The issue here is that Newark's rent is reflective of the region's wealth not the residents. Developers aren't trying to attract Newarkers, but people from the region. Its a complicated situation, but its one that people kinda forget... Newark doesn't exist in a vacuum and by allowing market rate housing, you are opening it up to the NY/NJ market and not the Newark only market anymore.

That is why rent is seen as high for Newarkers, but it is still a bargain for the region