A.
Abandoned properties create a wide range of problems for the Township,
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 Township acts
as a significant barrier to the Township'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.
(See also definitions in Article I.)
As used in this article, the following terms shall have the
meanings provided:
Any property that is determined to be abandoned pursuant
to P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.).
The New Jersey Department of Community Affairs.
Any person or entity holding a note, mortgage or other interest
secured by the building or any part thereof.
The holder or holders of title to an abandoned property.
Any building or structure and the land appurtenant thereto.
The person designated by the Township pursuant to Section
3 of P.L. 1942, c. 112 (N.J.S.A. 40:48-2.5) or any officer of the
Township qualified to carry out the responsibilities set forth in
P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.) and designated by the
Township Committee of the Township of West Deptford.
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 seq.) to carry
out the rehabilitation of vacant buildings in urban area.
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 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).
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A property which contains both residential and nonresidential space may be considered abandoned pursuant to P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.) so long as 2/3 or more of the total net square footage of the building was previously legally occupied as residential space and none of the residential space has been legally occupied for at least six months at the time of the determination of abandonment by the public officer and the property meets the criteria of either Subsection A or Subsection D of this section.
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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 Township has
secured the property in order to prevent such hazards after the owner
has failed to do so;
D.
The presence of vermin or the accumulation of debris, uncut vegetation
or physical deterioration of the structure or grounds 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 measurers to remedy the conditions.
A.
If an entity other than the Township 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 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 Township taxes and liens on the property in the tax year when due; and (2) the owner of the certificate taxes 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 seq.) shall not constitute
a finding that the use of the property has been abandoned for purposes
of municipal zoning or land use regulation.
D.
Upon the request of a purchaser or assignee of a tax sale certificate seeking to bar the right of redemption on an abandoned property pursuant to Subsection B of N.J.S.A. 54:5-86, the 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 55:19-82).
A summary action or otherwise to transfer possession and control
of abandoned property in need of rehabilitation to the Township may
be brought by the Township 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
Township to take possession and control of the property and develop
a rehabilitation plan.
The Township 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 provide 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 Township, 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.
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 immediately vicinity.
A.
Within 10 days of filing a complaint pursuant to P.L. 2003, c. 210
(N.J.S.A. 55:19-78 et seq.), 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 Township 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
Township officials, the Township 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 Township 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).
A.
Any owner may defend 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% 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.
(2)
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 Township
may apply to the court to have the owner's bond forfeited, possession
of the building transferred to the Township to complete the rehabilitation
plan and authorization to use the bond proceeds for rehabilitation
of the property.
(3)
The owner shall provide quarterly reports to the Township 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,
lack the qualifications, background or other criteria necessary to
ensure that the plan will be carried out successfully.
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 lien holder with an extension of time for good causes 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 Township 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 Township
possession of the property, and authorize the Township 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 Subsection A of this section, 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.
If no mortgage holder or lien holder meets the conditions of
Section 11 of P.L. 2003, c. 210 (N.J.S.A. 55:19-88), then the Township
shall submit a plan to the court which conforms to 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 Township 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 Township possession of the property
if it finds that:
A.
The proposed rehabilitation and reuse of the property is appropriate
and beneficial;
B.
The Township is qualified to undertake the rehabilitation and reuse
of the property; and
C.
The plan submitted by the Township represents a realistic and timely
plan for the rehabilitation and reuse of the property.
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The Township shall take all steps necessary and appropriate
to further the rehabilitation and reuse 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.
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The Township may exercise its rights under P.L. 2003, c. 210
(N.J.S.A. 55:19-78 et seq.) directly, or may designate a qualified
rehabilitation entity to act as its designee for the purpose of exercising
the Township's rights where that designation will further the rehabilitation
and reuse of the property consistent with the Township's plans and
objectives. This designation shall be made by resolution of the Mayor
and Township Committee of the Township of West Deptford. The governing
body or Mayor, as the case may be, may delegate this authority to
the public officer. Regardless of whether the Township 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 seq.), the Township shall maintain,
safeguard, and maintain insurance on the property. Notwithstanding
the Township's possession of the property, nothing in P.L. 2003, c.
210 (N.J.S.A. 55:19-78 et seq.) 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.
A.
If the Township has been granted possession of a property pursuant
to Section 12 of P.L. 2003, c. 210 (N.J.S.A. 55:19-89), the Township
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 purpose 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 Township,
nothing in P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.) 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
Township 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 granting of possession.
B.
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 shall find that: (1) the
Township sought to obtain the necessary financing from the senior
lien holder, which declined to provide such financing on reasonable
terms; (2) the Township sought to obtain a voluntary subordination
from the senior lien holder, 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 purpose 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 Township has been granted possession by the court in the
name of the Township, the Township 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 Township's
rights will be assigned is a qualified rehabilitation entity; and
(2) the assignment will further the purposes of this section.
D.
Where the Township has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
quarterly reports to the 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 the Township to
designate another qualified rehabilitation entity to exercise its
rights, or if the Township fails to do so, may terminate the order
of possession and return the property to its owner.
E.
The Township 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 Township has determined that no more than
six months remain to the anticipated date on which rehabilitation
will be complete. This notice shall include an affidavit of the public
officer attesting that 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.
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 Township
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 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.
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 Township 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 Township liens
outstanding on the property; (2) all costs incurred by the Township
in bringing action with respect to the property; (3) any costs incurred
by the Township 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.
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 Township 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.
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 Township title or authorize the Township to
sell the property, subject to the provisions of section 19 of P.L.
2003, c. 210 (N.J.S.A. 55:19-96).
A.
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 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 Township 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 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 Section 20 of P.L. 2003, c.
210 (N.J.S.A. 55:19-97).
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 of any borrowing or indebtedness
incurred by the Township 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 Township 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.
A.
The public officer, with the approval of the court, may place a lien
on the property to cover any costs of the Township in connection with
the proceeding under P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.)
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 seq.), 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 purpose of N.J.S.A. 54:5-9
with the rights and status of a Township 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 seq.) shall
be available to the Township with respect to any abandoned property,
whether or not the Township 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.
Notwithstanding and provisions to the contrary in P.L. 2003,
c. 210 (N.J.S.A. 55:19-78 et seq.), a court may in its discretion
deny a lien holder or mortgage holder of any or all rights or remedies
afforded lien holders and mortgage holders under P.L. 2003, c. 210
(N.J.S.A. 55:19-78 et seq.), 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 seq.) owns or controls more than a 50% interest in, or
effective control of, the lien holder or mortgage holder or that the
familial or business relationship between the lien holder or mortgage
holder and the owner precludes a separate interest on the part of
the lien holder or mortgage holder.
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 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 seq.), the Township 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.
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 an abandoned property list established by the Township
pursuant to section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55). If
the Township elects to hold a special tax sale, the Township shall
conduct that sale subject to the following provisions:
A.
The Township 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 Township plans and regulations; commitments by the
bidder to rehabilitate or other reuse the property, consistent with
the Township plans and regulations; commitments by the bidder to take
action to foreclose on the tax lien by a certain date; and such other
criteria as the Township 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 Township may establish minimum bid requirements for a special
tax sale that may be less than the full amount of taxes, interest
and penalties due, the amount of such minimum bid to be at the sole
discretion of the Township, 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 Township 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 Township 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 Subsection A of this section 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 to the Township at the special tax sale shall be forfeit to the Township;
E.
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 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 Township
pursuant to this section, 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.
G.
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 Subsection B, C or D of this section. Nothing shall prohibit the Township from holding a special tax sale on the same day as a standard or accelerated tax sale.
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 purposes
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 Township 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.
If a property, which an entity other than the Township has purchased
or taken assignment from the Township 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 Township'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.
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 purpose of
this section, "interested party" shall include any resident of the
Township, any owner or operator of a business within the Township
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 redetermination 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 the party proposes to submit at the hearing.
