelous.
Devco is a non-profit organization which sees it’s role as being a major developer. The non-profit has built new facilities for higher education, healthcare, transit, K-12 education, government, and cultural. Many of their projects are schools and hospitals, as well as institutions of higher education. The organization seeks to ensure that there is positive development activity in the New Brunswick area to restore run down areas. The non-profit has a board of 13 members whom have great backgrounds that allow their insight to be provided on a regular basis. The company is there to build real estate in markets which would not be impacted by normal development projects. Many of their projects have won awards and been recognized as being smart uses of space. Devco has had a positive impact in the community, and has created a great space for individuals to express themselves and enjoy productive lives. Read full report on Press of Atlantic City.