Developer Withdraws Paterson Apartment Complex Plans
The proposal for a 124-unit housing project at the former YWCA site is canceled following intense community opposition.
Updated on Oct. 27, 2026 in Apartments
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Developer Fernando Hernandez has officially withdrawn his application to construct a 124-apartment complex at the former Paterson YWCA site. The decision follows a period of significant pushback from the local community and a failed attempt to negotiate a modified plan with the property owner.
Why it matters
The cancellation highlights the challenges of balancing new high-density housing needs with local neighborhood concerns in Paterson. Furthermore, the site faces mounting financial pressure as property assessments continue to climb.
The property assessment for the site jumped to $2.7 million in 2026 from $1 million in 2025. Additionally, the site carried $65,000 in sold tax liens as of December 2025.
The players
Fernando Hernandez
He is the real estate developer who sought to build the housing complex.
The Enrichment Center for Women, Children and Families
This organization owns the former YWCA property.
Andre Sayegh
He is the Mayor of Paterson who has overseen significant city development since 2018.
The details
The project, intended for the site bounded by Carroll, Van Houten, and Ellison streets, stalled after the Planning Board canceled an August 19 meeting due to local protests. The property owner, The Enrichment Center for Women, Children and Families, ultimately rejected a revised proposal that would have included a community center on part of the land.
Timeline
2018: Andre Sayegh became mayor of Paterson.
December 2025: Tax liens worth $65,000 were sold on the property.
2025: The property was assessed at approximately $1 million.
August 19, 2026: A Planning Board meeting was cancelled following protests.
October 23, 2026: A memo from the developer’s lawyer confirming the withdrawal was made public.
Culture Shift
The project withdrawal reflects the tension between rapid urban densification and existing neighborhood character. This movement marks a departure from the city's $1 billion in new development value seen since 2018, as residents increasingly push back against large-scale construction.
Residents in the 4th Ward can expect the site to remain vacant for the immediate future rather than transitioning into a high-density residential area. Those monitoring real estate trends should note that the rising property assessment may force the owner to seek new development or sale options soon.
The takeaway
Large-scale urban development projects often require significant community alignment to succeed. Property owners in high-tax areas may find it increasingly difficult to hold onto land without active plans to address both municipal assessments and neighborhood concerns.
Further reading
For more information on local housing developments, see the Paterson Apartments section.
Source note: This article includes information reported by North Jersey.
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