Condemnation panel appointed for L.B. home Judge: City does not have to move forward on taking of home BY CHRISTINE VARNO Staff Writer Astate Superior Court judge has appointed a panel of three commissioners to determine the amount of just compensation Long Branch must pay for a home in one of the city's redevelopment zones. Judge Lawrence M. Lawson also ruled last week that the city does not have to move forward with the condemnation of Frances DeLuca's Ocean Terrace home. Lawson appointed two attorneys and a real estate broker to set the value for DeLuca's home, which is located in the Beachfront North Phase II redevelopment zone. The commissioners named in Lawson's Oct. 11 order are: William M. Feinberg, attorney with Feinberg, Dee & Feinberg, Bayonne; Michael Leckstein, attorney in Little Silver; and Stanley R. Engel, real estate broker in Long Branch. According to Ward, redevelopment statutes require the city to proceed with condemnation of his client's property within six months of Lawson's order. Ward said last week that his client is not challenging a June 22 decision by Lawson that affirmed the city's right to take the properties in the neighborhood through eminent domain. Ward, of Carlin and Ward, Florham Park, filed a motion asking the court to direct the city to go forward on the condemnation of DeLuca's home on Oct. 3, saying that the action was necessary because city officials had failed to negotiate in good faith for the purchase of the home. At the Oct. 20 hearing, Lawson denied the motion. According to Ward, he and DeLuca began negotiations for the purchase of DeLuca's home with City Attorney James Aaron in August. At that time, Ward said, he asked the city to move forward with the taking of the home. In September, the city informed Ward that it would not move forward with any property acquisitions, he said. At the hearing Friday, Ward argued that the city should proceed with condemnation of DeLuca's home and deposit the appraised value of $552,000 in an escrow account. DeLuca has asked the city to make the required escrow deposit because she needs the funds to finance construction of a new home, according to Ward. "[DeLuca] has chosen not to appeal the June 22 decision," said Ward at the hearing. "She has decided to move on with her life. She is building a new home on Ocean Avenue. "[The city] is leveraging the property owners," Ward said. But attorney Paul Fernicola, who represented Long Branch at the hearing, said the city "is not trying to leverage [DeLuca]." "The motion should be denied," Fernicola argued Friday, explaining that the city does not plan to act on the taking of any properties in the redevelopment zone while Lawson's decision permitting the condemnations is being appealed. Ward said he submitted an order in court on Sept. 28 seeking the appointment of the commissioners. He explained that the next step in the condemnation proceedings is to set up an appointment with the commissioners to schedule a hearing. A report on the value of DeLuca's property will be issued by the commissioners by Jan. 11, according to the order. According to Ward, an independent appraisal firm appraised DeLuca's property at $1.3 million. Ward said the commissioners will hear testimony by appraisal experts retained by DeLuca and by the city. "If either side is dissatisfied with the report, either side can appeal it within 20 days," Ward said, "and the next step from there is a Superior Court jury trial." According to Ward, commissioners normally would have been appointed at the time of Lawson's June 22 ruling. "I think in this case, the judge wanted to see if we could reach an agreement with the city and he held off on the appointment," Ward said. "Well, we tried, but we didn't reach an agreement." Lawson explained at the hearing that he chose not to appoint commissioners at the time in order to allow all parties involved in the case to appeal the decision. At last week's hearing, Ward argued that the city has already purchased several homes in the redevelopment zone, which has come to be known as MTOTSA, an acronym for Marine and Ocean terraces and Seaview Avenue, the three streets in the beachfront neighborhood. "What [the city] is doing, I think, is saying that the real estate market is flat, and [they] don't want to commit the money," Ward said, adding, "But they are still tying up the properties." Ward is also representing MTOTSA residents Louis and Lillian Anzalone, who are appealing Lawson's June 22 decision. "One of your clients are appealing as to whether it is a blighted area and [saying that] the court made a mistake," Lawson said at the hearing. "There is a briefing order in the appeal for the Anzalones and there you are asking for a stay," he said. "I am confused." Fernicola seized on Lawson's comments. "On one hand DeLuca wants the matter expedited," Fernicola said at the hearing. "On the other hand, the Anzalones want the matter stayed. They can't satisfy both." His two different clients have different agendas, Ward responded. In addition to Ward's clients, some 20 other MTOTSA residents are appealing Lawson's June 22 decision. The residents are represented by Peter H. Wegener, and the public interest law firm Institute for Justice as co-counsel.