BLOG: Condemnation Law
Widespread Disagreement on Plan to use Eminent Domain to Acquire Mortgages
Time Magazine recently covered a controversial plan proposed by Mortgage Resolution Partners to acquire distressed mortgages using the government’s eminent domain power. The article highlighted some of the concerns raised in a post on this blog, as well as in other local and national media outlets. Specifically, mortgage holders will not likely accept the value... Read More
"Special" Valuation Rules N/A To Environmentally Remediated Property
Yesterday a New Jersey appellate court narrowed the scope of a property owner’s liability for environmental remediation when the owner’s property is taken via eminent domain. In Borough of Paulsboro v. Essex Chemical Corporation, the Superior Court, Appellate Division (Skillman, J.A.D.) held that a property owner that had obtained approval of a closure plan for... Read More
Should Governments Use Eminent Domain to Acquire Underwater Mortgages?
In an unprecedented move, a group of venture capitalists out of San Francisco hopes to convince county and local officials in California to use the power of eminent domain to seize control of private residential mortgage-backed securities with the intent of cutting the principal balances of negative-equity borrowers. As proposed, Mortgage Resolution Partners would work... Read More
Sayreville Developer Fails in Challenge to Redevelopment Fees
A New Jersey appellate court this week rejected an appeal by a Sayreville developer to challenge the imposition of costs and fees levied upon its commercial redevelopment by the Sayreville Economic Redevelopment Agency (“SERA”). The developer Gillette Enterprises, Inc., sought to develop a parcel of land within Sayreville’s redevelopment area with age-restricted housing, after it... Read More
Inverse Condemnation Defeated: Wildwood Property Owner Fails to Exhaust Administrative Remedies
On Friday May 18, 2012, a New Jersey appellate court affirmed – and published – the trial court’s decision in Dock Street Seafood, Inc. v. City of Wildwood, ___ N.J. Super. ___ (Law Div. Docket No. L-17056-06). Plaintiff/appellant owns a vacant parcel of property located at 600 West Baker Ave in Wildwood, N.J. adjacent to its... Read More
LBI Town Forum Shopping to Avoid Paying Just Compensation?
The Press of Atlantic City reports that Long Beach Township intends to use eminent domain in its forthcoming beach replenishment cases involving oceanfront properties within its boundaries. However, unlike its neighbor – Harvey Cedars – Long Beach will apparently be seeking to avoid trials in New Jersey Superior Court, where property owners have received just compensation as... Read More
Willets Point Takings Abandoned by NYC at Eleventh Hour
The City of New York has withdrawn its efforts to use eminent domain to acquire properties within a 62-acre “Iron Triangle” in the Willets Point section of Queens near Citi Field and downtown Flushing. The condemnations were scheduled to proceed to hearing next week, but the Bloomberg administration instead halted the takings of several private... Read More
Morristown's Speedwell Avenue Redevelopment Nears Approval
(Photo courtesy Dean Marchetto/MorristownGreen.com) Morristown’s Speedwell Avenue redevelopment project appears to be heading towards approval. As reported by Maria Pfeifer in MorristownGreen.com, the Planning Board directed special counsel to prepare a resolution approving Phase 1 on the redevelopment plan, which calls for construction of residential units along Speedwell Avenue and Early Street. One bone of contention... Read More
Appellate Court Reaffirms Bedrock Condemnation Principles in Dismissing Complaint
This week, a New Jersey appellate court reversed a trial court judgment allowing a condemnation action to proceed in the face of the property owner’s objection that the government has failed to engage in bona fide negotiations pre-complaint. New United Corp. v. Essex County Vo-Tech. There appears to have been a long-standing dispute, prior and... Read More
