Abandoned and vacant properties create a wide range of problems,
such as fostering criminal activity, creating public health problems
and otherwise diminishing the quality of life for residents and business
operators in those areas. Additionally, abandoned and vacant properties
diminish property values of neighboring properties and have a negative
effect on the quality of life of adjacent property owners, increasing
the risk of property damage through arson and vandalism, and discouraging
neighborhood stability and revitalization. The continued presence
of abandoned and vacant properties in the Township of Delaware, which
are presumptively considered to be nuisances in view of their negative
effects on nearby properties and the residents or users of those properties,
acts as a barrier to the Township's continued vitality.
The purpose of this article is to protect the health, safety and
welfare of residents by establishing minimum uniform standards with
respect to the identification and management of vacant and abandoned
properties. Pursuant to N.J.S.A. 40:48-2, the Township Committee is
authorized to enact and amend ordinances as deemed necessary for the
preservation of the public health, safety and welfare and as may be
necessary to carry into effect the powers and duties conferred and
imposed upon the Township by law.
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 criteria may be deemed to be abandoned property
upon a determination by the Zoning Officer, or such other public officer
designated or appointed by the Township Committee pursuant to N.J.S.A.
40:48-2.5, that:
The property is in need of rehabilitation in the reasonable judgment
of the Zoning Officer, pursuant to N.J.S.A. 40:48-2.5, and no rehabilitation
has taken place during that same six-month period.
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.
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.
The presence of vermin or the accumulation of debris, uncut
vegetation or physical deterioration of the structure or grounds have
created potential health and safety hazards and the owner has failed
to take reasonable and necessary measures to remove the hazards.
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.
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 Zoning Officer.
The Zoning Officer shall identify abandoned property within the Township
of Delaware 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, street address of the lot and the date
added to the list. The Zoning 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.
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 Delaware 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.
The Zoning Officer shall establish the abandoned property list, after
which a notice of violation will be sent, certified mail, return receipt
requested, and by regular mail, to the owner of record and any stakeholder.
The notice of violation shall identify the property determined to
be abandoned, setting forth the owner of record and any stakeholder,
if known, the tax lot and block number, street address and the date
the property was added to the list. The Zoning 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. 54:4-64(d). 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 Zoning Officer, that the property is
abandoned 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 Zoning Officer in the Office of the Hunterdon 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 Delaware as "plaintiff" and the name of
the property owner as "defendant," as though an action had been commenced
by the Township against the owner.
An owner or lienholder may challenge the inclusion of his property
on the abandoned property list by appealing that determination to
the Township Committee 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 Zoning Officer
shall have 40 days from the date upon which notice was posted, whichever
is later, to challenge the inclusion of a property on the abandoned
property list. For good cause shown, the Township Committee may 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, a hearing shall
be scheduled 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 Township Committee 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.
The property owner may challenge an adverse determination of an appeal,
in accordance with the New Jersey Court Rules, a summary trial proceeding
in the Superior Court, Hunterdon County. Such action shall be instituted
within 20 days of the date of the notice of decision. 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.
The Zoning Officer shall promptly remove any property from the abandoned
property list that been determined by the Township Committee or on
appeal not to be abandoned and may, in its discretion, remove properties
from said list whenever he deems such removal appropriate under the
circumstances.
The abandoned property list shall become effective, and the Township
of Delaware 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.
Any interested party may submit a written request to the Township
asserting that any property within the Township of Delaware 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 Township 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 article, the term "interested parties" shall
include any resident of the Township of Delaware, any owner or operator
of a business within the Township of Delaware or any organization
representing the interests of residents, business owners or otherwise
engaged in furthering the revitalization and improvement of the neighborhood
in which the property is located.
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 Township Committee
shall provide that party with at least 20 days' notice of any
such hearing. The party shall provide the Township Committee 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.
An owner may request removal of his or her property from the abandoned
property list prior to the sale of the tax sale certificate by paying
all taxes and Township liens due, including interest and penalties,
and:
By posting cash or a bond equal to the cost of remediating all conditions
for 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 Township stating that the cash or bond adequately
covers the cost of the cleanup; or
By demonstrating to the satisfaction of the Township that the conditions
rendering the property abandoned have been remediated in full; provided,
however, that where the Township Committee 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, may be granted 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.
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.
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.
The Township 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 Township Committee 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 Township Committee 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 Delaware,
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 Delaware
harmless, has been filed with the Township Clerk.
If the Township 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 Delaware in order to ensure performance. The amount and conditions
of the bond shall be determined by the Township Committee.
The cost of remediation incurred by the Township, 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 Hunterdon County
Clerk.
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.
The Township 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.
Documentation of the bidder's ability to rehabilitate or otherwise
reuse the property consistent with Township plans and regulations;
commitments by the bidder to rehabilitate or otherwise reuse the property,
consistent with Township plans and regulations;
Such other criteria, as may be determined, if necessary to ensure
that the properties to be sold will be rehabilitated or otherwise
reused in a manner consistent with the public interest.
The Township Committee shall 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.
The Township Committee shall have the ability to 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.
The Township may sell 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 Township, and any amount paid by
the purchaser at the special tax sale shall be forfeit to the Township.
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 article and their
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.
The Township 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 article. Nothing
shall prohibit the Township from holding a special tax sale on the
same day as a standard or accelerated tax sale.
When a person or entity other than the Township of Delaware 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.
When the Township of Delaware 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.
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:
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
If an entity other than the Township of Delaware 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:
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.
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.
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 Tax Collector shall, in a
timely fashion, provide to the requester 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 summary action or other action to transfer possession and control
of abandoned property in need of rehabilitation to the Township of
Delaware may be brought by the Township in the Superior Court, Hunterdon
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.
Where the Township has been granted possession and control, the Township
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.
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.
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 Township to be
the projected cost of rehabilitation.
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:
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;
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;
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
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.
Where the Court approves the rehabilitation plan of the owner or
other party in interest, then it may appoint the Township Committee
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 bimonthly reports
to the Township on its activities and progress toward rehabilitation
and reuse of the property.
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.
The mortgage holder or lienholder shall provide bimonthly reports
to the Court and the Township 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 Township Attorney 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.
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.
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.
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 plans and objectives.
Regardless of whether the Township exercises its rights directly
or the Township Committee designates a qualified rehabilitation entity
pursuant to this article, the Township shall maintain, safeguard,
and maintain insurance on the property while in possession of such
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.
The Court may approve the borrowing of funds by the Township 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:
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 Hunterdon County.
Where the Township has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
bimonthly reports to the Township 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 have 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 Township
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.
The Township of Delaware 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 Zoning
Officer, attesting that the rehabilitation is anticipated to be completed
within six months, and a statement setting forth the actions it plans
to undertake consistent with the plan.
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 Township of Delaware 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.
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.
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 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.
With respect to any eminent domain proceeding carried out under Section
37 of P.L. 1996, c. 62 (N.J.S.A. 55:19-56), the fair market value
of the property shall be established on the basis of an analysis which
determines independently:
The cost to rehabilitate and reuse the property for such purpose
as is appropriate under existing planning and zoning regulations governing
its reuse or to demolish the existing property and construct a new
building on the site, including all costs ancillary to rehabilitation
such as, but not limited to, marketing and legal costs;
The realistic market value of the reused property after rehabilitation
or new construction, taking into account the market conditions particular
to the neighborhood or subarea of the Township in which the property
is located; and
The extent to which the cost exceeds or does not exceed the market
value after rehabilitation, or demolition and new construction, and
the extent to which any "as is" value of the property prior to rehabilitation
can be added to the cost of rehabilitation or demolition and new construction
without the resulting combined cost exceeding the market value as
separately determined. If the appraisal finds that the cost of rehabilitation
or demolition and new construction, as appropriate, exceeds the realistic
market value after rehabilitation or demolition and new construction,
there shall be a rebuttable presumption in all proceedings under this
section that the fair market value of the abandoned property is zero,
and that no compensation is due the owner.
The Township Committee, 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.
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.
The Court may authorize the Township of Delaware 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 article, 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.
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.
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.