DEVCO is the trademark of an urban real estate developer that operates as a non-profit service that is dedicated to revitalizing New Brunswick, New Jersey. A $20 million construction loan that Devco obtained from the Casino Reinvestment Development Authority (CRDA) is now over $7 million behind in back payments. The huge property has yet to achieve more than the paltry 63 percent occupancy, to date. Of course, the main problem has been the problems with the U.S. economy. But, as the nation’s economy turns around, it is believed that New Brunswick will greatly benefit and actually end up in a big new growth market.
The large hotel Devco built includes a big conference center with many huge meeting rooms. The current income on the property barely covers operating expenses. The primary attorney administrating the project at Devco, who also works for the Atlantic City Development Corporation, is Chris Paladino. He put the deal together that got the original loan with ideas for a new type of hotel with an award winning design. He claims the loan will only be delayed by a couple of years. He also seems quite unruffled by the delays.
It was local New Brunswick investors who put up the most active investment dollars. Devco has distributed $1.6 billion of these investments into various projects designed to revitalize the city, improve overall living conditions there, and in the process get a positive return on everyone’s investment. Devco’s plan for helping the city return to a healthy place to raise a family and run a business. Read more details in this Press of Atlantic City article.