Photo Source: Lackawanna.com
For much of the past decade, the future of Lackawanna Plaza — a sprawling former rail terminal along Bloomfield Avenue — has been one of the most closely watched development stories in Montclair.
Today, the plaza is lively again.
Since reopening in June 2025, the historic site has filled with activity. Small businesses operate out of compact storefronts, families gather around casual food stalls, and pickleball players move between courts tucked inside the cavernous structure. Upstairs, a coworking space hums with freelancers and remote workers.
For now, the plaza operates as a kind of interim village — a temporary but energetic preview of what could eventually rise on the site.
The next phase, if approved and financed as planned, would transform the property more dramatically. The redevelopment plan calls for more than 300 apartments, several hundred thousand square feet of commercial space and, most anticipated by many residents, a full-service supermarket to replace the Pathmark that closed in 2015.
Leading the effort is David Placek, managing partner of BDP Holdings LLC, the group that acquired the property in 2021. In a recent conversation, Placek described a project moving forward, but slowly, as negotiations with the township continue.
=A Temporary Village
The current version of Lackawanna Plaza was designed to bring life back to the long-dormant property while redevelopment plans take shape.
Twenty-three small businesses now operate on the site, many run by local entrepreneurs who struggled to afford storefronts in downtown Montclair. Through a program called “Little Shops,” tenants can lease compact retail spaces with flat monthly rents and short-term commitments.
Food anchors much of the activity. Burgers Donuts and Potatoes — known locally as BDP — serves casual meals, while Ironbound Farm Market sells produce, meats and specialty items sourced largely from farms in New Jersey and nearby states.
Art and recreation have also become part of the plaza’s identity. Murals and sculptures line the interior spaces, and an installation called Skyline, produced with the School of Visual Arts, highlights the building’s cavernous architecture. In January, Montclair Pickleball opened two indoor courts at the site — its first permanent location.
The mix of businesses, events and programming reflects both community demand and a broader effort to reactivate the property before construction begins.
The Long Road to Redevelopment
Montclair approved a redevelopment plan for the site in 2023 and reaffirmed it in May 2024. The plan allows for roughly 300 apartments and a commercial component anchored by a 30,000- to 50,000-square-foot grocery store.
Placek said his team revisited earlier development plans after purchasing the property.
“We wanted to revisit redevelopment with the township because it really is what’s necessary to create the best project for that site,” he said.
The developers also purchased the adjacent TD Bank property to expand the development footprint.
Progress, however, has been gradual.
According to Placek, turnover at Town Hall slowed negotiations over the past several years. More recently, he said, discussions have stabilized as the township and developer work to finalize two key agreements: the redevelopment agreement, which governs construction timelines and public benefits, and a financial agreement built around a PILOT, or Payment in Lieu of Taxes.
PILOT programs, typically based on project revenue rather than property value, are often used to make large redevelopment projects financially feasible.
“This is a project that has a lot of need,” Placek said. He added that the township has placed “a lot of burden on the developer” during negotiations.
Infrastructure Beneath the Surface
Even seemingly small changes can carry unexpected complexity.
Montclair recently secured a $1 million state grant to extend a bike lane roughly 1,000 feet near the site. While the improvement may appear straightforward, Placek said the work requires significant planning.
“Some people laugh and say the bike lane is just painting a line on the asphalt,” he said. “It’s not that simple.”
Road widening, parking adjustments and coordination with underground utilities can all be required.
The site itself presents similar challenges.
“There’s a lot of infrastructure that runs under the site that needs to be dealt with,” Placek said. “It’s not a simple project. It’s very complex.”
Still, he expressed confidence in the team overseeing the redevelopment, many of whom live in Montclair.
“When it’s your hometown, you want it to be extra special,” he said.
The Return of a Grocery Store
For many residents, the most anticipated element of the redevelopment is the return of a full-service grocery store.
When Pathmark closed in 2015, it left Montclair residents without a large supermarket near the town center.
Placek confirmed that the new store will offer a full range of products, including fresh produce and fresh meat.
“There was a bit of a misunderstanding,” he said. “I want to set the record straight. They will sell fresh meat.”
He declined to identify the grocer but said the store will function as the commercial anchor for the project.
Pineapple express leaves a hole in the dining scene
After the closure of Pineapple Express, BDP Holding was quickly inundated with interest from potential restaurant tenants. “Within the first 48 hours of them posting on Instagram, we had 30 plus restaurant tours and restaurant groups that reached out to us to backfill that space,” Placek said. Many of the interested operators understand that Lackawanna is slated for future redevelopment, though details and timelines remain unclear.
Placek said the property offers a rare opportunity for Montclair restaurants. “Having a presence in Montclair on Bloomfield Avenue with parking, with outdoor space, with a liquor license is kind of the unicorn for any restaurant operator in Montclair and the surrounding area,” he said.
The strong interest from restaurant operators signals confidence in the plaza as a community hub, even as it continues to operate as a temporary space ahead of full redevelopment.
Parking and a Changing Downtown
Parking has long been a contentious issue at the site.
Before the plaza introduced paid parking, Placek said the lot was frequently filled by visitors headed elsewhere in Montclair.
“None of those people parking were going into Lackawanna,” he said.
The property now offers 45 minutes of free parking before charging through the HonkMobile app, a system the developers said allows for employee parking rates that other platforms did not accommodate.
Placek acknowledged that paid parking remains unpopular with some residents.
“Parking is tough. I take it on the chin every time,” he said.
But he said the change has improved turnover in the lot and reduced safety concerns.
Balancing Change and Preservation
Placek said the project requires a developer willing to accept significant risk, particularly given the requirements tied to historic preservation, affordable housing and open space.
“A lot of developers would look at it and say, we’re not going to build that,” he said.
Historic preservation remains central to the plan. The development team has acquired one of the original train cars that ran through Lackawanna Plaza from the 1930s through the 1980s and plans to restore it for display on the site.
“Being able to have some of these moments in time live on in the next evolution of Lackawanna is really important,” Placek said.
Waiting for the Next Phase
Even under the most optimistic scenario, the project will take time.
Placek estimated that construction could take three to four years once final approvals are secured. The redevelopment agreement allows up to eight years to complete the work.
“If it takes us eight years, we definitely did it wrong or the markets were just really bad,” he said.
Construction would likely be phased, with different sections of the site built at different times.
In the meantime, many residents already assume the project is complete.
“People thought it was done already,” Placek said. “I keep hearing that from a lot of people – ‘Why are we talking about Lackawanna? Isn’t it done already?’”
It isn’t.
“We’re maybe at the 50-yard line.”
