BLOG: Property Tax Appeal
“Faulty” Highest and Best Use Analysis Dooms Tax Appeal
In a recently published opinion, the New Jersey Tax Court reminded appraisers of the importance of the highest and best use analysis. The case, Clemente v. South Hackensack, involved a challenge to the property tax assessment for tax years 2009, 2010 and 2011 on a building which houses the Clemente Italian Bakery & Deli, a... Read More
Appellate Court: Contract Purchasers Have Standing to File Tax Appeal
The New Jersey Appellate Division reversed a Tax Court judge’s decision to dismiss a contract purchaser’s tax appeal because the purchaser was not the owner of the subject property at the time the appeal was filed. The property was under a contract of sale in December 2011 with an expected closing date of February 2012. ... Read More
Jersey City Revaluation Imperiled?
Jersey City Mayor-elect Steven Fulop has announced that the city-wide property revaluation has been halted, and warned that an audit of the revaluation company hired by the prior administration may be performed because of alleged ties to a former city business administrator. Fulop’s campaign had impugned outgoing Mayor Jeremiah Healy for ordering the revaluation, suggesting... Read More
Ailing Seller Not Considered Arms’ Length Sale Participant for Comparable Sales Analysis
The Appellate Division of the New Jersey Superior Court recently affirmed the decision of a Tax Court judge which held that a subject sale was not an arms’ length sale because the seller was ill and accepted the first offer made by the buyer. Following a trial on the issue of valuation, the Tax Court... Read More
85,257 Reasons Why Municipalities Should Pay Tax Refunds On Time
In Faber Brothers Inc. of New Jersey v. Borough of Paramus, the court considered a Motion to Enforce Settlement Agreement, Compel Payment of Refund and Interest. This motion arose in tax appeals contesting the assessments for the tax years 2009 through 2011. The parties reached a settlement agreement and filed a Stipulation of Settlement with... Read More
State Licensing Important for Establishing “Completion” Date for Exempt Property
The New Jersey Tax Court recently invalidated added assessments on newly constructed properties in West Orange used to provide residential care for the elderly. The plaintiff Green Hill, Inc., is a New Jersey not-for-profit that provides care to aged citizens. Since 1965, it owned a tax-exempt five acre lot with one building, and a neighboring... Read More
Taxpayer Clears One Hurdle But Trips Over Another
In Keen v. Township of Pennsville, which involved a challenge to the 2011 tax assessment on a commercial property, the New Jersey Tax Court recently held that plaintiff proffered sufficient evidence to overcome the “presumption of validity” that attached to the $808,600 assessment on the property under appeal. However, because plaintiff’s expert made no adjustments... Read More
Town’s Failure to Treat Property Owner Fairly Leads to Reversal by Appellate Division
A New Jersey appellate court recently reversed a trial court’s dismissal of a tax appeal, and found that the City of North Wildwood failed to act fairly in litigation with the property owner. The property at issue is improved with a seven-story mixed-use tower, a 160-slip marina and a 3900 square-foot marina services building, and... Read More
False response to Chapter 91 request dooms tax appeal
In another loss for taxpayers, the New Jersey Tax Court granted a municipality’s request to dismiss a tax appeal on Chapter 91 grounds. N.J.S.A. 54:4-34, also known as “Chapter 91” permits the municipal tax assessor to request from owners of income producing property certain income and expense information. The failure to respond or respond accurately... Read More
Experts’ Opinions Accepted Over Town’s Objections
Plaintiff Route 21 Associates challenged the assessments imposed by Defendant Township of Belleville on vacant land for tax years 2008, 2009, and 2010. The matter was scheduled for trial where the Tax Court accepted each party’s two witnesses as experts, one in real estate appraisal and one in environmental remediation, and admitted their reports into... Read More
