DL Real Estate Holdings, LLC v. Planning Board

820 A.2d 1220, 176 N.J. 125
CourtSupreme Court of New Jersey
DecidedApril 28, 2003
StatusPublished

This text of 820 A.2d 1220 (DL Real Estate Holdings, LLC v. Planning Board) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
DL Real Estate Holdings, LLC v. Planning Board, 820 A.2d 1220, 176 N.J. 125 (N.J. 2003).

Opinion

820 A.2d 1220 (2003)
176 N.J. 125

D.L. REAL ESTATE HOLDINGS, L.L.C., a Limited Liability Company of the State of New Jersey, Plaintiff-Respondent,
v.
POINT PLEASANT BEACH PLANNING BOARD and the Borough of Point Pleasant Beach, a municipal corporation of the State of New Jersey, Defendants-Appellants.

Supreme Court of New Jersey.

Argued February 4, 2003.
Decided April 28, 2003.

*1221 John J. Jackson, III argued the cause for appellant Point Pleasant Beach Planning Board (King, Kitrick, Jackson & Troncone, Brick, attorneys).

Michael J. McKenna argued the cause for appellant Borough of Point Pleasant Beach (Hiering, Gannon and McKenna, Toms River, attorneys).

Steven A. Pardes argued the cause for respondent (Sinn, Fitzsimmons, Cantoli, West & Pardes, attorneys; Dennis J. Cantoli, Point Pleasant Beach, on the letter in lieu of brief).

Stephen M. Eisdorfer submitted a brief on behalf of amicus curiae, New Jersey Builders Association (Hill Wallack, attorneys; Mr. Eisdorfer and Henry T. Chou, Princeton, on the brief).

The opinion of the Court was delivered by LaVECCHIA, J.

This appeal involves interpretation of the Municipal Land Use Law (MLUL), N.J.S.A. 40:55D-1 to -129. The question is whether the MLUL authorizes a municipality to adopt a zoning ordinance that requires an applicant to seek final subdivision approval within three years of the grant of preliminary approval and any extension thereof. We conclude that adoption of such an ordinance is a valid exercise of municipal authority, consistent with the MLUL and, therefore, reverse the contrary conclusion of the Appellate Division below.

I.

In September, 1994, the Point Pleasant Beach Planning Board (Planning Board) granted an application for Preliminary Major Subdivision Approval and Bulk Variances involving the creation of fourteen single-family lots on property located at Block 179.02, lots 10, 11, and 12 in the *1222 Borough of Point Pleasant Beach (Borough). The effect of that approval was set forth in Borough Ordinance 19-14.5c:

Preliminary approval shall confer upon the applicant the following rights for a three-year period from the date of the preliminary approval:
1. That the general terms and conditions on which preliminary approval was granted shall not be changed, including but not limited to, use requirements; layout and design standards for streets, curbs and sidewalks; lot size; yard dimensions; and off-tract improvements; and
2. That the applicant may submit for final approval, on or before the expiration date of preliminary approval, the whole or a section or sections of the preliminary subdivision; and
3. That the applicant may apply for and the board may grant extensions on such preliminary approval for additional periods of at least one year, but not to exceed a total extension of two years, provided that if the design standards have been revised by ordinance, such revised standards may govern.

A corresponding section of the ordinance concerning final approvals required submission of a final plat for all major subdivision and development proposals requiring site plan review within three years after the date of the grant of preliminary approval, or its extension. Borough of Point Pleasant Beach, N.J., Ordinances § 19-14.7a ("Ordinance"). Receipt of final approval conferred on an applicant, for two years, certain rights, including that "the zoning requirements applicable to the preliminary approval first granted and all other rights conferred upon the developer, whether conditionally or otherwise, shall not be changed," and that "if the standards prescribed for final approval" were met, the developer could apply for three extensions of one year. Ordinance 19-14.7c.

During the three-year period following the grant of preliminary approval, the owner of the property in issue did not submit either a final plat or an application for an extension of preliminary approval. Four years after the grant of preliminary approval, D.L. Real Estate Holdings, LLC ("D.L.") acquired the property. About a year later, on October 18, 1999, D.L. applied for final major subdivision approval. The Planning Board denied the application based on Ordinance 19-14.7a, noting in its Resolution that it was not reaching the question whether there was compliance with the substantive requirements of the preliminary subdivision approval. D.L. thereupon filed this action in lieu of prerogative writs against the Planning Board and Borough, contending that Ordinance 19-14.7a was invalid because the MLUL does not authorize a municipality to limit the grant of a preliminary subdivision approval to three years.

Following the filing of cross motions for summary judgment by the parties, the trial court upheld the ordinance and dismissed the complaint. The court determined that the ordinance was not inconsistent with the MLUL, and that it furthered the salutary public policy of protecting the municipality from the revival of dormant applications. On appeal, the Appellate Division reversed in an unpublished opinion. The Appellate Division held that a municipality may not impose an expiration date on the grant of preliminary subdivision approval. Referencing this Court's discussion of preliminary approvals in Palatine I v. Planning Board of Township of Montville, 133 N.J. 546, 553, 628 A.2d 321 (1993), the Appellate Division stated that the MLUL does not limit the life of preliminary subdivision approval and, therefore, an ordinance *1223 imposing a time period for final approval submission would "run afoul" of the MLUL.

We granted certification, 174 N.J. 193, 803 A.2d 1164 (2002), and now reverse.

II.

Enacted in 1975, the MLUL is the modern legislative delegation of zoning authority to municipalities. L. 1975, c. 291. It authorizes a municipality to enact a master plan containing a land use element and to adopt zoning ordinances in furtherance of its plan. See William Cox, New Jersey Zoning and Land Use Administration § 1-1 (2001) ("Cox, New Jersey Zoning"). The MLUL specifically allows municipalities to enact ordinances that require planning-board approval for major subdivisions, N.J.S.A. 40:55D-48a, and, also, to require site-plan review and approval. N.J.S.A. 40:55D-41. If a municipality does enact such procedures, the enabling ordinance must include provisions addressing certain topics. N.J.S.A. 40:55D-38. One is that the ordinance set forth "provisions for the submission and processing" of applications for approval. N.J.S.A. 40:55D-38a. The MLUL does not limit the permissible scope of municipal authority concerning application submission requirements or processing other than that the ordinance's provision be "not inconsistent with other provisions" of the MLUL. Ibid. Other mandated provisions relate to substantive design standards for approval of a plan. N.J.S.A. 40:55D-38b(1)-(13) (requiring ordinance to ensure that plan conforms with other design requirements, such as, for example, street width and grade, water supply, drainage, shade trees, and soil erosion). The municipal ordinance also must include provisions relating to natural resources, traffic flow, landscaping and location of structures, exterior lighting, energy conservation, and recycling. N.J.S.A. 40:55D-41. See also N.J.S.A.

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D.L. Real Estate Holdings, L.L.C. v. Point Pleasant Beach Planning Board
820 A.2d 1220 (Supreme Court of New Jersey, 2003)

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820 A.2d 1220, 176 N.J. 125, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dl-real-estate-holdings-llc-v-planning-board-nj-2003.