Parkway Village Apartments Co. v. Township of Cranford

In this appeal we must determine the proper method of assessing, under the capitalization of income approach, the fair rental value of a large well-managed apartment complex with one-year leases. The Tax Court ruled that the assessment should be based on the present potential rent of the apartments rather than the actual rent of the apartments as of the assessment date, 8 N.J. Tax 430 (1985), rejecting the taxpayer’s contention that this method conflicted with our decision in Parkview Village Associates v. Borough of Collingswood, 62 N.J. 21 (1972). In Parkview, we held that “in the absence…