[AsburyPark] Long Branch's First Challenge in Defense of Takings

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Atty.: City involved in conflicts of interest Challenge to eminent domain links law firms to developers BY CHRISTINE VARNO Staff Writer Long Branch’s taking of properties for redevelopment is being challenged in court papers that claim law firms hired by Long Branch had ties to developers of the oceanfront. William J. Ward, who is representing two property owners in one of the city’s redevelopment zones, on Feb. 3 filed answers in state Superior Court to the condemnation complaints served on his clients by the city. “The answers [to the condemnation complaints] are setting up the defenses to challenge the takings,” Ward said in an interview Tuesday. Ward, of Carlin & Ward, Florham Park, also filed motions to dismiss the complaints. The city of Long Branch filed complaints in December to condemn the residences of Thomas and Lillian Anzalone at 32 Ocean Terrace, and Francis T. DeLuca at 21 Ocean Terrace, both located in the Beachfront North, Phase II redevelopment zone. Ward outlined the four defenses he will use to defend the eminent domain proceedings. The chief defenses for dismissal will be that the city is involved in two conflicts of interest, Ward said. According to the answers to the complaints, the “City of Long Branch retained the firm of Greenbaum Rowe Smith Ravin Davis & Himmel, as counsel in connection with the redevelopment project for which the subject property is being condemned. Arthur M Greenbaum, senior partner of the Greenbaum firm, has continually served as a member of the board of directors of Hovnanian Enterprises Inc. at all relevant times. Hovnanian Enterprises Inc. is the parent company of Matzel and Mumford, one of the city’s designated redevelopers for the subject property. The Greenbaum firm represented Hovnanian Enterprises Inc. when it acquired Matzel and Mumford.” It continues: “The Greenbaum firm stands to gain financially from its representation of Hovnanian Enterprises Inc. Arthur Greenbaum stands to gain financially from any investment he has or had in Hovnanian Enterprises Inc. as a result of the subject property’s redevelopment.” Ward pointed out that City Attorney Jim Aaron’s firm, Ansell Zaro Grimm & Aaron, also represents a conflict of interest in the condemnation proceedings. “The Ansell firm represents Hovnanian Enterprises Inc,” according to the answers filed. “The Ansell firm has an actual conflict and/or an appearance of impropriety in representing the plaintiff in connection with the redevelopment of the subject property. This continued involvement further taints this action and therefore should be void.” The other two defenses stated in the answers are: the city’s failure to negotiate in good faith; and the involvement of the designated developers in dictating what properties should be condemned. The Anzalones were offered $330,000 for their property and the DeLucas were offered $552,000, amounts Ward said are substantially less than market value for oceanfront properties. “The city failing to negotiate in good faith is geared to the low amounts of money [my clients] were offered for their homes,” Ward said. Ward also said that the Beachfront North, Phase II redevelopment zone, which has come to be known as MTOTSA (Marine and Ocean Terraces and Seaview Avenue) was originally slated for residential infill in the city’s 1996 redevelopment plan. “But that changed in 2002, probably because the developers were doing so well with phase I of Beachfront North that they probably wanted more properties and improperly designated this area as condemned,” Ward said. “The developers were tied into the agreement.” Plans now call for the 36 properties in the three-street neighborhood to be razed and replaced with luxury townhouses and condominiums. According to city officials, some property owners in MTOTSA have negotiated the sale of their homes with the city. Some 20 other property owners in MTOTSA retained Peter H. Wegener of Bathgate Wegener and Wolf, Lakewood, to challenge the takings of their homes. Wegener has received copies of condemnation complaints for approximately 11 of his clients. Wegener is expected to file answers to the complaints next week, according to Ward. The cases of all Ward’s and Wegener’s clients are scheduled to be heard together on Feb. 24 by Judge Lawrence M. Lawson at the court in Freehold. Ward said the date of the hearing could be delayed because Wegener is currently in trial for a different redevelopment case in the city which may not be decided prior to the scheduled date SPONSORED LINKS Asbury park home Asbury park nj Asbury park hotel Asbury park foreclosure Asbury park real estate Asbury park YAHOO! GROUPS LINKS  Visit your group "AsburyPark" on the web.    To unsubscribe from this group, send an email to:  [EMAIL PROTECTED]    Your use of Yahoo! Groups is subject to the Yahoo! Terms of Service.