Area in need of redevelopment
An area a town has formally declared "in need of redevelopment" under the Local Redevelopment and Housing Law, based on conditions such as unsafe or abandoned buildings. The label gives the town special redevelopment powers.
New Jersey example
The governing body first asks the planning board to investigate and must say whether the area would be a Condemnation area, where the town can use eminent domain, or a Non-Condemnation area. The board holds a public hearing and makes a recommendation, then the governing body decides. In a Condemnation area, owners have 45 days after notice to challenge it.
Official source
This is a plain-English summary. Rules and dollar amounts change, so check the official source or a professional before you file or sign anything.