by peter e. bortner
Schuylkill County will be settling an assessment dispute, which has lasted more than three years, concerning the fair market value of one of its shopping malls.
At Wednesday's commissioners meeting, Assistant County Solicitor Robert S. Frycklund said he has reached an agreement with Fairlane Village Mall LLC, Pottsville, on the fair market value of the mall's 47-acre property along Route 61 in East Norwegian and Norwegian townships.
As part of the agreement, which the commissioners are expected to approve at their Wednesday meeting, the mall's fair market value will be lowered for the 2010, 2011 and 2012 tax years, but then raised for this and all subsequent years.
"Because of the loss of some tenants there, there was some adjustment" for those three years, Frycklund said Wednesday.
However, the recent opening of new stores at the mall, most notably national retailers Kohl's and Michael's, boosted the mall's value, according to Frycklund.
Under the terms of the agreement, the property's fair market value will be set at $10,025,063 for 2010, $9,615,385 for 2011, $8,455,666 for 2012 and $10,483,262 for 2013 and subsequent years.
Fairlane Village LLC filed its appeal on Nov. 6, 2009, after the county Board of Assessment Appeals had set the property's fair market value at $10,483,262. Judge Jacqueline L. Russell had been presiding over the case.
Frycklund said the negotiations had been hard among the parties.
"The school districts have the most at stake," he said.
Glen-David Schwarzchild, New Jersey, the mall's lawyer, also said the negotiations were tough.
"Settlements are always difficult. The mall was a very difficult property," affecting many people, he said. "The case covered four years."
Schwarzchild said having more than one year made the case even harder, but the it was worth it.
"I think this was a good and fair result for all parties," he said.
In addition to the townships, Pottsville Area and Saint Clair Area school districts also must approve the settlement.
"I don't see a problem from Norwegian Township's standpoint," said township solicitor Albert J. Evans, Pottsville. "I would expect that it would be approved."
Evans said the supervisors will consider approving the settlement at their next meeting at 7 p.m. May 6.