BLOG: Property Tax Appeal

Stick to the Cost Approach When Valuing Nursing Homes

by: Daniel Kim
16 Nov 2017
In two recent decisions, the Tax Court addressed the proper valuation methodology in determining the market value of nursing/rehabilitation facilities.   In 962 River Ave., LLC v. Twp. of Lakewood, the property at issue was a 126-unit, 242-bed, skilled nursing facility that provides short-term rehabilitation services, long-term care, and specialty services for Huntington Disease.   Plaintiff filed a... Read More

Tax Court Disagrees with Board’s Dismissal, Denies Motion to Dismiss and Preserves Appeal

by: Daniel Kim
17 Oct 2017
Under N.J.S.A. 54:51A-1(c), the Tax Court is precluded from reviewing an appeal from the county board of taxation if the appeal to the board was either (1) withdrawn; (2) settled; (3) or dismissed for lack of prosecution.   Non-appearance by a taxpayer at a county board hearing will constitute as a failure to prosecute the appeal,... Read More

Township Ordered to Refund Property Owner that Paid Taxes by Mistake

by: Daniel Kim
10 Oct 2017
The Correction of Errors statute, N.J.S.A. 54:4-54, provides relief where a taxpayer has mistakenly paid the property taxes of another.  Under this statute, in Hanover Floral Co. v. East Hanover Twp., the plaintiff sought a refund of property taxes paid by mistake of property that was not their own.  By mistake of the Township’s Tax... Read More

Flawed Highest and Best Use Determination Cripples Taxpayer’s Case

by: Daniel Kim
5 Sep 2017
A valuation trial of a retail bank branch was recently heard before the Tax Court.  Beneficial Mutual Savings Bank v. Twp. of Mount Laurel involved a one-story retail bank branch that is owner-occupied.  The history of the subject property was relevant to plaintiff’s valuation analysis.   Approximately 20 years ago, Rt. 38 was widened from four lanes... Read More

Testimony on Reasonable Probability of Zoning Change Not Limited to Real Estate Appraisers

by: Daniel Kim
18 Aug 2017
In a recent dispute before the Tax Court, the court addressed the issue of whether only a real estate appraiser may offer testimony as to the reasonable probability of a change in zoning of the subject property as of the relevant valuation dates.  In Ciba Specialty Chemicals Corp. v. Twp. of Toms River, the taxpayer... Read More

Denial of Veteran’s Tax Exemption Upheld on Appeal

by: Daniel Kim
19 Jul 2017
On or about March 21,  2016, the Tax Court issued a ruling in Fisher v. Millville which addressed a taxpayer’s application for disabled veteran’s property tax exemption pursuant to N.J.S.A. 54:4-3.30.  The issue in the case was whether plaintiff’s disability satisfied the statutory criteria for a veteran’s property tax exemption.  The Tax Court denied plaintiff’s application for an... Read More

Even in Bankruptcy, Prior Owner’s Failure to Respond to Ch. 91 Request Not Excused

by: Daniel Kim
29 Jun 2017
The Tax Court once again dismissed an appeal for taxpayer’s failure to provide income and expense information pursuant to the municipality’s Ch. 91 request.  In 975 Holdings, LLC v. Egg Harbor City, the prior owner of the subject property had filed for bankruptcy under Chapter 11 and plaintiff acquired the subject property in a bankruptcy... Read More

SCOTUS Rejects Bright-Line Rule, Adopts a Multifactor Standard in Relevant Parcel Analysis

by: Daniel Kim
27 Jun 2017
In the context of regulatory takings, issues often arise in identifying what the actual property consists of before the taking.  Because the test for regulatory takings require the courts to compare the value that has been taken from the property with the value that remains in the property, one of the critical components in the... Read More

“Hotel for Pets” Is Deemed Not Income-Producing

by: Daniel Kim
1 Jun 2017
The Township had a bone to pick with plaintiffs who filed appeals of a property that consisted of a pet boarding kennel.  In Pittius v. Old Bridge Twp., the subject property consisted of one residential improvement and another improvement which consisted of a boarding kennel for animals. The property is classified as a 4A (commercial)... Read More

Taxpayers’ Reliance on MLS to Find Market Value Rejected

by: Daniel Kim
23 Mar 2017
A real property trial was held in Reznick v. Twp. of Marlboro wherein plaintiffs challenged their residential property tax assessment.  Plaintiffs had initially filed to the Monmouth County Board of Taxation which reduced the assessment from $909,000 down to $862,000.  Plaintiff thereafter appealed to the Tax Court seeking a reduction of the assessment to $800,000.... Read More