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LYNDHURST, NJ-In a letter sent to EnCap October 5, the State Environmental Infrastructure Trust informed the developer that it could no longer draw from the nearly $300 million in publicly supported low-interest loans that were issued to cover the costs of the Meadowlands project. EnCap was also instructed to withdraw three pending applications for almost $3.5 million in withdrawals from the loan pool.

This is the latest setback for the once-promising project, which sought to place luxury housing, hotels and golf courses on land that was formerly used as landfills. According to Christopher Gale, an official with the New Jersey Meadowlands Commission, EnCap was chosen to remediate and redevelop the site because “it was judged at the time that they had unique experience from their landfills-to-golf project in Houston.” The project he refers to is the Wildcat Golf Club, a two-course club on the site of a former Texas landfill.