- Associated Press - Saturday, October 25, 2014

ATLANTIC CITY, N.J. (AP) - Lawyers for Atlantic City and the bankrupt Revel Casino Hotel are battling over as much as $30 million that Revel owes for property taxes and penalties.

The Philadelphia Inquirer (http://bit.ly/1ru8B8p) reports that Atlantic City wants to sell the right to collect that money by auctioning a tax certificate on Dec. 11, but can’t do that without bankruptcy court permission. The city asked for that permission last month, saying it desperately needs the money to meet its budget.

Revel’s property-tax levy this year of about $38 million - based on an assessment of $1.15 billion - equals 19 percent of Atlantic City’s $200 million in expected tax collections.

So far this year, Revel has only paid $7.3 million.

A hearing on the property-tax fight is scheduled for Wednesday.

Revel’s lawyers this week have been trying to reopen the casino’s 2013 bankruptcy, which included a settlement with the city establishing a $1.15 billion assessment for 2013 through 2015.

The goal is to get that settlement overturned by a bankruptcy judge. Revel’s argument now - with a different set of lawyers - is that setting assessments in advance is against New Jersey law.

Brookfield Asset Management, a Toronto real estate investment manager, has agreed to buy Revel for $110 million. A closing date has not been set


Information from: The Philadelphia Inquirer, http://www.inquirer.com



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