Many times, a commercial landlord really does not want to evict a non-paying tenant – particularly in those instances where the landlord is trying to keep up appearances at a center – but is left with little choice when a tenant falls so far behind in rent that the landlord is compelled to sue for possession.
In New Jersey, the eviction process is streamlined and allows a commercial landlord to swiftly regain possession of its property when the tenant has failed to pay rent.» Read More
There are commercial tenants out there who operate under the mistaken belief that they can simply have another tenant take their place and ride off into the sunset. It doesn’t work that way in most instances. To have another tenant take its place, the original tenant must, in most circumstances, properly assign the lease to the new tenant and obtain the landlord’s consent.» Read More
One of the knocks against the legal profession is that it uses terms that are obscure or undecipherable by the rest of the population. One of those terms is “privity.” It gets thrown around in some circles with less than a full understanding of what the term means and how it may apply. Generally, the term “privity” connotes a close, direct, or successive relationship; one having a mutual interest or right.» Read More
Since the inauguration, it appeared that the Net Investment Income Tax (NIIT), otherwise known as the 3.8% Medicare Surtax, which passed as part of the Affordable Care Act, was going to disappear. However, with the gridlock in Congress and the failure to repeal and replace Obamacare, it now seems that the NIIT is here to stay, at least for now.
Given the failure to repeal and replace, it is still relevant to consider passive activity rules in connection with the NIIT. » Read More
The New Jersey Supreme Court last week dragged residential real estate contracts out of the dark ages when it ruled that an attorney’s notice of disapproval of a real estate contract may be transmitted by fax, e-mail, personal delivery, or overnight mail with proof of delivery. Noticeably absent from the modes of acceptable notice is that hoary method of reaching out and touching someone: the telegram.» Read More
It is common for real estate to be held in a limited liability company (LLC) for limited liability protection, management, privacy reasons, and for tax purposes. Single member LLCs are generally disregarded for income tax purposes and multi-member real estate LLCs are generally taxed as partnerships, which allows for a flow-through and a single level of income taxation at the member level. » Read More
A recent New Jersey Tax Court opinion highlighted the need for expert witnesses to verify the integrity and accuracy of the market data that forms the basis their opinions; otherwise, the opinions are entitled to little weight. In VBV Realty LLC v. Scotch Plains Township, plaintiff’s appraiser employed the income capitalization and sales comparison approaches to derive an opinion of value for the subject property as of the respective valuation dates.» Read More
The post below was co-authored by Jeffrey M. Casaletto.
While we watch the new U.S. administration target, for better or for worse, EPA’s budget and jurisdictional reach, there are signs of the other extremes within New Jersey government. A recently introduced bill, No. A4305, has the potential to pull residential properties into the quagmire of New Jersey’s site remediation program. » Read More
The New Jersey State Police 32nd annual domestic violence offense report of 2014 states that 62,055 domestic violence offenses were reported by the police in 2014. That same report shows that children were involved or were present during 29% of all domestic violence offenses.
Anyone in an abusive relationship can feel trapped not only emotionally, but physically. What can a domestic violence victim who is also a tenant do to get out of the lease and move to a safer location?» Read More
As with anything worth pursuing, the better prepared a landlord is before signing a lease the better off the landlord will be should any difficulty arise during the term of the lease. Below is an outline of items a landlord should address prior to signing a lease as part of due diligence:
- Document the condition of the premises. Take pictures of the entire inside and outside of the property and keep handy any repair invoices.
» Read More