The Jersey City Redevelopment Agency asked the municipal council on Monday to authorize discharge of a deed restriction tied to land formerly purchased in partnership with the New Jersey Economic Development Authority to enable an expansion at Jersey City Medical Center. Diana Jeffrey, director of the Jersey City Redevelopment Agency, said the hospital’s planned project would increase ambulatory care and beds and requires lifting the restriction to proceed with financing.

The change matters because it would free a small portion of a 15-acre campus for sale and financing that the hospital says is necessary to build a multi‑story parking garage and three medical office buildings. “If the deed restriction is discharged,” Jeffrey said, “the project that they’re contemplating can only be undertaken if the deed restriction is discharged.”

The JCRA negotiated a payment of $26,750,000 from the hospital to the redevelopment agency, which the agency said it would pass on to the city. “What the city does with that payment is not up to the JCRA or the hospital. It’s completely and solely in your decision and discretion,” Jeffrey told council members.

Nevins McCann, partner at Connell Foley and longtime member of the hospital’s board, described the expansion as intended to address parking and capacity issues the hospital has faced for years and to add outpatient services across the campus. McCann said the hospital plans a garage of “approximately 12 to 1,400 parking stalls” and described the medical center as “the largest charity care hospital in Hudson County.” He said the hospital bought the property about eight years ago and would sell a small portion to finance the garage and additional facilities.

Council members asked for clarifications on the parcel, parking and the negotiated payment. McCann and Jeffrey said the discharged restriction would next be considered by the state Economic Development Authority; they described broad support there and from the JCRA but did not report a final EDA action. No formal council vote to discharge the deed restriction was taken during the caucus; the item remained listed as ordinance 25‑97 for later council consideration.

Key numerical and procedural details discussed: the negotiated payment to the JCRA is $26,750,000; the hospital said it purchased the property for about $24,000,000; the garage was described in the meeting as roughly 1,200–1,400 spaces. Council members pressed the hospital on local impacts such as teacher parking lost to earlier street changes and asked the hospital to consider community accommodations. Jeffrey and McCann said the JCRA and hospital have been negotiating for years and that the city’s final use of the payment would be a council decision.

The matter was presented as an ordinance (item 3.3) and discussed but not adopted during the caucus; council members requested additional detail and follow-up from planning and redevelopment staff before a final vote.

The council scheduled further consideration during the formal meeting process; the hospital and JCRA said they will appear before the EDA after any local approval.