Any property owners in New Jersey who have suffered substantial damages to their real property as a result of Hurricane Sandy should be entitled to tax relief pursuant to New Jersey law. Specifically, N.J.S.A. 54:4-35.1 provides that any parcel of real property containing a building or other structure destroyed, demolished or altered in such a way that its value has materially depreciated by the action of a storm, which depreciation occurred after October 1 in any year and before January 1 of the following year, shall be revalued by the assessor upon notice thereof given by the property owner. This provision applies to both commercial and residential properties and obligates the assessor to make an examination and inquiry to determine the value of the property as of January 1.
Property owners have until January 10, 2013, to provide such notice to the assessor.
While this provision may be of little consolation to many still recovering from Sandy's effects, it should provide some relief to those property owners who were hit the hardest.
For Further Information
If you would like more information about this Alert, please contact Drew K. Kapur, Michael J. McCalley, any member of the Real Estate Practice Group or the attorney in the firm with whom you are regularly in contact.