Toll Brothers in 2003 bought an urban/infill developer; I'm assuming it's the present-day incarnation of that subsidiary involved in this. They cut a deal with East Brunswick to build mixed use (what Smart Growth/densifiers/etc. want) commercial + residential. Then the crash happened and there's way too fucking much housing everywhere and Toll Brothers wants to make the deal all commercial (it's not clear to me that that's such a hot idea either, but I don't actually know anything about East Brunswick and real estate is all about local conditions). The town doesn't want that and everyone is suing everyone and a judge is making decisions, reversing them, etc. I'm sure antics will continue for the foreseeable future.
I should probably note that having tried valiantly to actually _watch_ the sausage process in a few things that had the same kind of everyone-sues-everyone-else-and-judges-get-overturned-etc. traits, I'm fairly optimistic that the outcome won't be bad. And hey, it'll provide much needed work for attorneys. Given that I have in-laws who are attorneys in NJ, that's a good thing, right?