A New York State Supreme Court justice has thrown out 8 years of property tax assessment challenges filed by Niagara Falls Redevelopment (NFR) and one of its affiliated companies for the properties the city of Niagara Falls is seeking to acquire through eminent domain for the proposed Centennial Park project.
The ruling from Justice Frank A. Sedita III found that lawyers for NFR, and Blue Apple Properties Inc., failed to properly move the challenges forward within the statute of limitations for the actions.
“Without a stipulation to extend the statute of limitations or a court order determining the statute should be extended for good cause, the statutes of limitations for all the pending (challenges) have expired,” Sedita said in issuing his ruling from the bench on May 2. “These matters have been abandoned and this constitutes a final adjudication of all issues.”
Sedita’s order covers property tax assessment challenges, for the years 2011 through 2018 covering 16 vacant parcels of land located on John Daly Memorial Parkway and 907 Falls St. and comprising the roughly 12 acres of South End property that the Falls has moved to take control of through the process of eminent domain.
As part of that process, the Falls City Council has already adopted a “Determination and Findings” that the proposed $150 million Centennial Park campus would be “a public benefit.” The “Determination and Findings” have been upheld by New York’s highest court, the Court of Appeals, though NFR, which vigorously opposes the taking the land through the use of eminent domain, has one last appeal still pending.
The city is in the midst of a “market analysis and feasibility study” of the Centennial Park plans which call for the construction of a “multi-faceted, year-round event campus” that would include a 6,000 to 7,000-seat arena for sporting and entertainment events, a smaller arena for sporting and entertainment events and a splash pad that could be converted into an ice-skating rink during winter months.
The project also calls for the construction of a parking ramp with exterior walls that could be used for rock climbing and a roof that could be used as a location for concerts or movie screenings.
Sedita’s decision does not affect similar NFR and Blue Apple property tax assessment challenges pending for the period of 2019 through 2023.
Falls Mayor Robert Restaino said Sedita’s ruling was consistent with how the state courts operate.
“Courts like to move cases,” Restaino said. “So unless there’s a reason not to move them presented, they move forward.”
NFR and Blue Apple’s assessment challenges charged that the city was overvaluing their properties.
“Niagara Falls Redevelopment is one of the largest taxpayers in the City of Niagara Falls, and we always pay our property taxes — in full and on time,” NFR spokesperson James Haggerty said in a statement emailed to the Gazette. “Like any other private property owner, we have a right to contest a tax assessment we view as inaccurate or unfair. We did so in this case and the court ultimately disagreed with us.”
While NFR has challenged the tax assessments of the properties as too high, they have argued that the value of the land would be much higher if the city forces a sale through eminent domain. The Gazette has previously reported that NFR believes the 16 properties, which they refer to as “Parcel 0,” are worth at least $20 million.
The city is seeking an independent appraisal of the land as part of its eminent domain efforts.
“What we’re interested in is a determination of fair market value,” Restaino said.