Sustaining and Growing the French Street District

The nonprofit organization New Brunswick Tomorrow, together with a committee of business owners, property owners, and community residents from the French Street and Joyce Kilmer Ave area, is undertaking a planning process with the goal of potentially creating a Special Improvement District (SID) for the long-term growth and improvement of the district and its businesses. What does that mean? Read more below and find a link to a survey to share your feedback. Your opinion matters! 

What is a SID? A Special Improvement District (SID) or Business Improvement District is a specific area designated by a municipal government that can raise special funding for exclusive use on activities and services – like cleaning, beautification, marketing, and assistance to businesses – that benefit that specific district.   The power to designate an area a SID is granted to municipalities by NJ state law. There are over 100 SIDs in NJ, including one in New Brunswick’s downtown/George Street area. Nearly all of the state’s thriving business corridors are SIDs, because it is such a powerful tool for enhancing business district development.   

What do SIDs do? SIDs carry out various services and activities to benefit its designated business district. The specific services and activities are tailored to the unique needs, opportunities, and strategies of the individual district. Some common services and activities include cleaning services, beautification efforts, marketing and promotional events, public safety and security services, training and assistance to individual businesses, and efforts to attract positive new businesses to vacant storefronts. Other activities may include district-wide strategic planning, parking or traffic studies, park or public space improvement, advocacy efforts, and redevelopment.   

How are SIDs created? Municipalities or entities wishing to create a new SID must engage in a process to study the feasibility of the SID and gauge the level of support of property and business owners. If there is sufficient support, the municipality approves an ordinance that sets the SID boundaries, the assessment rate, and designates a “district management entity.”   

How are SIDs run? Each SID is run by a “district management entity.” This is typically a distinct nonprofit organization created exclusively for the purpose of managing the SID. The nonprofit is run by a board of directors with representation from business owners, property owners, public officials, and the community. Most SIDs also hire dedicated staff to carry out the day-to-day operations. In addition to the board of directors, SIDs often have several theme-focused subcommittees through which business and property owners can participate and contribute to the advancement of the district. Committees may include public safety, marketing, events, and advocacy.   

How are SIDs Funded? SIDs are primarily funded by a special assessment that is levied on specific properties within the district through the municipal tax collection. SIDs may also raise revenue through grants, voluntary contributions, and sponsorships. The amount of the special assessment is typically a fixed percentage based on the value of the property. The assessment is usually only applied to certain types of properties likely to benefit most from the SID – commercial, mixed-use, or industrial properties, or larger apartment buildings of five or more units. Smaller residential properties are usually exempt. 

What is our current plan for a SID in the French Street District? Through conversations with business and property owners, we see that there is a strong need and desire for the types of services and activities typically carried out by SIDs. Additionally, some of the services that are currently offered by New Brunswick Tomorrow (NBT) in the district – like cleaning and beautification – will be losing their current grant funding next year.  In August, NBT convened a SID planning committee composed of business owners, property owners, and community residents that has met to discuss the SID proposal and plan the SID’s structure and first steps. Here is a summary of our current thinking.   

Management: Following best practices, we anticipate incorporating a new nonprofit organization for the explicit purpose of managing the French Street SID. We foresee the organization being governed by a board of directors with representation from district business owners, property owners, and community representatives.

Assessment: The district, through City tax collection, would levy a small assessment on the following types of properties in the district: commercial, mixed-use, industrial, apartments with five or more units, and vacant parcels. For the median commercial property owner, we anticipate that this assessment will cost about $120 a month. There will be no assessment on residential properties with fewer than five housing units. We believe that this assessment will produce enough funds to have a significant positive impact on the district, while being small enough so that the benefits will easily outweigh the costs to the property owner. The district management organization can also raise funds through grant applications and sponsorships.   

District Boundaries: The proposed district boundaries are reflected on the map below.

What is the timeline and status of this effort? NBT and the planning committee are currently collecting feedback from business and property owners. A formal notice with the opportunity for business and property owners to vote in favor or against the proposed SID and assessment will be shared in November. If approved, the City Council would then establish the SID by ordinance in early 2026. The assessment would take effect in July 2026 and the SID management organization would begin operations shortly thereafter.

If you are a business or property owner in the proposed SID area, please respond to the survey at this link (in English).