[HISTORY: Adopted by the Mayor and Council of the Borough
of Brooklawn 4-19-2010 by Ord. No. 3-10; amended in its entirety 12-17-2012 by Ord. No.
12-12. Subsequent amendments noted where applicable.]
A.
Except as provided in N.J.S.A. 55:19-83, any property that has not
been legally occupied for a period of six months and which meets any
one of the following additional criteria may be deemed to be abandoned
property upon a determination by the Compliance Officer, or such other
public officer designated or appointed by the Borough Council pursuant
to N.J.S.A. 40:48-2.5, that:
(1)
The property is in need of rehabilitation, in the reasonable judgment
of the Compliance Officer, or such other public officer designated
or appointed by the Borough Council pursuant to N.J.S.A. 40:48-2.5,
and no rehabilitation has taken place during that same six-month period;
(2)
Construction was initiated on the property and was discontinued prior
to completion, leaving the building unsuitable for occupancy, and
no construction has taken place for at least six months as of the
date of a determination by the Compliance Officer, or such other public
officer designated or appointed by the Borough Council pursuant to
N.J.S.A. 40:48-2.5;
(3)
At least one installment of property tax remains unpaid and delinquent
on that property as of the date of a determination by the Compliance
Officer, or such other public officer designated or appointed by the
Borough Council pursuant to N.J.S.A. 40:48-2.5; or
(4)
The property has been determined to be a nuisance by the Compliance
Officer, or such other public officer designated or appointed by the
Borough Council pursuant to N.J.S.A. 40:48-2.5, in accordance with
N.J.S.A. 55:19-82 for one or more of the following reasons:
(a)
The property has been found to be unfit for human habitation,
occupancy or use pursuant to N.J.S.A. 40:48-2.3;
(b)
The condition and vacancy of the property materially increases
the risk of fire to the property and adjacent properties;
(c)
The property is subject to unauthorized entry, leading to potential
health and safety hazards; the owner has failed to take reasonable
and necessary measures to secure the property; or the municipality
has secured the property in order to prevent such hazards after the
owner has failed to do so;
(d)
The presence of vermin or the accumulation of debris or uncut
vegetation or physical deterioration of the structure or grounds has
created potential health and safety hazards, and the owner has failed
to take reasonable and necessary measures to remove the hazards; or
(e)
The dilapidated appearance or other condition of the property
materially affects the welfare, including the economic welfare, of
the residents of the area in close proximity to the property, and
the owner has failed to take reasonable and necessary measures to
remedy the conditions.
B.
A property which contains both residential and nonresidential space
may be considered abandoned pursuant to N.J.S.A. 55:19-78 et seq.
so long as 2/3 or more of the total net square footage of the building
was previously legally occupied as residential space and none of the
residential space has been legally occupied for at least six months
at the time of the determination of abandonment by the Compliance
Officer, or such other public officer designated or appointed by the
Borough Council pursuant to N.J.S.A. 40:48-2.5.
A.
The Compliance Officer, or such other public officer designated or
appointed by the Borough Council pursuant to N.J.S.A. 40:48-2.5, shall
identify abandoned property within the Borough of Brooklawn for the
purpose of establishing an abandoned property list. The abandoned
property list shall include, for each abandoned property identified,
the tax block and lot number, the name of the owner of record, if
known, and the street address of the lot. The Compliance Officer,
or such other public officer designated or appointed by the Borough
Council pursuant to N.J.S.A. 40:48-2.5, may add properties to the
abandoned property list at any time and may delete properties at any
time when he or she finds that the property no longer meets the definition
of an abandoned property.
B.
An abandoned property shall not be included on the abandoned property
list if rehabilitation is being performed in a timely manner, as evidenced
by building permits issued and diligent pursuit of rehabilitation
work authorized by those permits. A property on which an entity other
than the Borough of Brooklawn has purchased or taken assignment from
the Borough of a tax sale certificate which has been placed on the
abandoned property list may be removed if the owner of the certificate
pays all municipal taxes and liens due on the property within 30 days
after the property is placed on the list; provided, however, that
if the owner of the certificate fails to initiate foreclosure proceedings
within six months after the property was first placed on the list,
the property shall be restored to the abandoned property list in accordance
with the provisions of N.J.S.A. 55:19-50.
C.
The Compliance Officer, or such other public officer designated or
appointed by the Borough Council pursuant to N.J.S.A. 40:48-2.5, shall
establish the abandoned property list and any additions or deletions
thereto by authorizing the publication of the list in the official
newspaper of the Borough of Brooklawn, which publication shall constitute
public notice, and, within 10 days after publication, shall send a
notice, by certified mail, return receipt requested, and by regular
mail, to the owner of record of every property included on the list.
The published and mailed notices shall identify property determined
to be abandoned, setting forth the owner of record, if known, the
tax lot and block number, and the street address. The Compliance Officer,
or such other public officer designated or appointed by the Borough
Council pursuant to N.J.S.A. 40:48-2.5, in consultation with the Tax
Collector, shall also send out a notice, by regular mail, to any mortgagee,
servicing organization, or property tax processing organization that
receives a duplicate copy of the tax bill pursuant to N.J.S.A. 54:4-64d.
When the owner of record is not known for a particular property and
cannot be ascertained by the exercise of reasonable diligence by the
Tax Collector, notice shall not be mailed but instead shall be posted
on the property in the manner as provided in N.J.S.A. 40:48-2.7. The
mailed notice shall indicate the factual basis for the finding of
the Compliance Officer, or such other public officer designated or
appointed by the Borough Council pursuant to N.J.S.A. 40:48-2.5, that
the property is abandoned property, as that term is defined herein
and in N.J.S.A. 55:19-54, and shall specify the information relied
upon in making such finding. In all cases, a copy of the mailed or
posted notice shall also be filed by the Compliance Officer, or such
other public officer designated or appointed by the Borough Council
pursuant to N.J.S.A. 40:48-2.5, in the office of the Camden County
Clerk. This filing shall have the same force and effect as a formal
notice under N.J.S.A. 2A:15-6. The notice shall be captioned with
the name of the Borough of Brooklawn as "plaintiff" and the name of
the property owner as "defendant," as though an action had been commenced
by the Borough against the owner.
D.
An owner or lienholder may challenge the inclusion of his/her/its
property on the abandoned property list by appealing that determination
to the Borough Council within 30 days of the owner's receipt
of the certified notice or 40 days from the date upon which the notice
was sent. An owner whose identity was not known to the Compliance
Officer, or such other public officer designated or appointed by the
Borough Council pursuant to N.J.S.A. 40:48-2.5, shall have 40 days
from the date upon which notice was published or posted, whichever
is later, to challenge the inclusion of a property on the abandoned
property list. For good cause shown, the Borough Council shall accept
a late filing of an appeal. Within 30 days of receipt of a request
for an appeal of the findings contained in the notice, the Borough
Council shall schedule a hearing for redetermination of the matter.
Any property included on the list shall be presumed to be abandoned
property unless the owner, through the submission of an affidavit
or certification asserting that the property is not an abandoned property,
can demonstrate that the property was erroneously included on the
list. The affidavit or certification shall be accompanied by supporting
documentation, such as, but not limited to, photographs, repair invoices,
bills and construction contracts. The sole ground for appeal shall
be that the property in question is not abandoned property as that
term is defined herein and in N.J.S.A. 55:19-54. The Borough Council
shall decide any timely filed appeal within 10 days of the hearing
on the appeal and shall promptly, by certified mail, return receipt
requested, and by regular mail, notify the property owner of the decision
and the reasons therefor.
E.
The property owner may challenge an adverse determination of an appeal with the Borough Council pursuant to Subsection D of this section by instituting, in accordance with the New Jersey Court Rules, a summary trial proceeding in the Superior Court, Camden County. Such action shall be instituted within 20 days of the date of the notice of decision mailed by the Borough Council. The sole ground for appeal and new hearing before the Superior Court shall be that the property in question is not an abandoned property, as that term is defined in N.J.S.A. 55:19-54. The failure to institute an action of appeal on a timely basis shall constitute a jurisdictional bar to challenging the adverse determination, except that, for good cause shown, the court may extend the deadline for instituting the action.
F.
The Borough shall promptly remove any property from the abandoned
property list that has been determined by the governing body or on
appeal not to be abandoned and may, in its discretion, remove properties
from said list whenever the governing body deems such removal appropriate
under the circumstances.
G.
The abandoned property list shall become effective, and the Borough
of Brooklawn shall have the right to pursue any legal remedy with
respect to properties on the list, at any time after at least one
property has been placed on the list and following the expiration
of the period for appeal with respect to that first property or upon
the denial of an appeal brought by the property owner of that first
property.
A.
Any interested party may submit a written request to the Borough
Council asserting that any property within the Borough of Brooklawn
should be included on the abandoned property list. The written request
must specify the street address and block and lot number of the property
to be included and the grounds for its inclusion. Within 30 days of
receipt of any such request, the Borough Council shall provide a written
response to the party, either indicating that the property will be
added to the list or, if not, the reasons for not adding the property.
For the purposes of this section, the term "interested parties" shall
include any resident of the Borough of Brooklawn, any owner or operator
of a business within the Borough of Brooklawn or any organization
representing the interests of residents or business owners, or otherwise
engaged in furthering the revitalization and improvement of the neighborhood
in which the property is located.
B.
Any interested party may participate in a redetermination hearing
regarding the inclusion of a property on the abandoned property list.
Upon written request by any interested party, the Borough Council
shall provide that party with at least 20 days' notice of any
such hearing. The party shall provide the Borough Council with notice
at least 10 days before the hearing of its intention to participate
and the nature of the testimony or other information that it proposes
to submit at the hearing.
A.
An owner may request removal of his/her/its property from the abandoned
properties list prior to sale of the tax sale certificate by paying
all taxes and Borough liens due, including interest and penalties,
and:
(1)
By posting cash or a bond equal to the cost of remediating all conditions
because of which the property has been determined to be abandoned
pursuant to N.J.S.A. 55:19-55 and by posting cash or a bond to cover
the cost of any environmental cleanup required on the property, evidenced
by a certification by a licensed engineer retained by the owner and
reviewed and approved by the Borough Council, stating that the cash
or bond adequately covers the cost of the cleanup; or
(2)
By demonstrating to the satisfaction of the Borough Council that
the conditions rendering the property abandoned have been remediated
in full; provided, however, that where the Borough Council finds that
the owner is actively engaged in remediating the conditions because
of which the property was determined to be abandoned, as evidenced
by significant rehabilitation activity on the property, the Borough
Council may grant an extension of time of not more than 120 days for
the owner to complete all work, during which time no further proceedings
will be taken against the owner or the property.
B.
If the owner has posted cash or a bond in order to have a property
removed from the abandoned property list and the conditions because
of which the property was determined to be abandoned have not been
fully remediated within one year of the date of posting the cash or
bond, or, in the case of a property which requires a remediation of
any known, suspected or threatened release of contaminants, if the
owner has failed to enter into a memorandum of agreement with the
New Jersey Department of Environmental Protection or an administrative
consent order, as the case may be, or if an agreement or order is
in effect but the owner has failed to perform the remediation in conformance
with the agreement or order, then the cash or bond shall be forfeited
to the Borough, which shall use the cash or bond and any interest
which has accrued thereon for the purpose of demolishing or rehabilitating
the property or performing the environmental remediation. Any funds
remaining after the property has been demolished, rehabilitated or
cleaned up shall be returned to the owner.
A.
Notwithstanding the provisions of N.J.S.A. 54:5-19, or the provisions
of any other law to the contrary, if a property is included on the
abandoned property list and the property taxes or other Borough liens
due on the property are delinquent for six or more quarters as of
the date of expiration of the right to appeal the property's
inclusion on the list or, if an appeal has been filed, as of the date
that all opportunities for appeal of inclusion on the list have been
exhausted, then the tax lien on the property may be sold in accordance
with the procedures of the Tax Sale Law, N.J.S.A. 54:5-1 et seq.,
on or after the 90th day following the expiration of that time of
appeal or final determination on an appeal.
B.
The Borough of Brooklawn may, at its option, require that the sale
of the tax sale certificate or any subsequent assignment or transfer
of a tax sale certificate held by the Borough be subject to the express
condition that the purchaser or assignee shall be obliged to perform
and conclude any rehabilitation or repairs necessary to remove the
property from the abandoned property list pursuant to N.J.S.A. 55:19-55
and to post a bond in favor of the Borough to guarantee the rehabilitation
or repair of the property. The Borough Council may waive a requirement
to post a bond imposed by the Borough for any purchaser, assignee
or transferee of a tax sale certificate that provides documentation
acceptable to the Borough Council that the purchaser, assignee or
transferee is a qualified rehabilitation entity as defined in N.J.S.A.
55:19-80. The cost of rehabilitation and repairs and the cost of the
bond shall be added to the amount required to be paid by the owner
for redemption of the property. The purchaser, assignee or transferee
of the tax sale certificate who is required to rehabilitate and repair
the property shall be required to file the appropriate affidavits
with the Tax Collector, pursuant to N.J.S.A. 54:5-62, representing
the amounts of moneys expended periodically toward the rehabilitation
or repair of the property. A purchaser, assignee or transferee shall
be entitled to interest on the amounts expended, as set forth in the
affidavits, at the delinquent rate of interest for delinquencies in
excess of $1,500 in effect for the time period when the amounts were
expended, pursuant to N.J.S.A. 54:4-67. The tax sale certificate purchaser,
assignee or transferee, with the authority of the Borough of Brooklawn,
shall be permitted to enter in and upon the property for the purposes
of appraising the costs of rehabilitation and repair and to perform
all other acts required to guarantee the completion of the rehabilitation
or repair of the property. No rehabilitation or repair work shall
be commenced, however, until proof of adequate liability insurance
and an indemnification agreement, holding the Borough of Brooklawn
harmless, has been filed with the Borough Clerk.
C.
If the Borough of Brooklawn acquires the tax sale certificate for
a property on the abandoned property list, then, upon 10 days'
written notice to the property owner and any mortgagee as of the date
of the filing of the notice pursuant to N.J.S.A. 55:19-55, the Borough
shall be permitted to enter upon the property and remediate any conditions
that caused the property to be included on the abandoned property
list. No remediation shall be commenced, however, if, within that
ten-day period, the owner or mortgagee shall have notified the Borough,
in writing, that the owner or mortgagee has elected to perform the
remediation itself. When the owner or mortgagee elects to perform
the remediation itself, it shall be required to post bond in favor
of the Borough of Brooklawn in order to ensure performance. The amount
and conditions of the bond shall be determined by the Borough Council.
D.
The cost of remediation incurred by the Borough of Brooklawn, as
so certified by the entity incurring the cost upon completion of the
remediation, shall constitute a lien upon the property first in time
and right to any other lien, whether the other lien was filed prior
to or after the filing of any lien by the Borough, except for Borough
taxes, liens and assessments and any lien imposed pursuant to the
Spill Compensation and Control Act, N.J.S.A. 58:10-23.11 et seq.,
together with any interest thereon. The certification of cost shall
be filed and recorded as a lien by the entity incurring the cost with
the Camden County Clerk.
E.
The clearance, development, redevelopment, or repair of property
being maintained as an abandoned property pursuant to this chapter
shall be considered a public purpose and public use, for which the
power of eminent domain may be lawfully exercised.
A.
The Borough of Brooklawn may hold special tax sales with respect
to those properties eligible for tax sale pursuant to N.J.S.A. 54:5-19
which are also on the abandoned property list.
B.
The Borough Council shall establish criteria for eligibility to bid
on properties at the sale, which may include, but need not be limited
to:
(1)
Documentation of the bidder's ability to rehabilitate or otherwise
reuse the property consistent with Borough plans and regulations;
commitments by the bidder to rehabilitate or otherwise reuse the property,
consistent with Borough plans and regulations;
(2)
Commitments by the bidder to take action to foreclose on the tax
lien by a date certain; and
(3)
Such other criteria as the Borough Council may determine are necessary
to ensure that the properties to be sold will be rehabilitated or
otherwise reused in a manner consistent with the public interest.
C.
The Borough Council may establish minimum bid requirements for a
special tax sale that are less than the full amount of the taxes,
interest and penalties due, to help ensure that the properties will
be rehabilitated or otherwise utilized in a manner consistent with
the public interest.
D.
The Borough Council may combine properties in said special tax sale
into bid packages and require that bidders place a single bid on each
package, rejecting any and all bids on individual properties that
are submitted.
E.
The Borough Council may sell said properties subject to the provision
that, if the purchaser fails to carry out any commitment that has
been set forth as a condition of sale or misrepresents any material
qualification that has been established as a condition of eligibility
to bid pursuant thereto, then the properties and any interest thereto
acquired by the purchaser shall revert to the Borough, and any amount
paid by the purchaser at the special tax sale shall be forfeit to
the Borough.
F.
In the event there are two or more qualified bidders for any property
or bid package in a special tax sale, the Borough may designate the
unsuccessful qualified bidder whose bid was closest to the successful
bid as an eligible purchaser. In the event that the selected purchaser
of that property or bid package fails to meet any of the conditions
of sale established by the Borough pursuant to this section and his/her/its
interest in the property or properties reverts to the Borough, the
Borough may subsequently designate the entity previously designated
as an eligible purchaser as the winning bidder for the property or
properties and assign the tax sale certificates to that entity on
the basis of that entity's bid at the special tax sale, subject
to the terms and conditions of the special tax sale.
G.
The Borough of Brooklawn shall provide notice of a special tax sale
pursuant to N.J.S.A. 54:5-26. The notice shall include any special
terms of sale established by the Borough pursuant to this section.
Nothing shall prohibit the Borough from holding a special tax sale
on the same day as a standard or accelerated tax sale.
A.
When a person or entity other than the Borough of Brooklawn acquires
a tax sale certificate for a property on the abandoned property list
at tax sale, the purchaser may institute an action to foreclose the
right of redemption at any time after the expiration of just six months
following the date of the sale of the tax sale certificate.
B.
When the Borough of Brooklawn is the purchaser at tax sale of any
property on the abandoned property list pursuant to N.J.S.A. 54:5-34,
an action to foreclose the right of redemption may be instituted in
accordance with the provisions of Subsection b of N.J.S.A. 54:5-77.
C.
After the foreclosure action is instituted, the right to redeem shall
exist and continue to exist until barred by the judgment of the Superior
Court; provided, however, that no redemption shall be permitted except
where the owner:
(1)
Posts cash or a bond equal to the cost of remediating the conditions
because of which the property was determined to be abandoned pursuant
to N.J.S.A. 55:19-56, as determined by the court; or
(2)
Demonstrates to the court that the conditions because of which the
property was determined to be abandoned have been remedied in full.
A.
If an entity other than the Borough of Brooklawn has purchased or
taken assignment from the Borough of a tax sale certificate on a property
that has not been legally occupied for a period of six months, that
property shall not be added to the abandoned property list under the
following limited circumstances:
(1)
The owner of the certificate has continued to pay all Borough taxes
and liens on the property in the tax year when due; and
(2)
The owner of the certificate takes action to initiate foreclosure
proceedings within six months after the property is eligible for foreclosure
pursuant to either Subsection a or Subsection b of N.J.S.A. 54:5-86,
as appropriate, and diligently pursues foreclosure proceedings in
a timely fashion thereafter.
B.
A property used on a seasonal basis shall be deemed abandoned only
if it meets any two of the additional criteria set forth in N.J.S.A.
55:19-81.
C.
A determination that a property is abandoned property under the provisions
of this chapter and N.J.S.A.. 55:19-78 et seq. shall not constitute
a finding that the use of the property has been abandoned for purposes
of municipal zoning or land use regulation.
D.
Upon the request of a purchaser or assignee of a tax sale certificate
seeking to bar the right of redemption on an abandoned property pursuant
to Subsection b of N.J.S.A. 54:5-86, the Borough Council or the Tax
Collector shall, in a timely fashion, provide the requester with a
certification that the property fulfills the definition of an "abandoned
property" according to the criteria established in N.J.S.A. 55:19-81
and N.J.S.A. 55:19-82.
A.
A summary action or other action to transfer possession and control
of abandoned property in need of rehabilitation to the Borough of
Brooklawn may be brought by the Borough in the Superior Court, Camden
County. If the court shall find that the property is abandoned and
that the owner or party in interest has failed to submit and initiate
a rehabilitation plan, then the court may authorize the Borough to
take possession and control of the property and to develop its own
rehabilitation plan for the property.
B.
Where the Borough has been granted possession and control, the Borough
may commence and maintain further proceedings for the conservation,
protection or disposal of the property, or any part thereof, that
are required to rehabilitate the property, recoup the cost and expenses
of rehabilitation, and for the sale of the property; provided, however,
that the court shall not direct the sale of the property if the owner
applies to the court for reinstatement of control and possession of
the property as permitted by N.J.S.A. 55:19-92.
C.
Failure by the owner, mortgage holder or lienholder to submit a plan
for rehabilitation to the Borough, obtain appropriate construction
permits or, in the alternative, submit formal applications for funding
the cost of rehabilitation to local, state or federal agencies providing
such funding, within the initial six-month period, shall be deemed
clear evidence that the owner has failed to take any action to further
the rehabilitation of the property.
D.
An owner may defend against a complaint filed pursuant to N.J.S.A.
55:19-84 by submitting a plan for the rehabilitation and reuse of
the property which is the subject of the complaint and by posting
a bond equal to 125% of the amount determined by the Borough Council
or the court to be the projected cost of rehabilitation.
E.
Any plan submitted by an owner to defend against a complaint shall
be submitted within 60 days after the complaint has been filed, unless
the court provides the owner with an extension of time for good cause
shown. A plan submitted by an owner pursuant to this section shall
include, but not be limited to:
(1)
A detailed financial feasibility analysis, including documentation
of the economic feasibility of the proposed reuse, including operating
budgets or resale prices, or both, as appropriate;
(2)
A budget for the rehabilitation of the property, including sources
and uses of funds, based on the terms and conditions of realistically
available financing, including grants and loans;
(3)
A timetable for the completion of rehabilitation and reuse of the
property, including milestones for performance of major steps leading
to and encompassing the rehabilitation and reuse of the property;
and
(4)
Documentation of the qualifications of the individuals and firms
that will be engaged to carry out the planning, design, financial
packaging, construction, and marketing or rental of the property.
F.
Where the court approves the rehabilitation plan of the owner or
other party in interest, then it may appoint the Borough Council to
act as monitor of compliance and progress. If the owner fails to carry
out any step in the approved plan, then the Borough may apply to the
court to have the posted bond forfeited, to transfer possession of
the building to the Borough to complete the rehabilitation plan, and
to grant authorization to use the bond proceeds for the rehabilitation.
The owner or other party in interest shall provide bimonthly reports
to the Borough Council on its activities and progress toward rehabilitation
and reuse of the property.
G.
If an owner is unsuccessful in defending against a complaint filed
pursuant to N.J.S.A. 55:19-84, the mortgage holder or lienholder may
seek to be designated in possession of the property by submitting
a plan and posting a bond meeting the same conditions as set forth
in N.J.S.A. 55:19-87. His/her/its plan must be submitted within 60
days following the court's rejection of the owner's plan,
unless the court provides the mortgage holder or lienholder with an
extension of time for good cause shown. If the court approves any
such mortgage holder or lienholder's plan, it shall designate
that party to be in possession of the property for purposes of ensuring
its rehabilitation.
H.
The mortgage holder or lienholder, as the case may be, shall provide
bimonthly reports to the court and the Borough Council on its activities
and progress toward rehabilitation and reuse of the property. If the
mortgage holder or lienholder fails to carry out any material step
in the approved plan, then the Borough Council shall notify the court,
which may order the posted bond forfeit, grant the Borough possession
of the property, and authorize the Borough to use the proceeds of
the bond for rehabilitation of the property.
I.
Any sums incurred or advanced for the purpose of rehabilitating the
property by a mortgage holder or lienholder granted possession of
a property, including court costs and reasonable attorneys' fees,
may be added to the unpaid balance due to that mortgage holder or
lienholder, with interest calculated at the same rate set forth in
the note or security agreement or, in the case of a tax lienholder,
at the statutory interest rate for subsequent liens.
J.
If no mortgage holder or lienholder meets the conditions of N.J.S.A.
55:19-88, then the Borough may submit a plan to the court which conforms
with the provisions of N.J.S.A. 55:19-87. Such plan shall designate
whether the Borough or a qualified rehabilitation entity shall undertake
the rehabilitation plan in accordance with the provisions of N.J.S.A.
55:19- 90.
A.
The Borough Council may designate a qualified rehabilitation entity
for the purpose of exercising the Borough's rights, where that
designation will further the rehabilitation and reuse of the property
consistent with Borough plans and objectives.
B.
Regardless of whether the Borough exercises its rights directly or
the Borough Council designates a qualified rehabilitation entity pursuant
to this section, the Borough shall maintain, safeguard, and maintain
insurance on the property while in possession of such property. Notwithstanding
the Borough's possession of the property, the owner of the property
shall not be relieved of any civil or criminal liability or any duty
imposed by reason of acts or omissions of the owner.
C.
The court may approve the borrowing of funds by the Borough to rehabilitate
the property and may grant a lien or security interests with priority
over all other liens or mortgages other than municipal liens. Prior
to granting this lien priority, the court must find as follows:
(1)
The Borough sought to obtain the necessary financing from the senior
lienholder, which declined to provide such financing on reasonable
terms;
(2)
The Borough sought to obtain a voluntary subordination from the senior
lienholder, which refused to provide such subordination; and
(3)
Lien priority is necessary in order to induce another lender to provide
financing on reasonable terms. No lien authorized by the court shall
take effect unless recorded with the Clerk of Camden County.
D.
Where the Borough has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
bimonthly reports to the Borough Council on its activities and progress
toward rehabilitation and reuse of the property. The Borough or qualified
rehabilitation entity, as the case may be, shall provide such reports
to the court as the court determines to be necessary. If the court
finds that the Borough or its designee has failed to take diligent
action toward rehabilitation of the property within one year from
the grant of possession, then the court may request that the Borough
designate another qualified rehabilitation entity to exercise its
rights or, if the Borough fails to do so, may terminate the order
of possession and return possession and control of the property to
its owner.
E.
The Borough of Brooklawn shall file a notice of completion with the
court, and shall also serve a copy on the owner and any mortgage holder
or lienholder, at such time as the Borough has determined that no
more than six months remain to the anticipated date on which rehabilitation
will be complete. This notice shall include an affidavit of the Borough
Council, attesting that the rehabilitation is anticipated to be completed
within six months, and a statement setting forth the actions as it
plans to undertake consistent with the plan.
A.
An owner may petition for reinstatement of the owner's control
and possession of the property at any time after one year from the
court's removal of possession, but no later than 30 days after
the Borough of Brooklawn has filed a notice of completion with the
court or, in the event the notice of completion is filed within less
than one year of the grant of possession, within 30 days after the
Borough has filed said notice.
B.
The court may allow additional time for good cause if that additional
time does not materially delay completion of the rehabilitation, place
undue hardship on the Borough or affect any of the terms or conditions
under which the Borough has applied for or received financing for
the rehabilitation of the property.
C.
If the owner fails to petition for the reinstatement of control and
possession of the property within 30 days after the Borough has filed
a notice of completion or, in any event, within two years after the
initial grant of possession, or, if the owner fails to meet any conditions
that may be set by the court in granting a reinstatement petition,
the court may grant the Borough title or authorize the Borough to
sell the property, subject to the provisions of N.J.S.A. 55:19-96.
A.
The Borough Council, with the approval of the court, may place a
lien on the property to cover any costs of the Borough in connection
with any proceeding under N.J.S.A. 55:19-78 et seq., incurred prior
to the grant by the court of an order of possession, which may include
costs incurred to stabilize or secure the property to ensure that
it can be rehabilitated in a cost-effective manner. Any such lien
shall be considered a Borough lien for the purposes of N.J.S.A. 54:5-9,
with the rights and status of a Borough lien pursuant thereto.
B.
Where the Borough seeks to gain title to the property, it shall purchase
the property for fair market value on such terms as the court shall
approve and may place the proceeds of sale in escrow with the court.
C.
The court may authorize the Borough of Brooklawn to sell the building
free and clear of liens, claims and encumbrances, in which event all
such liens, claims and encumbrances shall be transferred to the proceeds
of sale with the same priority as existed prior to resale in accordance
with the provisions of this section, except that municipal liens shall
be paid at settlement. The proceeds of the purchase of the property
shall be distributed as set forth in N.J.S.A. 55:19-97.
D.
Upon approval by the court, the Borough shall sell the property on
such terms and at such price as the court shall approve and may place
the proceeds of sale in escrow with the court. The court shall order
a distribution of the proceeds of sale after paying court costs in
the order of priority set forth in N.J.S.A. 55:19-97.
E.
With the exception of the holding of special tax sales pursuant to
N.J.S.A. 55:19-101, the remedies available under N.J.S.A. 55:19-78
et seq. shall be available to the Borough with respect to any abandoned
property, whether or not the Borough has established an abandoned
property list and whether or not the property at issue has been included
on any such list.
