Clapp, Goldmann and Ewart. The opinion of the court was delivered by Ewart, J.A.D.
The City of Newark appeals from two judgments of the Division of Tax Appeals in the State Department of Taxation and Finance by which the 1951 assessments on the Kresge department store building located at Nos. 707-719-721 Broad Street, Newark, N.J., were substantially reduced. By consent of counsel and order of the court, the two appeals were consolidated for trial.
The building in question occupies the entire block bounded by Broad and Halsey Streets, and by Raymond Boulevard and Cedar Street. The main building is nine stories in height with a basement and a sub-basement, and in addition there is a penthouse having four floors on top of the main building.
There are two owners of the plot of land upon which the one building is erected. That portion of the property known as 707-719 Broad Street, also known as Lot 38 in Block 53, is owned by Kresge Foundation, and a smaller plot making up the balance of the block, known as No. 721 Broad Street and also known as Lot 44 in Block 53, is owned by the Estate of Chauncey Parker, deceased.
Kresge-Newark, Inc. is the lessee of the entire property and is the taxpayer under the terms of the lease. The lessee operates a department store in the single building by which the two plots of ground are improved.
The taxpayer appealed the 1951 assessments on both land and building to the Essex County Board of Taxation, which board dismissed the appeals and affirmed the assessments. The taxpayer then appealed to the Division of Tax Appeals which affirmed the assessments on the land but reduced the assessments on the building as hereinafter mentioned. From the judgments of the Division of Tax Appeals, reducing the assessments on the building, the city appeals to this court.
The 1951 assessments on these two properties were as follows:
A. Kresge Foundation (Lot 38 in Block 53):
B. Parker Estate (Lot 44 in Block 53):
Grand total for both properties $5,820,800
The judgments of the Division of Tax Appeals fixed the following values:
Kresge Foundation (Lot 38 in Block 53):