[HISTORY: Adopted by the Township Committee of the Township
of Little Egg Harbor 7-10-2014 by Ord.
No. 2014-11. Amendments noted where applicable.]
For the purpose of this chapter, the following terms, phrases,
words and their derivations shall have the meanings given herein:
Any property that is determined to be abandoned pursuant
to the Abandoned Properties Rehabilitation Act, N.J.S.A. 55:19-78
et seq.
Any person or entity holding a note, mortgage or other interest
secured by the building or any part thereof.
The holder or holders of title to an abandoned property.
Any building or structure and the land appurtenant thereto.
The person designated by the municipality pursuant to N.J.S.A.
40:48-2.5 or any other officer of the municipality qualified to carry
out the responsibilities set forth in the Abandoned Properties Rehabilitation
Act and designated by the Mayor.
An entity organized and authorized to do business under the
New Jersey Statutes which shall have as one of its purposes the construction
or rehabilitation of residential or nonresidential buildings, the
provision of affordable housing, the restoration of abandoned property,
the revitalization and improvement of urban neighborhoods, or similar
purpose, and which shall be well qualified by virtue of its staff,
professional consultants, financial resources, and prior activities
set forth in N.J.S.A. 55:19-78 et seq. to carry out the rehabilitation
of vacant buildings in urban areas.
The Township of Little Egg Harbor may direct the public officer
to identify abandoned property for the purpose of establishing an
abandoned property list throughout the Township. Each item of abandoned
property so identified shall include the block and lot, the name of
the owner of record, the street address of the lot, and the basis
for the determination that the property is abandoned.
A.
The public officer shall establish and maintain a list of abandoned
property, to be known as the "abandoned property list." The Township
of Little Egg Harbor may add properties to the list at any time, and
may delete properties at any time when the public officer finds that
the property no longer meets the definition of an abandoned property.
B.
An interested party may request that a property be included on the
abandoned property list following that procedure set forth at N.J.S.A.
55:19-105.
A.
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
public officer that:
(1)
The property is in need of rehabilitation in the reasonable judgment
of the public officer, and no rehabilitation has taken place during
that 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 determination by the public officer pursuant to this section;
(3)
At least one installment of property taxes remains unpaid and delinquent
on that property in accordance with Chapter 4 of Title 54 of the Revised
Statutes as of the date of determination of the public officer pursuant
to this section; or
(4)
The property has been determined to be a nuisance by the public officer
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 Township 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, 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.
Exceptions.
(1)
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 public officer.
(2)
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.
A.
The public officer shall identify abandoned property within the Township
of Little Egg Harbor 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 public officer 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 Township of Little Egg Harbor has purchased or taken assignment
from the Township 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. 55:19-103.
C.
The public officer 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 Township of Little Egg
Harbor, 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 street
address. The public officer, 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 public officer's
finding 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 public officer in the
office of the Ocean 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 Township of Little Egg Harbor
as "plaintiff" and the name of the property owner as "defendant,"
as though an action had been commenced by the Township against the
owner.
D.
An owner or lienholder may challenge the inclusion of his or her
property on the abandoned property list by appealing that determination
to the public officer 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 public officer
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 public officer
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 public officer 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 public officer 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 public officer 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, Ocean County. Such action shall be instituted within 20 days of the date of the notice of decision mailed by the public officer. 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 public officer shall promptly remove any property from the abandoned
property list that has been determined by him or her or on appeal
not to be abandoned and may, in his or her discretion, remove properties
from said list whenever he or she deems such removal appropriate under
the circumstances.
G.
The abandoned property list shall become effective, and the Township
of Little Egg Harbor 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.
An owner may request removal of his or her property from the abandoned
property list prior to sale of the tax sale certificate by paying
all taxes and Township 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 public officer, stating that the cash
or bond adequately covers the cost of the cleanup; or
(2)
By demonstrating to the satisfaction of both the public officer and
Township Committee that the conditions rendering the property abandoned
have been remediated in full; provided, however, that where the public
officer 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 public officer 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 Township, 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 Township 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 Township of Little Egg Harbor 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 Township 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 Township to guarantee
the rehabilitation or repair of the property. The public officer may
waive a requirement to post a bond imposed by the Township for any
purchaser, assignee or transferee of a tax sale certificate that provides
documentation acceptable to the public officer 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 monies 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 Township of Little
Egg Harbor, 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
Township of Little Egg Harbor harmless, has been filed with the public
officer.
C.
If the Township of Little Egg Harbor 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 Township
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 Township 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 Township
of Little Egg Harbor in order to ensure performance. The amount and
conditions of the bond shall be determined by the public officer.
D.
The cost of remediation incurred by the Township of Little Egg Harbor,
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 Township, except for
Township 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 Ocean 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 Township of Little Egg Harbor 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 public officer, with the advice and consent of the Township Committee,
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 the Township's plans and regulations;
commitments by the bidder to rehabilitate or otherwise reuse the property,
consistent with the Township's 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 public officer, with the advice and consent
of the Township Committee, 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 public officer, with the advice and consent of the Township Committee,
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 public officer, with the advice and consent of the Township Committee,
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 public officer, with the advice and consent of the Township Committee,
may sell said properties subject to 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 Township, and any amount paid by the purchaser
at the special tax sale shall be forfeited to the Township.
F.
In the event there are two or more qualified bidders for any property
or bid package in a special tax sale, the Township 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 Township pursuant to this section and his
or her interest in the property or properties reverts to the Township,
the Township 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 Township of Little Egg Harbor 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 Township pursuant to this
section. Nothing shall prohibit the Township 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 Township of Little Egg Harbor
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 Township of Little Egg Harbor 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 Subdivision 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 Township of Little Egg Harbor has purchased
or taken assignment from the Township 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 Township taxes
and liens on the property in the tax year when due.
(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 Subdivision a or b of N.J.S.A. 54:5-86, as appropriate,
and diligently pursues foreclosure proceedings in a timely fashion
thereafter.
B.
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.
C.
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 public officer 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.
D.
Nothing in this chapter shall preclude the Township from addressing concerns regarding the condition of the property through the Township of Little Egg Harbor property maintenance hearing process, established by Chapter 273 of the Township Code, irrespective of any ongoing foreclosure proceedings.
A.
A summary action or other action to transfer possession and control
of abandoned property in need of rehabilitation to the Township of
Little Egg Harbor may be brought by the Township in the Superior Court,
Ocean 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 Township to
take possession and control of the property and to develop its own
rehabilitation plan for the property.
B.
Where the Township has been granted possession and control, the Township
may commence and maintain those 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 Township, 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 public officer
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 public officer to
act as monitor of compliance and progress. If the owner fails to carry
out any step in the approved plan, then the Township may apply to
the Court to have the posted bond forfeited, to transfer possession
of the building to the Township 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 quarterly reports
to the public officer 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. Their 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
quarterly reports to the Court and the public officer 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 public officer shall notify the Court,
which may order the posted bond forfeit, grant the Township possession
of the property, and authorize the Township 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 attorney's 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 Township 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 Township 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 public officer, with the advice and consent of the Township Committee,
may designate a qualified rehabilitation entity for the purpose of
exercising the Township's rights, where that designation will
further the rehabilitation and reuse of the property consistent with
Township's plans and objectives.
B.
Regardless of whether the Township exercises its rights directly
or the public officer designates a qualified rehabilitation entity
pursuant to this section, while in possession of a property, the Township
shall maintain, safeguard, and maintain insurance on the property.
Notwithstanding the Township'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 Township of Little
Egg Harbor 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 Township sought to obtain the necessary financing from the senior
lienholder, which declined to provide such financing on reasonable
terms;
(2)
The Township sought to obtain a voluntary subordination from the
senior lienholder, which refused to provide such subordination;
(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 Ocean County.
D.
Where the Township has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
quarterly reports to the public officer on its activities and progress
toward rehabilitation and reuse of the property. The Township 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 Township 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 the Township to
designate another qualified rehabilitation entity to exercise its
rights, or if the Township fails to do so, may terminate the order
of possession and return possession and control of the property to
its owner.
E.
The Township of Little Egg Harbor 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 Township 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 public officer, 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 control and possession
of the property at any time after one year from the Court's removal
or possession, but no later than 30 days after the Township of Little
Egg Harbor 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 Township 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 Township or affect any of the terms or conditions
under which the Township 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 Township 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 Township title or authorize the Township to
sell the property, subject to the provisions of N.J.S.A. 55:19-96.
A.
The public officer, with the approval of the Court, may place a lien
on the property to cover any costs of the Township 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 Township lien for the purposes of N.J.S.A. 54:5-9,
with the rights and status of a Township lien pursuant thereto.
B.
Where the Township 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 Township of Little Egg Harbor 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 Township 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 Township with respect to any abandoned
property, whether or not the Township has established an abandoned
property list and whether or not the property at issue has been included
on any such list.
