[1]
Editor's Note: Former Section 10-30, Vacant and Abandoned
Property Management and Registration, containing portions of Ordinance
Nos. 57-40 and 58-14 was deleted and restated by Ordinance No. 60-43
as Vacant and Foreclosing Property, Registration and Maintenance.
[Ord. No. 60-43]
It is the intent of this section to protect and preserve the
public health, safety and welfare and security and quiet enjoyment
of residents and neighborhoods by:
[Ord. No. 60-43]
For the purposes of this section, the following terms, phrases,
words and their derivations shall have the meanings given herein.
When consistent with the context, words used in the present tense
include the future, words in the plural include the singular and words
in the singular include the plural. The word "shall" is always mandatory
and not merely directory.
Shall mean the City of Linden.
Shall mean the creditor having a right of foreclosure, including
but not limited to the holder of a mortgage on a property, and any
agent, servant or employee of the creditor, a loan servicing company,
or any successor in interest and/or assignee of the creditor's rights,
interests or obligations under the document granting foreclosure rights.
Shall mean consecutive calendar days.
Shall mean the process by which property, placed as security
for a real estate loan, is prepared for sale to satisfy the debt if
the borrower defaults.
Shall mean any real estate, or portion thereof, located in
the City of Linden, including any improvements thereon.
Shall mean any property that contains one or more dwelling
units used, intended or designed to be occupied for living purposes.
Shall mean measures taken to ensure that the property is
inaccessible to unauthorized persons.
Shall mean with regard to any property, that no portion of
the property is legally occupied. A property shall not be deemed "vacant,"
for purposes of this section:
Where there is a building on the property containing multiple
units, if any of the units are legally occupied;
Where the legal occupant has temporarily left the property for
vacation or other purposes for a period not exceeding one hundred
eighty (180) days, possessing both the intent to return and the legal
right to return, such as a residential property owner or tenant who
resides in another municipality or state for a portion of the year;
or
Where the building is under construction with current valid
construction permits, and work is being performed on the property
on a regular basis.
[Ord. No. 60-43]
a.
All owners of vacant property must register such vacant properties
with the Linden Health Officer within fourteen (14) days of such property
becoming vacant. The registration must be renewed annually as set
forth below for as long as the property remains vacant.
b.
Owners of vacant properties shall designate an individual or property
management company responsible for the security and maintenance of
the property. The individual or property management company responsible
for the security and maintenance of the property shall have an office
located within twenty-five (25) miles of the property.
c.
The registration required by this subsection must contain the following
information:
1.
The owner's name, telephone number, and mailing address. The mailing
address may not be a P.O. Box.
2.
The street address and Tax Map designation (lot and block) of the
property.
3.
Whether the property is residential, nonresidential, or mixed-use.
4.
The name, telephone number, and mailing address of an individual
or property management company responsible for the security and maintenance
of the property. The mailing address may not be a P.O. Box.
5.
Certification that the property was inspected as required by this
section.
6.
Proof of utility (gas, electric, water) connections or disconnections.
d.
The owner shall have a continuing duty to notify the City of any
changes to the information contained in the registration.
e.
The Linden Health Officer may promulgate forms on which the information
in the registration must be provided.
f.
The owner must notify the Linden Health Officer if, at any time subsequent
to registration as a vacant property, the property is no longer vacant
and provide proof that the property is no longer vacant.
[Ord. No. 60-43]
a.
A creditor serving a summons and complaint in an action to foreclose
on a mortgage on property in this City, including but not limited
to residential property, shall, within ten (10) days of serving the
summons and complaint, file a registration with the Linden Health
Officer. The registration must be renewed as set forth below until
title to the property has been transferred to a new owner or the foreclosure
action is dismissed. A creditor who takes title to a vacant property
shall then be required to register as an owner of such vacant property
and to renew such registration for as long as the property remains
vacant.
b.
If the property is vacant, the creditor must designate an individual
or property management company responsible for the security and maintenance
of the property. The individual or property management company responsible
for the security and maintenance of the property shall have an office
located within twenty-five (25) miles of the property.
c.
The registration shall contain the following information:
1.
The creditor's name, telephone number, and mailing address. The mailing
address may not be a P.O. Box.
2.
The street address and Tax Map designation (lot and block) of the
property for which foreclosure has been sought.
3.
Whether the property is residential, nonresidential, or mixed-use.
4.
The name, telephone number, and mailing address of a designated representative
of the creditor who is responsible for receiving complaints of property
maintenance and code violations for that property. The mailing address
may not be a P.O. Box.
5.
If the property is vacant, the name, telephone number, and mailing
address of an individual or property management company responsible
for the security and maintenance of the property. The mailing address
may not be a P.O. Box.
6.
If the property is vacant, certification that the property was inspected
as required by this section.
7.
If the property is vacant, proof of utility (gas, electric, water)
connections or disconnections.
d.
The creditor shall have a continuing duty to notify the City of any
changes to the information contained in the registration.
e.
The Linden Health Officer may promulgate forms on which the information
in the registration must be provided.
f.
Once the foreclosure action has terminated, either through dismissal
or transfer of title, the creditor must provide proof of such termination,
sale, transfer or occupancy to the enforcement authority within thirty
(30) days of sale, transfer or occupancy.
[Ord. No. 60-43; amended 12-19-2023 by Ord. No.
67-84]
a.
The initial registration fee shall be $500.00 and must accompany
the registration form. The initial registration shall be valid for
the remainder of the calendar year in which the property is registered.
Renewals for subsequent calendar years shall run from January 1 to
December 31, and payment of the renewal registration fee shall be
due by January 15 of the relevant year. The fee for each renewal shall
be $2,000. Registration fees and renewal fees will not be prorated
or refunded.
b.
No governmental agency shall be required to pay the annual or renewal
registration fee.
[Ord. No. 60-43]
a.
Properties subject to the requirements of this section must be maintained
in accordance with the all applicable Federal, State and local laws,
rules and regulations. The owner, creditor, local individual or local
property management company, as appropriate, must inspect the property
twice a month for the duration of the vacancy or foreclosure as appropriate.
b.
In addition to and not in lieu of meeting all other applicable Federal,
State, and local laws, rules, and regulations:
1.
Properties subject to the requirements of this section shall be kept
free of accumulated snow and ice, weeds, dry brush, dead vegetation,
trash, junk, debris, building materials, unregistered vehicles, any
accumulation of newspapers, circulars, flyers, notices (except those
required by law), and discarded personal items, including but not
limited to furniture, clothing, large and small appliances, printed
material or any other items giving the appearance that the property
is vacant.
2.
Properties subject to the requirements of this section shall be maintained
free of graffiti, tagging, or similar markings. In the event that
any graffiti, tagging, or similar markings are placed on the property,
it/they shall either be removed or painted over with an exterior-grade
paint matching the color of the portion of the structure where the
graffiti, tagging, or similar marking was placed.
3.
Front yards, rear yards, and side yards of properties subject to
the requirements of this section shall be landscaped and maintained
to neighborhood standards. Landscaping and maintenance shall include,
but is not limited to, care of grass, mulch, decorative rock, artificial
turf/sod specifically designed for residential or commercial installation,
or other ground cover, bushes, shrubs, hedges, trees, or similar plantings,
removal or repair of gravel, broken concrete, asphalt, decomposed
granite, plastic sheeting, mulch, indoor-outdoor carpet or any similar
material, in addition to regular watering, irrigation, cutting, pruning
and mowing of required vegetation and removal of all trimmings.
4.
Any pool, spa, or other standing body of water shall either be kept
in working order so the water remains clear and free of growth, pollutants,
and debris and does not become a harborage for vermin or insects,
or drained and kept dry. In either case, properties with pools or
spas must comply with the security fencing requirements of the City.
c.
The owner of any vacant property shall acquire and maintain liability
insurance covering injury or damage to any person or any property
in not less than $300,000 for residential buildings and $1,000,000
for nonresidential buildings or property.
d.
The property owner shall be responsible for property maintenance.
However, if the owner of a property vacates or abandons any property
on which a foreclosure proceeding has been initiated or if a property
is or becomes vacant at the time of or at any point subsequent to
the creditor's filing the summons and complaint in an action to foreclose
on a mortgage against the subject property, but prior to vesting of
title in the creditor or any other third party, and the property is
found to be a nuisance or in violation of any applicable State or
local code, the enforcement authority shall notify the creditor, which
shall have the responsibility to abate the nuisance or correct the
violation in the same manner and to the same extent as the title owner
of the property, to such standard or specification as may be required
by State law or City ordinance. The enforcement authority shall include
a description of the conditions that gave rise to the violation with
the notice of violation and shall provide a period of no more than
thirty (30) days for the creditor to remedy the violation and if the
violation presents an imminent threat to public health, safety or
welfare, shall provide a period of no more than ten (10) days for
the creditor to remedy the violation. If the creditor fails to remedy
the violation within that time period, the City may impose the penalties
allowed for the violation of municipal ordinances pursuant to N.J.S.A.
40:49-5 against the creditor to the same extent as they could be imposed
against the owner of the property.
e.
Adherence to this section does not relieve the owner or creditor
of obligations set forth in any other statute, regulation, ordinance,
or other source of authority or obligation.
[Ord. No. 60-43]
The enforcement authority shall have the authority to inspect
properties subject to this section for compliance and to issue summonses
for any violations.
[Ord. No. 60-43]
Enforcement authority shall be vested in the Linden Health Department
and their respective officials and inspectors. The Linden Police Department
and the Department of Public Works shall also have enforcement authority
with respect to this section. The Mayor may also designate, when necessary,
enforcement duties to other City departments.
[Ord. No. 60-43]
a.
Violation of any of the terms of this chapter shall be punishable
by a fine of not less than $100 nor greater than $2,000 per occurrence
in addition to any registration fee or renewal fee that may be due
and owing. Each subsequent occurrence shall result in an increased
penalty.
b.
Failure to abate a nuisance or correct a violation of any statute,
regulation, or ordinance regulating the construction, maintenance,
health, or security of a property shall be subject to the penalties
set forth in the applicable statute, regulation, or ordinance for
the specific violation.
[Ord. No. 60-43]
Nothing contained herein shall prevent the City from taking
action to abate a nuisance or correct a violation where the owner
or creditor, as applicable, has failed to abate the nuisance or correct
the violation on a vacant property or a property in foreclosure after
notice and the opportunity to abate or correct. In such situations,
the City may impose a lien against the property for costs to correct
the violation or abate the nuisance. Such lien shall hereafter form
part of the taxes next to be assessed and levied upon said lands,
the same to bear interest at the same rate as such taxes to be collected
and enforced by the same officers and in the same manner as such taxes.
[Ord. No. 60-43]
No governmental entity shall be required to register under this
section. However, nothing contained herein shall be construed as granting
exemption from property maintenance or other obligations imposed by
any other statute, regulation, or ordinance.
[Ord. No. 57-40; Ord. No. 58-14]
Section 10-31 shall be known as and may be cited as "Abandoned Property List, Maintenance and Compliance Monitoring Ordinance."
[Ord. No. 57-40; Ord. No. 58-14]
It is the intent of this section to, through the adoption of
this section, establish an Abandoned Property List and Management
System, authorize new, and changes to, existing policies and procedures
for the inventory, identification, maintenance and compliance monitoring
of abandoned properties as a mechanism to protect and preserve the
public health, safety, welfare, security, neighborhood vitality, economic
vitality and quiet enjoyment of residents, by (i) managing the process
of returning abandoned improved and unimproved properties as viable
assets in the City, and (ii) regulating the maintenance of abandoned,
improved and unimproved properties in order to prevent unsecured unsafe
structures in neighborhoods and neighborhood blight.
In addition to any other remedies in law or equity not set forth
herein, enforcement authority shall be vested in the Health Department
and their respective inspectors, including, but not limited to the
Construction Department and Health Department. The Police Department,
Fire Department and Department of Public Works shall also have enforcement
authority with respect to this section. The Mayor, with the advice
and consent of Council, may also designate, when necessary, additional
enforcement duties for other City departments to protect neighborhoods
from becoming blighted through the lack of adequate maintenance and
security of abandoned properties.
[Ord. No. 57-40; Ord. No. 58-14]
The Public Officer as designated herein is hereby directed to
identify abandoned properties within the municipality, place said
properties in an abandoned property list established as provided in
Section 36 of P.L.1996, c.62 (C.55:19-55), as amended by Section 28
of P.L.2003, c.210, and provide such notices and carry out such other
tasks as are required to effectuate an abandoned property list as
provided by law.
[Ord. No. 57-40; Ord. No. 58-14]
The abandoned property list shall apply to the City of Linden
as a whole.
[Ord. No. 57-40; Ord. No. 58-14]
The Health Officer in the Health Department in the City of Linden,
is hereby designated as the Public Officer for the purpose of carrying
out the responsibilities established by this section, and shall have
all the responsibilities and powers provided by law.
[Ord. No. 57-40; Ord. No. 58-14]
The Public Officer as designated herein shall exercise the authority
granted the municipality pursuant to section 13 of P.L.2003, c. 210,
to designate qualified rehabilitation entities to act as a designee
of the municipality with respect to provisions of that section.
[Ord. No. 57-40; Ord. No. 58-14]
The Public Officer shall provide a report to the Governing Body
every six (6) months, with respect to the number and location of properties
on the abandoned property list, the status of those properties, and
any actions taken by the City or by any qualified rehabilitation entity
designated pursuant to the authority granted the Public Officer with
respect to any property on the list or any other abandoned property
within the City of Linden.
[Ord. No. 57-40; Ord. No. 58-14]
Properties subject to this section shall be required to comply with the standards set forth in subsection 10-31.7 above.
[Ord. No. 57-40; Ord. No. 58-14]
Properties subject to this section shall be maintained in accordance with the requirements of subsection 10-31.8 set forth above.
[Ord. No. 57-61]
Shall mean any property that is determined to be abandoned
pursuant to P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.).
Shall mean a person designated or appointed by the municipal
Governing Body pursuant to section 3 of P.L.1942, C. 112 (N.J.S.A.
40:48-2.5).
[Ord. No. 57-61]
The City of Linden may direct the public officer to identify
abandoned property for the purpose of establishing an abandoned property
list throughout the City, or within those parts of the City as the
Governing Body may designate. Each item of abandoned property so identified
shall include the tax block and lot number, the name of the owner
of record, if known, and the street address of the lot.
a.
The public officer shall establish and maintain a list of abandoned
property, to be known as the "abandoned property list." The City of
Linden may add properties to the abandoned property 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.
An interested party may request that a property be included on the
abandoned property list following that procedure set forth in section
31 of P.L.2003, C. 210 (N.J.S.A.55:19-105).
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 City of Linden has purchased or taken assignment from the
City of a tax sale certificate which has been placed on the abandoned
property list may be removed in accordance with the provisions of
section 29 of P.L.2003, C. 210 (N.J.S.A.55:19-103).
c.
The public officer shall establish the abandoned property list or any additions thereto by publication in the official newspaper of the City of Linden, 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 subsection d of N.J.S.A.54:4-64. 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 section 5 of P.L.1942, C. 112 (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 in section 35 of P.L.1996, C. 62 (N.J.S.A.55:19-54) and the rules and regulations promulgated thereunder, specifying 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 county clerk or register of deeds and mortgages, as the case may be, of the county wherein the property is situate. This filing shall have the same force and effect as a notice of lis pendens under N.J.S.A.2A:15-6. The notice shall be indexed by the name of the property owner as defendant and the name of the City as plaintiff, as though an action had been commenced by the City against the owner.
d.
An owner or lienholder may challenge the inclusion of his property
on the abandoned property list determined pursuant to this subsection
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 pursuant to this subsection 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
by the property owner averring that the property is not abandoned
and stating the reasons for such averment, 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, and 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 in section
35 of P.L.1996, C. 62 (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 this section, by instituting, in accordance with the New Jersey Court Rules, a summary proceeding in the Superior Court, Law Division, sitting in the county in which the property is located, which action shall be tried de novo. Such action shall be instituted within 20 days of the date of the notice of decision mailed by the public officer pursuant to subsection e of this section. The sole ground for appeal shall be that the property in question is not abandoned property as that term is defined in section 35 of P.L.1996, C. 62 (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 not to be abandoned on appeal.
g.
The abandoned property list shall become effective, and the City
of Linden shall have the right to pursue any legal remedy with respect
to properties on the abandoned property list at such time as any one
property has been placed on the list in accordance with the provisions
of this section, upon the expiration of the period for appeal with
respect to that property or upon the denial of an appeal brought by
the property owner.
[Ord. No. 57-61]
a.
Notwithstanding 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 City liens due on the property
are delinquent six or more quarters as of the date of expiration of
the right to appeal 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 in 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, as appropriate.
The City of Linden 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 City 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 section 36 of P.L.1996, C.
62 (N.J.S.A.55:19-55) and to post a bond in favor of the City to guarantee
the rehabilitation or repair of the property. The public officer may
waive a requirement to post a bond imposed by the City of Linden 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 section 3 of P.L.2003, C. 210 (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 pursuant to N.J.S.A.54:4-67
of the City of Linden in effect for the time period when the amounts
were expended. The tax sale certificate purchaser, assignee or transferee,
under the auspices and with the authority of the City of Linden, 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 City of Linden harmless
is filed with the public officer. If the tax sale certificate is not
purchased at the initial auction of the tax sale certificate and the
City of Linden purchases the certificate pursuant to N.J.S.A.54:5-34,
then the City of Linden is authorized and empowered to convey and
transfer to the authority or any of its subsidiaries, without receiving
compensation therefor, all of its right, title and interest in that
certificate; however, any portion of the amount paid to the Tax Collector
to redeem the tax sale certificate that represents tax or other City
lien delinquencies and subsequent City liens, including interest,
shall be returned by the Tax Collector of the City of Linden.
b.
(1)
If
the City of Linden or the authority or its subsidiaries 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 lis pendens notice under subsection
d of section 36 of P.L.1996, C. 62 (N.J.S.A.55:19-55), that entity
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 10-day
period the owner or mortgagee shall have notified the City of Linden
or authority or its subsidiary, as appropriate, 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 City of Linden or
authority or its subsidiaries, as appropriate, in order to ensure
performance. The amount and conditions of the bond shall be determined
by the public officer.
(2)
The cost of remediation incurred by the City of Linden or the
authority or its subsidiaries pursuant to this subsection, 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 City of Linden or the authority, except
for City taxes, liens and assessments and any lien imposed pursuant
to the "Spill Compensation and Control Act," P.L.1976, C. 141 (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 county clerk or register of deeds and mortgages,
as appropriate, in the county in which the property is located.
c.
(1)
Failure
of an owner or lienholder to remove a property from the abandoned
property list within the period of time for appeal of inclusion of
the property on the list pursuant to subsection e of section 36 of
P.L.1996, C. 62 (N.J.S.A.55:19-55), shall be prima facie evidence
of the intent of the owner to continue to maintain the property as
abandoned property.
(2)
The clearance, development, redevelopment, or repair of property
being maintained as an abandoned property pursuant to paragraph c(1)
of this subsection shall be a public purpose and public use for which
the power of eminent domain may be exercised.
[Ord. No. 57-61]
a.
An owner may remove a property from the list of abandoned properties
prior to sale of the tax sale certificate by paying all taxes and
City 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 section 36 of P.L.1996, C. 62 (N.J.S.A. 55:19-55)
and 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 the public officer 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 pursuant to section
36 of P.L.1996, C. 62 (N.J.S.A. 55:19-55), 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
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 City 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.
[Ord. No. 57-61]
a.
When a person other than the City of Linden or the authority or its
subsidiaries 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 six months following the date of the sale of the tax
sale certificate.
b.
When the City of Linden is the purchaser at tax sale of any property on the abandoned property list pursuant to N.J.S.A. 54:5-34, or when the authority or any of its subsidiaries acquires the tax sale certificate pursuant to subsection a of section 37 of P.L.1996, C. 62 (N.J.S.A.54:5-104.34), 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 section 36 of P.L.1996, C. 62 (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 pursuant to section 36
of P.L.1996, C. 62 (N.J.S.A. 55:19-56) have been remedied in full.
[Ord. No. 57-61]
Once a final judgment barring the right of redemption with respect
to a property on the list of abandoned properties has been recorded,
no court shall reopen such judgment at any time except on the grounds
of lack of jurisdiction or fraud in the conduct of the action; in
any such proceeding, the provisions of P.L.1996, C. 62 (N.J.S.A. 55:19-20
et al.) shall be construed liberally in favor of the purchaser, assignee
or transferee of the tax sale certificate.
[Ord. No. 57-61]
a.
Abandoned properties create a wide range of problems for the City
of Linden, fostering criminal activity, creating public health problems
and otherwise diminishing the quality of life for residents and business
operators in those areas.
b.
Abandoned properties diminish the 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.
c.
For these reasons, abandoned properties are presumptively considered
to be nuisances, in view of their negative effects on nearby properties
and the residents or users of those properties.
d.
The continued presence of abandoned properties in the City of Linden
acts as a significant barrier to the City's continued progressive
development and revitalization.
e.
The responsibility of a property owner to maintain a property in
sound condition and prevent it from becoming a nuisance to others
extends to properties which are not in use and "demolition by neglect,"
leading to the deterioration and loss of the property, or failure
by an owner to comply with legitimate orders to demolish, stabilize
or otherwise repair his or her property creates a presumption that
the owner has abandoned the property.
[Ord. No. 57-61]
See also definitions.
Means the New Jersey Department of Community Affairs.
Means any person or entity holding a note, mortgage or other
interest secured by the building or any part thereof.
Means the holder or holders of title to an abandoned property.
Means any building or structure and the land appurtenant
thereto.
Means the person designated by the City of Linden pursuant
to section 3 of P.L.1942, C. 112 (N.J.S.A.40:48-2.5) or any officer
of the City of Linden qualified to carry out the responsibilities
set forth in P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.) and designated
by the Mayor and Council of Linden.
Means an entity organized or 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 P.L.2003, C. 10 (N.J.S.A.55:19-78 et al.)
to carry out the rehabilitation of vacant buildings in urban area.
[Ord. No. 57-61]
Except as provided in section 6 of P.L.2003, C. 210 (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
public officer that:
a.
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;
b.
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 public officer pursuant to this section;
c.
At least one installment of property tax remains unpaid and delinquent on that property in accordance with chapter 4 of Title 54 of the Revised Statutes in the State of New Jersey as of the date of a determination by the public officer pursuant to this section; or
d.
The property has been determined to be a nuisance by the public officer
in accordance with section 5 of P.L.2003, C. 210 (N.J.S.A.55:19-82).
|
A property which contains both residential and non-residential
space may be considered abandoned pursuant to P.L.2003, C. 210 (N.J.S.A.55:19-78
et al.) so long as two-thirds 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 and the property meets the criteria of either paragraph
a or paragraph d of this subsection.
|
[Ord. No. 57-61]
A property may be determined to be a nuisance if:
a.
The property has been found to be unfit for human habitation, occupancy
or use pursuant to section 1 of P.L.1942, C. 112 (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 City of Linden
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 have 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.
|
A public officer who determines a property to be a nuisance
pursuant to paragraphs b through e of this subsection shall follow
the notification procedures set forth in P.L.1942, C. 112 (N.J.S.A.40:48-2.3
et seq.).
|
[Ord. No. 57-61]
a.
If an entity other than the City of Linden has purchased or taken assignment from the City 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 placed on the abandoned property list pursuant to section 36 of P.L.1996, C. 62 (N.J.S.A.55:19-55) if (1) the owner of the certificate has continued to pay all City of Linden 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 which is used on a seasonal basis shall be deemed to be
abandoned only if the property meets any two of the additional criteria
set forth in section 4 of P.L.2003, C. 210 (N.J.S.A.55:19-81).
c.
A determination that a property is abandoned property under the provisions
of P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.) 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 public officer or the Tax Collector shall, in a timely fashion, provide the requester with a certification that the property fulfills the definition of abandoned according to the criteria set forth in sections 4 and 5 of P.L.2003, C. 210 (N.J.S.A.55:19-81 and N.J.S.A.55:19- 82).
[Ord. No. 57-61]
A summary action or otherwise to transfer possession and control
of abandoned property in need of rehabilitation to the City of Linden
may be brought by the City of Linden in the Superior Court in the
county in which the property is situated. If the court shall find
that the property is abandoned pursuant to section 4 of P.L.2003,
C. 210 (N.J.S.A.55:19-81) and the owner or party in interest has failed
to submit and initiate a rehabilitation plan, then the court may authorize
the City of Linden to take possession and control of the property
and develop a rehabilitation plan.
The City of Linden granted possession and control 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, necessary to 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 of the property
as provided in section 15 of P.L.2003, C. 210 (N.J.S.A.55:19-92).
Failure by the owner, mortgage holder or lien holder to submit
plans for rehabilitation to the City of Linden, obtain appropriate
construction permits for rehabilitation or, in the alternative, submit
formal applications for funding the cost of rehabilitation to local,
State or Federal agencies providing such funding within that six-month
period shall be deemed prima facie evidence that the owner has failed
to take any action to further the rehabilitation of the property.
[Ord. No. 57-61]
A complaint filed pursuant to section 7 of P.L.2003, C. 210
(N.J.S.A.55:19-84) shall include:
a.
Documentation that the property is on the municipal abandoned property
list or a certification by the public officer that the property is
abandoned; and
b.
A statement by an individual holding appropriate professional qualifications
that there are sound reasons that the building should be rehabilitated
rather than demolished based upon the physical, aesthetic or historical
character of the building or the relationship of the building to other
buildings and lands within its immediate vicinity.
[Ord. No. 57-61]
a.
Within 10 days of filing a complaint pursuant to P.L.2003, C. 210
(N.J.S.A.55:19- 78 et al.), the plaintiff shall file a notice of lis
pendens with the county recording officer of the county within which
the building is located.
b.
At least 30 days before filing the complaint, the City of Linden
shall serve a notice of intention to take possession of an abandoned
building. The notice shall inform the owner and interested parties
that the property has not been legally occupied for six months and
of those criteria that led to a determination of abandonment pursuant
to section 4 of P.L.2003, C. 210 (N.J.S.A.55:19-81).
The notice shall provide that unless the owner or a party in
interest prepares and submits a rehabilitation plan to the appropriate
City of Linden officials, the City of Linden will seek to gain possession
of the building to rehabilitate the property and the associated cost
shall be a lien against the property, which may be satisfied by the
sale of the property, unless the owner applies to the court for reinstatement
of control of the property as provided in section 15 of P.L.2003,
C. 210 (N.J.S.A.55:19-92).
After the complaint is filed, the complaint shall be served
on the parties in interest in accordance with the New Jersey Rules
of Court.
c.
After serving the notice of intent pursuant to subsection b of this section, the City of Linden or its designee may enter upon that property after written notice to the owner by certified mail, return receipt requested, in order to secure, stabilize or repair the property, or in order to inspect the property for purposes of preparing the plan to be submitted to the court pursuant to section 12 of P.L.2003, C. 210 (N.J.S.A.55:19-89).
[Ord. No. 57-61]
a.
Any owner may defend against a complaint filed pursuant to section
7 of P.L.2003, C. 210 (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 percent of the
amount determined by the public officer or the court 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.
b.
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.
c.
(1) The court shall approve any plan that, in the judgment of the
court, is realistic and likely to result in the expeditious rehabilitation
and reuse of the property, which is the subject of the complaint.
(1)
If the court approves the owner's plan, then it may appoint
the public officer to act as monitor of the owner's compliance. If
the owner fails to carry out any step in the approved plan, then the
City of Linden may apply to the court to have the owner's bond forfeited,
possession of the building transferred to the City of Linden to complete
the rehabilitation plan and authorization to use the bond proceeds
for rehabilitation of the property.
(2)
The owner shall provide quarterly reports to the City of Linden
on its activities and progress toward rehabilitation and reuse of
the property. The owner shall provide those reports to the court on
its activities that the court determines are necessary.
d.
The court may reject a plan and bond if it finds that the plan does
not represent a realistic and expeditious means of ensuring the rehabilitation
of the property or that the owner or his representatives or agents,
or both, lack the qualifications, background or other criteria necessary
to ensure that the plan will be carried out successfully.
[Ord. No. 57-61]
a.
If an owner is unsuccessful in defending against a complaint filed
pursuant to section 7 of P.L.2003, C. 210 (N.J.S.A.55:19-84), the
mortgage holder or lien holder 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 section 10 of P.L.2003, C. 210 (N.J.S.A.55:19-87).
The plan shall be submitted within 60 days after the court has rejected
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 lien holder's plan, it
shall designate that party to be in possession of the property for
purposes of ensuring its rehabilitation and reuse and may appoint
the public officer to act as monitor of the party's compliance.
The mortgage holder or lien holder, as the case may be, shall
provide quarterly reports to the court and the City of Linden on its
activities and progress toward rehabilitation and reuse of the property.
If the mortgage holder or lien holder fails to carry out any
material step in the approved plan, then the public officer shall
notify the court, which may order the bond forfeit, grant the City
of Linden possession of the property, and authorize the City of Linden
to use the proceeds of the bond for rehabilitation of the property.
b.
Any sums incurred or advanced for the purpose of rehabilitating the
property by a mortgage holder or lien holder granted possession of
a property pursuant to paragraph a of this subsection, including court
costs and reasonable attorney's fees, may be added to the unpaid balance
due that mortgage holder or lien holder, with interest calculated
at the same rate set forth in the note or security agreement; or,
in the case of a tax lien holder, at the statutory interest rate for
subsequent liens.
[Ord. No. 57-61]
If no mortgage holder or lienholder meets the conditions of
section 11 of P.L.2003, C. 210 (N.J.S.A.55:19-88), then the City of
Linden shall submit a plan to the court which conforms with the provisions
of subsection b of section 10 of P.L.2003, C. 210 (N.J.S.A.55:19-87).
The plan shall designate the entity which shall implement the plan,
which may be the City of Linden or that entity designated in accordance
with the provisions of section 13 of P.L.2003, C. 210 (N.J.S.A.55:19-90).
The court shall grant the City of Linden possession of the property
if it finds that:
a.
The proposed rehabilitation and reuse of the property is appropriate
and beneficial;
b.
The City of Linden is qualified to undertake the rehabilitation and
reuse of the property; and
c.
The plan submitted by the City of Linden represents a realistic and
timely plan for the rehabilitation and reuse of the property.
|
The City of Linden shall take all steps necessary and appropriate
to further the rehabilitation and reuse of the property consistent
with the plan submitted to the court. In making its findings pursuant
to this section, the court may consult with qualified parties, including
the Department of Community Affairs, and, upon request by a party
in interest, may hold a hearing on the plan.
|
|
Where either a redevelopment plan pursuant to P.L.1992, C. 79
(N.J.S.A.40A:12A-1 et seq.) or a neighborhood revitalization plan
pursuant to P.L.2001, C. 415 (N.J.S.A.52:27D-490 et seq.) has been
adopted or approved by the Department of Community Affairs, as appropriate,
encompassing the property which is the subject of a complaint, the
court shall make a further finding that the proposed rehabilitation
and reuse of the property are not inconsistent with any provision
of either plan.
|
[Ord. No. 57-61]
The City of Linden may exercise its rights under P.L.2003, C.
210 (N.J.S.A.55:19-78 et al.) directly, or may designate a qualified
rehabilitation entity to act as its designee for the purpose of exercising
the City's rights where that designation will further the rehabilitation
and reuse of the property consistent with City's plans and objectives.
This designation shall be made by resolution of the Mayor and the
Council of the City of Linden The Governing Body or Mayor, as the
case may be, may delegate this authority to the public officer.
Regardless of whether the City of Linden exercises its rights
directly or designates a qualified rehabilitation entity pursuant
to this section, while in possession of a property pursuant to P.L.2003,
C. 210 (N.J.S.A.55:19-78 et al.), the City of Linden shall maintain,
safeguard, and maintain insurance on the property. Notwithstanding
the City's possession of the property, nothing in P.L.2003, C. 210
(N.J.S.A.55:19-78 et al.) shall be deemed to relieve the owner of
the property of any civil or criminal liability or any duty imposed
by reason of acts or omissions of the owner.
[Ord. No. 57-61]
a.
If the City of Linden has been granted possession of a property pursuant
to section 12 of P.L.2003, C. 210 (N.J.S.A.55:19-89), that City shall
be deemed to have an ownership interest in the property for the purpose
of filing plans with public agencies and boards, seeking and obtaining
construction permits and other approvals, and submitting applications
for financing or other assistance to public or private entities.
For the purposes of any State program of grants or loans, including
but not limited to programs of the Department of Community Affairs
and the New Jersey Housing and Mortgage Finance Agency, possession
of a property under this section shall be considered legal control
of the property.
Notwithstanding the granting of possession to the City of Linden,
nothing in P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.) shall be deemed
to relieve the owner of the property of any obligation the owner or
any other person may have for the payment of taxes or other City of
Linden liens and charges, or mortgages or liens to any party, whether
those taxes, charges or liens are incurred before or after the granting
of possession.
The granting of possession shall not suspend any obligation
the owner may have as of the date of the granting of possession for
payment of any operating or maintenance expense associated with the
property, whether or not billed at the time of the granting of possession.
b.
The court may approve the borrowing of funds by the City of Linden
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 shall find
that (1) the City of Linden sought to obtain the necessary financing
from the senior lienholder, which declined to provide such financing
on reasonable terms; (2) the City of Linden 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
in the office of the clerk of the county in which the property is
located. For the purposes of this section, the cost of rehabilitation
shall include reasonable non-construction costs such as architectural
fees or construction permit fees customarily included in the financing
of the rehabilitation of residential property.
c.
Where the City of Linden has been granted possession by the court
in the name of the city, the City of Linden may seek the approval
of the court to assign its rights to another entity, which approval
shall be granted by the court when it finds that: (1) the entity to
which the city's rights will be assigned is a qualified rehabilitation
entity; and (2) the assignment will further the purposes of this section.
d.
Where the City of Linden has designated a qualified rehabilitation
entity to act on its behalf, the qualified rehabilitation entity shall
provide quarterly reports to the City of Linden on its activities
and progress toward rehabilitation and reuse of the property. The
City of Linden 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 City of Linden 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 City of Linden to designate another qualified
rehabilitation entity to exercise its rights, or if the City of Linden
fails to do so, may terminate the order of possession and return the
property to its owner.
e.
The City of Linden shall file a Notice of Completion with the court,
and shall also serve a copy on the owner and any mortgage holder or
lien holder, at such time as the City of Linden 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 rehabilitation can realistically be anticipated
to be complete within that time period, and a statement setting forth
such actions as it plans to undertake to ensure that reuse of the
property takes place consistent with the plan.
[Ord. No. 57-61]
An owner may petition for reinstatement of the owner's control
and possession of the property at any time after one year from the
grant of possession, but no later than 30 days after the City of Linden
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 City of Linden has filed 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 City of Linden, or affect any of the terms or
conditions under which the City of Linden, has applied for or received
financing for the rehabilitation of the property.
[Ord. No. 57-61]
Any petition for reinstatement of the owner's control and possession
of the property filed pursuant to section 15 of P.L.2003, C. 210 (N.J.S.A.55:19-92)
shall:
a.
Include a plan for completion of the rehabilitation and reuse of
the property consistent with the plan previously approved by the court;
b.
Provide legally binding assurances that the owner will comply with
all conditions of any grant or loan secured by the City of Linden
or repay those grants or loans in full, at the discretion of the maker
of the loan or grant; and
c.
Be accompanied by payment equal to the sum of (1) all City liens
outstanding on the property; (2) all costs incurred by the City of
Linden in bringing action with respect to the property; (3) any costs
incurred by the City of Linden not covered by grants or loans to be
assumed or repaid pursuant to this section; and (4) any costs remaining
to complete rehabilitation and reuse of the property, as determined
by the public officer, which payment shall be placed in escrow with
the Clerk of the Court pending disposition of the petition.
[Ord. No. 57-61]
Prior to the granting of a petition on the part of the owner
by the court pursuant to section 15 of P.L.2003, C. 210 (N.J.S.A.55:19-92),
the owner may be required to post a bond or other security in an amount
determined by the court, after consultation with the public officer,
as likely to ensure that the owner will continue to maintain the property
in sound condition. That bond or other security shall be made available
to the City of Linden to make any repair on the property in the event
of a code violation which is not corrected in timely fashion by the
owner. The bond or other security may be forfeit in full in the event
that the owner fails to comply with any requirement imposed as a condition
of the reinstatement petition filed pursuant to section 15 of P.L.2003,
C. 210 (N.J.S.A.55: 19-92).
The owner may seek approval of the court to be relieved of this
requirement after five years, which shall be granted if the court
finds that the owner has maintained the property in good repair during
that period, that no material violations affecting the health and
safety of the tenants have occurred during that period, and that the
owner has remedied other violations in a timely and expeditious fashion.
[Ord. No. 57-61]
If the owner fails to petition for the reinstatement of control
and possession of the property within 30 days after the entity in
possession 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 filed pursuant to section 15 of P.L.2003, C.
210 (N.J.S.A.55:19-92), upon petition from the entity in possession,
the court may grant the City of Linden title or authorize the City
of Linden to sell the property, subject to the provisions of section
19 of P.L.2003, C. 210 (N.J.S.A.55:19-96).
[Ord. No. 57-61]
a.
Where the City of Linden 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 City of Linden 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 section 20 of P.L.2003, C. 210 (N.J.S.A.55:19-97).
b.
The City of Linden may seek approval of the court to sell the property
to a third party when the court finds that such conveyance will further
the effective and timely rehabilitation and reuse of the property.
c.
Upon approval by the court, the City of Linden 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 section 20 of P.L.2003, C. 210
(N.J.S.A.55:19-97).
[Ord. No. 57-61]
The proceeds paid pursuant to subsection c of section 19 of
P.L.2003, C. 210 (N.J.S.A.55:19-96) shall be distributed in the following
order of priority:
a.
The costs and expenses of sale;
b.
Other governmental liens;
c.
Repayment of principal and interest on any borrowing or indebtedness incurred by the City of Linden and granted priority lien status pursuant to subsection a of section 21 of P.L.2003, C. 210 (N.J.S.A.55:19-98);
d.
A reasonable development fee to the City of Linden consistent with
the standards for development fees established for rehabilitation
programs by the New Jersey Department of Community Affairs or the
New Jersey Housing and Mortgage Finance Agency;
e.
Other valid liens and security interests, in accordance with their
priority; and
f.
The owner.
[Ord. No. 57-61]
a.
The public officer, with the approval of the court, may place a lien
on the property to cover any costs of the City of Linden in connection
with a proceeding under P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.)
incurred prior to the grant by the court of an order of possession
under P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.), 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 City lien for the purposes of N.J.S.A.54:5-9
with the rights and status of a City lien pursuant thereto.
b.
With the exception of the holding of special tax sales pursuant to
section 24 of P.L.2003, C. 210 (N.J.S.A.55:19-101), the remedies available
under P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.) shall be available
to the City of Linden with respect to any abandoned property, whether
or not the City of Linden has established an abandoned property list
as provided in section 36 of P.L.1996, C. 62 (N.J.S.A.55:19-55) and
whether or not the property has been included on any such list.
[Ord. No. 57-61]
Notwithstanding any provision to the contrary in P.L.2003, C.
210 (N.J.S.A.55:19-78 et al.), a court may in its discretion deny
a lienholder or mortgage holder of any or all rights or remedies afforded
lienholders and mortgage holders under P.L.2003, C. 210 (N.J.S.A.55:19-78
et al.), if the court finds that the owner of a property subject to
any of the provisions of P.L.2003, C. 210 (N.J.S.A.55:19-78 et al.)
owns or controls more than a 50% interest in, or effective control
of, the lienholder or mortgage holder or that the familial or business
relationship between the lienholder or mortgage holder and the owner
precludes a separate interest on the part of the lienholder or mortgage
holder.
[Ord. No. 57-61]
With respect to any lien placed against any real property pursuant
to the provisions of section 1 or section 3 of P.L.1942, C. 112 (N.J.S.A.40:48-2.3
or N.J.S.A.40:48-2.5) or section 1 of P.L.1989, C. 91 (N.J.S.A.40:48-2.3a)
or any receiver's lien pursuant to P.L.2003, C. 295 (N.J.S.A.2A:42-114
et al.), the City of Linden shall have recourse with respect to the
lien against any asset of the owner of the property if an individual,
against any asset of any partner if a partnership, and against any
asset of any owner of a 10% interest or greater if the owner is any
other business organization or entity recognized pursuant to law.
[Ord. No. 57-61]
The City of Linden 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 an abandoned property list established by the City
of Linden pursuant to section 36 of P.L.1996, C. 62 (N.J.S.A.55:19-55).
If the City of Linden elects to hold a special tax sale shall conduct
that sale subject to the following provisions:
a.
The City of Linden shall establish criteria for eligibility to bid
on properties at the sale, which may include, but shall not be limited
to: documentation of the bidder's ability to rehabilitate or otherwise
reuse the property consistent with City's plans and regulations; commitments
by the bidder to rehabilitate or otherwise reuse the property, commitments
by the bidder to take action to foreclose on the tax lien by a date
certain; and such other criteria as the City of Linden 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;
b.
The City of Linden may establish minimum bid requirements for a special
tax sale that may be less than the full amount of the taxes, interest
and penalties due, the amount of such minimum bid to be at the sole
discretion of the City of Linden, in order to ensure that the properties
to be sold will be rehabilitated or otherwise reused in a manner consistent
with the public interest;
c.
The City of Linden may combine properties into bid packages, and
require that bidders place a single bid on each package, and reject
any and all bids on individual properties that have been included
in bid packages;
d.
The City of Linden may sell properties subject to provisions that,
if the purchaser fails to carry out any commitment that has been set
forth as a condition of sale pursuant to paragraph a of this subsection
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 City of Linden, and any amount paid by the purchaser to the City
of Linden at the special tax sale shall be forfeit to the City;
e.
In the event there are two or more qualified bidders for any property
or bid package in a special tax sale, the City of Linden may designate
the unsuccessful but qualified bidder whose bid was closest to the
successful bid as an eligible purchaser;
f.
In the event that the purchaser of that property or bid package fails
to meet any of the conditions of sale established by the City of Linden
pursuant to this section, and their interest in the property or properties
reverts to the City of Linden, the City of Linden 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 City of Linden 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 City of Linden pursuant to paragraphs b, c
or d of this subsection. Nothing shall prohibit the City of Linden
from holding a special tax sale on the same day as a standard or accelerated
tax sale.
[Ord. No. 57-61]
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:
a.
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;
b.
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 City of Linden in which the
property is located; and
c.
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
subsection that the fair market value of the abandoned property is
zero, and that no compensation is due the owner.
[Ord. No. 57-61]
If a property, which an entity other than the City of Linden
has purchased or taken assignment from the City of Linden of a tax
sale certificate, is placed on the abandoned property list, the property
shall be removed from the list if the owner of the certificate pays
all City's 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.
[Ord. No. 57-61]
a.
Any interested party may submit in writing a request to the public
officer that a property be included on the abandoned property list
prepared pursuant to section 36 of P.L.1996, C. 62 (N.J.S.A.55:19-55),
specifying 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 public officer shall provide a
written response to the party, either indicating that the property
will be added to the list of abandoned properties or, if not, the
reasons for not adding the property to the list. For the purposes
of this section, "interested party" shall include any resident of
the City of Linden, any owner or operator of a business within the
City of Linden or any organization representing the interests of residents
or engaged in furthering the revitalization and improvement of the
neighborhood in which the property is located.
b.
Any interested party may participate in any re-determination hearing
held by the public officer pursuant to subsection e of section 36
of P.L.1996, C. 62 (N.J.S.A.55:19-55). Upon written request by any
interested party, the public officer shall provide the party with
at least 20 days' notice of any such hearing. The party shall provide
the public officer 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.
