By Sunayana Prabhu
HOLMDEL – Patrick DePalma’s hands show the years of tilling Holmdel farmland that has been in his family for more than four generations – farmland that now faces an uncertain future.
DePalma Farms and Greenhouses, located off Centerville Road, has produced flowers, seasonal fruits and vegetables for sale. In its heyday years ago, the farm supplied landscapers and markets in the greater New York region, including the Bronx, Brooklyn and Staten Island.
The family owned the farm until 2000, when it sold the property to the township and entered into a 25-year lease that expires June 30.
At last Friday’s committee meeting, following state law, the township voted to initiate a public bidding process on a lease for the property, denying the lease extension requested by DePalma. He now must engage in a competitive bidding process or risk losing his century-long agricultural legacy.
A potential court battle over the lease could set a precedent for municipal land leases in the state, as DePalma prepares to challenge Holmdel Township’s decision to deny him the extension.
“I am the son of the owner of the farm,” DePalma said, introducing himself before the township officials at the June 13 meeting. “You’re taking my livelihood away.”
According to township records, the 100-acre property was purchased by Holmdel for $4.3 million on June 28, 2000, 60 acres of which were subject to a 25-year lease with DePalma. The property is now worth “roughly $8.1 million,” said Mayor Brian Foster.
The original rent was set at $1,000 per month but was reduced in 2020 to $500. Foster said the rent was reduced by the previous township committee as “a COVID waiver.” However, DePalma says it was reduced because of losses he incurred after deer destroyed some of his produce. To recover from those losses, he requested a four- to five-year temporary lease extension, which the committee denied on legal grounds.
“The township cannot legally extend the lease on a no-bid basis; even if we could, doing so would harm our taxpayers,” said Foster. “Extension, as requested, would mean the township may lose money, which would leave taxpayers to subsidize a private farm operation that was given favoritism.”
Green Acres ‘Discrepancy’
The property is divided into two parts – the 60-acre parcel DePalma continues to farm, which includes the original homestead and greenhouses, and the remaining 40acre parcel. The 40-acre section is listed on the township’s Recreation Open Space Inventory (ROSI) and falls under state-recognized Green Acres regulations, securing its status as preserved open space.
However, the status of the 60-acre farming section is unclear. According to Sara Biser, the attorney representing DePalma, the 60 acres “are not encumbered by any regulations.” Biser said this creates uncertainty about the property’s future use.
The township can potentially “lease out” the 60 acres to a “high-density builder,” she said.
Township attorney Michael Collins confirmed during the meeting that there was a “discrepancy” with the property’s Green Acres designation. He said a deed recorded in 2001 from the township had subjected certain areas of the farm to Green Acres program restrictions. However, he noted that while the block and lot numbers included the farm, the attached description did not explicitly cover the entire property.
Collins added that the township is now considering formally listing the remaining parcels on the ROSI or by deed restriction to ensure the land remains undeveloped.
The township committee also formally took action to authorize the township engineer to conduct a comprehensive review of all township-owned open space properties to identify additional parcels to be included in the ROSI.
“Our intent has always been to continue the use of farming for the property,” Foster assured the public. “There has never been and will not be any development on the property. We are going to assure you of that.”
Farm History
DePalma’s parents, Rosemary and Patrick DePalma, waited in the car outside the two-story family homestead as they learned of the township’s decision. His father, now over 90 years old, farmed the land when he was a teenager, Rosemary said. But “my son,” she said, “only wants to stay in this with the flowers that he could do here. That’s all he wants. And stay five to 10 years, because he figured when he’s 67 years old, he could retire.”
The family sold the farm in 2000 after DePalma’s mother died and Patrick’s 11 “siblings wanted their share,” Rosemary said.
During the heated township meeting, DePalma reminded committee members that 25 years ago when the family agreed to sell the property to the township, the “family did the right thing,” instead of selling for a much higher price to a developer. He said the family sold the farmland with an understanding that their lease would be extended after 25 years. “I know you don’t know anything about it, but it was a shaking of a hand” by the township committee at the time.
“I don’t know why this committee isn’t honoring that,” DePalma said.
The present township committee sees things differently.
Foster said the land transaction precedes the township committee and it must rely on documents and state law to guide its decisions in the matter. Township attorney Michael Collins added that, whether it’s procuring a contract for a road job or leasing out a property, “bidding is required” of all municipalities.
“This is a common practice, but unfortunately, it has somehow become complicated,” Collins said.
Legal Arguments
Collins and Biser argued at length, presenting starkly different interpretations of a 2006 state statute designed to protect farming families and govern municipal property law. While Collins argued for strict legal compliance, Biser argued for a more flexible interpretation that preserves agricultural heritage.
According to Collins, the New Jersey Local Lands and Buildings Law requires strict public bidding to prevent corruption and ensure fair competition “for the benefit of the taxpayers as they guard against favoritism and providence, extravagance, corruption, and secures – for the public – the benefits of unfettered competition,” he said, referring to the law.
He said the state statute allowing no-bid leases was intended for temporary use during property acquisition, not after a decades-long lease, as in the case of DePalma farms. “The statute does not apply to this particular instance,” said Collins.
“If we take this argument to its logical end, it would mean any time a party sells property to a New Jersey municipality, they could receive no-bid leases into perpetuity,” Collins elaborated. Biser vehemently disagreed.
“Mr. Collins has used the word ‘purported’ with regard to a statute. That’s not how we lawyers operate,” she said. She argued the law was specifically designed to protect agricultural leases, and that “the sole purpose of this statute is to retain agriculture or horticultural use based upon a prior lease of the property.”
While Collins sees the proposed five- to seven-year lease as inconsistent with the law’s intent, Biser argued it is entirely reasonable for a family that has farmed the land for a century, declaring that she is prepared to challenge the township’s interpretation before Monmouth County’s state Superior Court and the state Appellate Court if needed.
According to a news release from the township, the bidding process intended to preserve the farmland will “permanently dedicate all portions of the property for recreation, conservation, and farming purposes, authorizing township officials to take any and all reasonable steps necessary to do so.”
Township officials said that DePalma is welcome to bid and potentially continue farming the property if he wins the bid. If not, DePalma can continue to farm for the next six months until a new lease begins Jan. 1, 2026.
DePalma said he has no contingency plan if his legal arguments are unsuccessful. “Plan B is, I’m done,” he said.
Community Support
Several residents have supported the preservation of DePalma Farms with a “Save DePalma Farms and Greenhouses” online petition that has garnered more than 400 signatures so far. Some at the public meeting also urged the township committee to reconsider its decision.
“Holmdel was built on the backs of farmers, and we’re not backing our farmers today, and it’s very upsetting to see what’s going on,” said resident Stephanie Kraus.
“I get all my flowers there. I send my friends there. This family represents a farming family,” resident Deborah Thomas said.
“DePalma is the history here, and he’s asking for five years.”
Resident Jill Heiser inquired about the potential legal battle’s impact, specifically questioning what would happen to the farmland in the event of a lawsuit.
“We’re right in the middle of the growing season, we discussed this with him (DePalma) as well,” said Foster. “We don’t want to harm his crops. So, people are making it out like we’re trying to harm people. We’re not. We’re trying to uphold the law, trying to keep our open space.”
The article originally appeared in the June 19 – 25, 2025 print edition of The Two River Times.
