QUICK PLUS REALTY, LLC VS. CITY OF BRIDGETON ZONING BOARD (L-0618-17, CUMBERLAND COUNTY AND STATEWIDE) ( 2019 )


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  •                                 NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court." Although it is posted on the
    internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-4509-17T4
    QUICK PLUS REALTY, LLC,
    Plaintiff-Appellant,
    v.
    CITY OF BRIDGETON
    ZONING BOARD, VISHNU
    PATEL (improperly pleaded as
    Vishna Patel) and DIPAK PATEL,
    Defendants-Respondents.
    _____________________________
    Submitted March 25, 2019 – Decided June 13, 2019
    Before Judges Messano and Gooden Brown.
    On appeal from Superior Court of New Jersey, Law
    Division, Cumberland County, Docket No. L-0618-17.
    Law Offices of Igor Sturm, attorneys for appellant
    (William C. MacMillan, on the briefs).
    Kathleen McGill Gaskill, attorney for respondent City
    of Bridgeton Zoning Board.
    Howard D. Melnicove, attorney for respondents Vishnu
    Patel and Dipak Patel.
    PER CURIAM
    Pursuant to the Municipal Land Use Law (MLUL), N.J.S.A. 40:55D-1 to
    -163, a zoning board of adjustment may "grant a variance . . . to permit . . . a use
    . . . in a district restricted against such use . . . ." N.J.S.A. 40:55D-70(d). A
    variance may be granted "[i]n particular cases for special reasons," the so-called
    positive criteria, but the applicant must also demonstrate "that such variance
    . . . can be granted without substantial detriment to the public good and will not
    substantially impair the intent and the purpose of the zone plan and zoning
    ordinance[,]" the so-called negative criteria. N.J.S.A. 40:55D-70; see Price v.
    Himeji, LLC, 
    214 N.J. 263
    , 285-86 (2013) (explaining the positive and negative
    criteria).
    Defendants Dipak Patel and his father, Vishnu Patel, (the applicants) were
    contract purchasers of certain property in Bridgeton (the property).            The
    property was located in the R-1 zone, a low-density residential district, but
    immediately adjacent to the C-4 commercial district, and had been used as a
    funeral home for approximately sixty years. A religious group purchased the
    property in December 2009, intending to convert it into a church. The group
    abandoned that plan, and the property fell into disrepair.
    A-4509-17T4
    2
    The applicants wanted to demolish the existing structure and build a new
    commercial building housing a beauty salon and beauty supply store. They
    applied to defendant City of Bridgeton Zoning Board of Adjustment (the Board)
    for a use variance pursuant to N.J.S.A. 40:55D-70(d)(1).           The applicants
    provided public notice for the June 8, 2017 hearing, specifying the location of
    the property and the date and place of the hearing. The notice also stated:
    The applicants . . . are seeking a use variance for the
    development of a retail sales and beauty salon facility
    which type of commercial uses are not permitted in the
    R-1 [z]oning [d]istrict, in which the property is located.
    A copy of said application and documents are on
    file with the . . . Board . . . and may be inspected during
    business hours by all interested parties prior to said
    meeting.
    Dipak Patel testified before the Board, as did George Scull, a local realtor,
    and Thomas J. D'Arrigo, an architect, in support of the application. Scull opined
    that it was not financially feasible to demolish the existing structure and parking
    lot and construct a new single-family home. D'Arrigo described the proposed
    development, which he opined would be a substantial aesthetic improvement
    from the existing condition of the property.      Dipak Patel admitted that the
    applicants likely would still purchase the property without a use variance.
    A-4509-17T4
    3
    Members of the public expressed concerns about increased traffic in the
    area, and one suggested that the public notice should have contained the specific
    address of the Board.     The attorney for plaintiff Quick Plus Realty, LLC
    maintained that the proposed use violated the intent of the R-1 zone.           He
    acknowledged that plaintiff's managing member was related to the applicants,
    and there was "some type of [] family . . . disagreement," although he did not
    elaborate.
    The Board approved the variance application by a vote of five-to-two,
    conditioned on subsequent approval of a site plan. See N.J.S.A. 40:55D-76(b)
    (permitting bifurcation of application for development and requiring approval
    to be conditioned on subsequent approvals). In its July 13, 2017 memorializing
    resolution, the Board found the applicants satisfied the "positive criteria" by
    establishing "special reasons" for the variance, "as the proposed site [was]
    particularly suited for this intended use." It noted the current building had been
    used for commercial purposes for at least sixty years and "[t]he developed
    existing conditions . . . [were] completely inconsistent with residential use."
    Furthermore, converting the property to a residential use "would be cost
    prohibitive . . . ." Therefore, the Board held that compelling the residential use
    A-4509-17T4
    4
    of the property would cause it to "remain in its present vacant and deteriorating
    state and in a state of inutility."
    The Board also concluded the applicants "satisfied the negative criteria,"
    because it could grant the variance "without substantial detriment to the public
    good." Regarding traffic concerns, the Board noted the proposed use was less
    intense than the prior use of the property as a funeral parlor. The Board also
    found it could grant the variance "without substantial impairment of the zoning
    plan as the actual historical development of the . . . [p]roperty ha[d] been
    commercial and the . . . application [was] converting one pre-existing
    commercial use to another."
    Plaintiff filed a complaint in lieu of prerogative writs challenging the
    Board's approval. It alleged that the notice was inadequate and the applicants
    failed to present sufficient evidence supporting the Board's findings regarding
    the positive and negative criteria. At argument before the Law Division judge,
    plaintiff challenged the Board's finding of the property's economic inutility,
    noting Dipak Patel's testimony. It disputed the conclusion that the application
    satisfied the "negative criteria" because the Board premised this on
    consideration of the already "pre[-]existing, non-conforming use" of the
    property.
    A-4509-17T4
    5
    In a comprehensive oral decision, Judge Benjamin C. Telsey addressed
    these arguments and concluded the Board properly considered the evidence
    supporting the positive and negative criteria under N.J.S.A. 40:55D-70(d) and
    did not act in an arbitrary, capricious or unreasonable manner in grant ing the
    variance. He dismissed plaintiff's complaint and this appeal followed.
    We set forth some well-known principles. "Our standard of review for the
    grant or denial of a variance is the same as that applied by the Law Division."
    Advance at Branchburg II, LLC v. Twp. of Branchburg Bd. of Adjustment, 
    433 N.J. Super. 247
    , 252 (App. Div. 2013) (citing Bressman v. Gash, 
    131 N.J. 517
    ,
    529 (1993)). "[Z]oning boards, 'because of their peculiar knowledge of local
    conditions[,] must be allowed wide latitude in the exercise of delegated
    discretion.'" Price, 214 N.J. at 284 (second alteration in original) (quoting
    Kramer v. Bd. of Adjustment, Sea Girt, 
    45 N.J. 268
    , 296 (1965)). A zoning
    board's decision "enjoy[s] a presumption of validity, and a court may not
    substitute its judgment for that of the board unless there has been a clear abuse
    of discretion." 
    Ibid.
     (citing Cell S. of N.J., Inc. v. Zoning Bd. of Adjustment of
    W. Windsor Twp., 
    172 N.J. 75
    , 81 (2002)).
    While we accord substantial deference to the factual findings of the Board,
    its conclusions of law are subject to de novo review. Wyzykowski v. Rizas, 132
    A-4509-17T4
    
    6 N.J. 509
    , 518 (1993). "In evaluating a challenge to the grant or denial of a
    variance, the burden is on the challenging party to show that the zoning board's
    decision was 'arbitrary, capricious, or unreasonable.'" Price, 214 N.J. at 284
    (quoting Kramer, 
    45 N.J. at 296
    ).
    Plaintiff contends the public notice was insufficient, thereby depriving the
    Board of jurisdiction to hear the application. Plaintiff also argues that the
    applicants failed to adduce sufficient evidence supporting both the positive and
    negative criteria. Having considered these arguments in light of the record and
    applicable legal standards, we affirm.
    The MLUL requires that the public notice for a variance application
    include: (1) "the date, time and place of the hearing," (2) "the nature of the
    matters to be considered," (3) "an identification of the property proposed for
    development by street address," and (4) "the location and times at which" any
    supporting documents for application are available.        N.J.S.A. 40:55D-11.
    Plaintiff argues the applicants' public notice was insufficient as to (2) and (4),
    because the notice omitted details as to the nature of the application and failed
    to indicate where the supporting documents were available for inspection. The
    argument lacks sufficient merit to warrant extensive discussion.         R. 2:11-
    3(e)(1)(E). We add only the following.
    A-4509-17T4
    7
    "[P]roper public notice in accordance with the requirements of the MLUL
    is a jurisdictional prerequisite for a zoning board's exercise of its authority."
    Pond Run Watershed Ass'n v. Twp. of Hamilton Zoning Bd. of Adjustment, 
    397 N.J. Super. 335
    , 350 (App. Div. 2008) (citing Perlmart of Lacey, Inc. v. Lacey
    Twp. Planning Bd., 
    295 N.J. Super. 234
    , 237 (App. Div. 1996)). The "[f]ailure
    to provide proper notice deprives a municipal planning board of jurisdiction
    . . . ." Shakoor Supermarkets, Inc. v. Old Bridge Twp. Planning Bd., 
    420 N.J. Super. 193
    , 201 (App. Div. 2011) (citing Twp. of Stafford v. Stafford Twp.
    Zoning Bd. of Adjustment, 
    154 N.J. 62
    , 79 (1998)).
    The MLUL only requires "a common sense description of the nature of
    the application, such that the ordinary layperson could understand its potential
    impact upon him or her . . . ." Perlmart, 
    295 N.J. Super. at 239
    . The notice here
    did that. We also reject, as did Judge Telsey, any claim that advising the public
    all relevant documents were available for inspection at the Board's office was
    insufficient because it did not provide the Board's address. Common sense
    dictates that any member of the public concerned about the application could
    easily find the address of the Board.
    Turning to plaintiff's challenge on the merits, a zoning board "may not, in
    the guise of a variance proceeding, usurp the legislative power reserved to the
    A-4509-17T4
    8
    governing body of the municipality to amend or revise the [zoning] plan. . . ."
    Price, 214 N.J. at 285 (alteration in original) (internal quotation marks omitted)
    (quoting Feiler v. Fort Lee Bd. of Adjustment, 
    240 N.J. Super. 250
    , 255 (App.
    Div. 1990)). The positive criteria requires proof of "special reasons" for the
    grant of a variance, a term undefined by the MLUL, but interpreted as "tak[ing]
    its definition and meaning from the general purposes of the zoning laws . . . ."
    
    Ibid.
     (quoting Burbridge v. Governing Body of Mine Hill, 
    117 N.J. 376
    , 386
    (1990)).
    Generally, three categories of circumstances
    constitute "special reasons": (1) where the proposed
    use . . . inherently serves the public good; (2) where a
    zoning restriction imposes an "undue hardship" on the
    property owner; and (3) where the use serves the
    general welfare because "the proposed site is
    particularly suitable for the proposed use."
    [Kane Props., LLC v. City of Hoboken, 
    423 N.J. Super. 49
    , 63 (App. Div. 2011) (citations omitted).]
    Plaintiff contends the property's alleged economic inutility as a residential use
    is actually a self-imposed hardship, and the property's adjacency to the
    commercial zone did not constitute "special reasons" for the variance. See, e.g.,
    Cerdel Constr. Co. v. Twp. Comm. of E. Hanover, 
    86 N.J. 303
    , 306 (1981) ("It
    can always be said that the border area of a zone is affected by adjoining uses
    and that such an area is particularly adaptable to uses pursuant to a variance.
    A-4509-17T4
    9
    However, the lines have to be drawn somewhere if a zone plan is to have any
    real purpose."). Plaintiff contends that the application was nothing more than
    the substitution of one non-conforming use for another.
    We acknowledge, as did the trial judge, that the type and degree of
    economic inutility that satisfies the positive criteria has no definitive
    interpretation, and "the exact boundaries within which a zoning board may
    consider economic inutility have not been clearly drawn." Elco v. R.C. Maxwell
    Co., 
    292 N.J. Super. 118
    , 130 (App. Div. 1996) (citing Henningsen v. Twp. of
    Randolph, 
    214 N.J. Super. 82
    , 90-94 (App. Div. 1986)). "However, land zoned
    to preclude any economically feasible use is considered to place an undue
    burden on the owner, sufficient to require grant of a (d) variance." Kane, 
    423 N.J. Super. at
    63 (citing Medici v. BPR Co., 
    107 N.J. 1
    , 17 n.9 (1987)).
    Here, there was sufficient evidence that the applicants could not feasibly
    develop the property to conform to the zoning restrictions. See Stop & Shop
    Supermarket Co. v. Bd. of Adjustment of Springfield, 
    162 N.J. 418
    , 431 (2000)
    (citing Medici, 
    107 N.J. at
    17 n.9) (noting "special reasons" include proof that
    "undue hardship exists because the property for which the use variance is sought
    cannot reasonably be adapted to a conforming use"). The Board reached that
    A-4509-17T4
    10
    conclusion based on the expert testimony at the hearing and its particulari zed
    local knowledge, and we find no reason to disturb it.
    Additionally, "'[u]nique suitability' is a well-established category of
    special reasons." Anfuso v. Seeley, 
    243 N.J. Super. 349
    , 372 (App. Div. 1990)
    (citing Ward v. Scott, 
    16 N.J. 16
    , 22 (1954)). "[T]he particularly suitable
    standard has always called for an analysis that is inherently site-specific." Price,
    214 N.J. at 288. To meet the burden of establishing peculiar suitability, an
    applicant must show the particular site is the one that, with the variance
    approved, would advance the public welfare. Funeral Home Mgmt., Inc. v.
    Basralian, 
    319 N.J. Super. 200
    , 209 (App. Div. 1999). The Court more recently
    explained:
    Although the availability of alternative locations is
    relevant to the analysis, demonstrating that a property
    is particularly suitable for a use does not require proof
    that there is no other potential location for the use nor
    does it demand evidence that the project "must" be built
    in a particular location. Rather, it is an inquiry into
    whether the property is particularly suited for the
    proposed purpose, in the sense that it is especially well-
    suited for the use, in spite of the fact that the use is not
    permitted in the zone.
    [Price, 214 N.J. at 292-93.]
    In Price, the Court held that an applicant, who sought permission to
    construct a new multi-unit residential building, met its burden of showing
    A-4509-17T4
    11
    peculiar suitability. Id. at 271, 293. In adopting a more flexible standard, the
    Court noted that the board articulated several reasons, including the site's
    topography, its location adjacent to another zone where the proposed use is
    permitted, other existing properties developed with similar characteristics to the
    use sought by the variance, and the property's existing non-conforming uses,
    which needed redevelopment. Id. at 274-75. The board also found that the
    variance would advance the general welfare by providing new and aesthetically
    improved housing for the municipality's growing population. Id. at 275.
    Here, the Board considered the long-standing, existing commercial use of
    the property in a residential zone, and its "vacant and deteriorating state . . . ."
    It noted the property's "close proximity to the C-4 District" and its "existing site
    improvements," i.e., a large impermeable parking lot, making it unlikely "to be
    developed into a single[-]family residence."
    A zoning board's decision "enjoy[s] a presumption of validity, and a court
    may not substitute its judgment for that of the board unless there has been a clear
    abuse of discretion." Id. at 284 (citing Cell S., 
    172 N.J. at 81
    ). We find no
    mistaken exercise of the Board's discretion with respect to the positive criteria.
    As to the negative criteria, the applicant must "demonstrate, in accordance
    with the enhanced quality of proof, both that the variance 'can be granted without
    A-4509-17T4
    12
    substantial detriment to the public good' and that it 'will not substantially impair
    the intent and the purpose of the zone plan and zoning ordinance[.]'" Id. at 286
    (citations omitted) (quoting N.J.S.A. 40:55D-70).        "[T]he negative criteria
    constitute an essential 'safeguard' to prevent the improper exercise of the
    variance power." Medici, 
    107 N.J. at 22
    . The "criteria for determining when a
    variance grant constitutes an impermissible exercise of the zoning power . . . [is]
    'whether the impact of the requested variance will be to substantially alter the
    character of the district as that character has been prescribed by the zoning
    ordinances.'" Feiler, 
    240 N.J. Super. at 255
     (quoting Twp. of Dover v. Bd. of
    Adjustment of Dover, 
    158 N.J. Super. 401
    , 412-13 (App. Div. 1978)).
    "The focus of the 'substantial detriment' prong . . . is on the impact of the
    variance on nearby properties." William M. Cox & Stuart R. Koenig, N.J.
    Zoning & Land Use Administration § 36-2.2 (2019). "The proof required for
    the second of the negative criteria must reconcile the grant of the variance for
    the specific project at the designated site with the municipality's contra ry
    determination about the permitted uses as expressed through its zoning
    ordinance." Price, 214 N.J. at 286 (citing Medici, 
    107 N.J. at 21
    ).
    Plaintiff argues there was insufficient evidence before the Board as to both
    prongs of the negative criteria. It notes the public objections to increased traffic
    A-4509-17T4
    13
    as a result of the proposed commercial use, and that bifurcation of the
    application was improper because the use variance and the actual development
    of the site were intertwined. See, e.g., House of Fire Christian Church v. Zoning
    Bd. of Adjustment of Clifton, 
    379 N.J. Super. 526
    , 540 (App. Div. 2005)
    (quoting Meridian Quality Care, Inc. v. Bd. of Adjustment of Wall, 
    355 N.J. Super. 328
    , 340 (App. Div. 2002)) (noting bifurcation "may not be appropriate
    if the board considers the use variance and site plan issues so interrelated that
    both applications should be considered in a single administrative proceeding, at
    which the board would decide the negative criteria based on the entire plan
    submitted"). Plaintiff points to the city's ordinance that recognized limiting
    traffic in residential zones as a purpose of the R-1 zoning restrictions.
    The Board's findings support its conclusion that the grant of the use
    variance would not cause substantial detriment to the public good precisely
    because they reflect a site-specific consideration of any impact upon
    surrounding properties. It noted that the property was surrounded by other
    commercial properties, a school and some residences, including a "dilapidated
    residence," which the applicants were negotiating to purchase. The Board's
    planner noted that the property had not been used for residential purposes for
    several decades.     The Board also heard testimony that the anticipated
    A-4509-17T4
    14
    improvements to the property would lessen its commercial appearance and make
    it more consistent with surrounding residential properties.
    As to the second prong of the negative criteria, variance from zoning
    regulations is improper only if it "substantially impair[s]" the master plan.
    N.J.S.A. 40:55D-70 (emphasis added). As we recognized many years ago,
    The key word here is "substantially." It comes from the
    statute itself.   Obviously, any permission for a
    nonresidential use in a residential zone may have some
    tendency to impair residential character, utility or
    value. But the statutory rationale of the function of the
    board of adjustment is that its determinations that there
    are special reasons for a grant of variance and no
    substantial detriment to the public good or impairment
    of the zone plan, etc., in such grant represent a
    discretionary weighing function by the board wherein
    the zoning benefits from the variance are balanced
    against the zoning harms. If on adequate proofs the
    board without arbitrariness concludes that the harms, if
    any, are not substantial, and impliedly determines that
    the benefits preponderate, the variance stands.
    [Yahnel v. Bd. of Adjustment of Jamesburg, 
    79 N.J. Super. 509
    , 519 (App. Div. 1963).]
    The record evidence in this case demonstrates that the grant of a use variance
    did not substantially alter the character of the R-1 zoning district. Feiler, 
    240 N.J. Super. at 255
    .
    Lastly, the Board did not mistakenly exercise its discretion in considering
    a bifurcated application. The applicants have the continuing obligation to satisfy
    A-4509-17T4
    15
    the negative criteria when seeking site plan approval. See Meridian Quality
    Care, 
    355 N.J. Super. at 332
     (noting that N.J.S.A. 40:55D-76(b) has the same
    negative criteria language found in N.J.S.A. 40:55D-70(d)). Therefore, plaintiff
    and the public at large will have the opportunity to address again their traffic
    concerns when the applicants present the site plan.
    Affirmed.
    A-4509-17T4
    16