Industrial parcel wins 11 percent tax appeal

An industrial property just off Routes 1&9 near the Linden border won a state tax appeal judgement covering five years and more than $35,000 – roughly 11 percent of its tax bill.

City Council adopted a resolution (AR-09-18) at its meeting on Jan. 8 that authorized the “refund of overpayments due to successful judgements in the Tax Court of New Jersey.”

The tax appeal refund for the 665 E. Lincoln Ave. property owned by Reliance Equipment Co., totals $35,226.22 over five tax years. The total works out to an average of more than $7,045 a year. Total property taxes on the parcel over those five years totaled about $326,710.82, with the total refund of $35,226.22 equaling about 10.78 percent of the overall bill during that time period.

The refund covers tax appeals for the tax years 2012 through 2017, with the exception of 2015. Broken by tax years, the refund for Block 389, Lot 27 is as follows:

  • 2012 – $6,635.38
  • 2013 – $6,869.39
  • 2014 – $7,047.74
  • 2016 – $7,257.90
  • 2017 – $7,415.81
East Lincoln Ave.665.Tax Appeal
(Google Street View)

The 1.1-acre East Lincoln Avenue property is assessed for $1,053,600 ($225,400 for the land and $828,200 for improvements), according to property records, generating an overall property tax bill last of year of about $68,779.

Property records indicate Reliance Equipment Co., which lists a Mountainside post office box, also owns a similarly assessed lot on Felver Court. That 0.9-acre property is assessed for $1,038,000 ($200,300 for the land and $837,700 for improvements), with an overall property tax bill of about $67,760 in 2017.

The settlement refund works out to a rebate of 10.78 percent on the property tax bill for each year and overall (you can check my math in this spreadsheet if you’re interested). The roughly 11-percent rebate is in line with at least one other tax appeal judgement won by an industrial property in recent years. An industrial property on New Brunswick Avenue last year settled a multi-year tax appeal of more than 12 percent but others, including this Elston Street property received a significantly higher refund on a tax appeal settled 2015.

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