Partita Partners LLC v. United States

U.S. District Court, S.D. New York, 15-cv-2561 (PKC), Oct. 25, 2016: Façade easement protection of entire exterior must be absolute.

At issue was whether a historic preservation easement on a building in a historic district could qualify for a federal charitable tax deduction even if the easement holder could grant an exception to the prohibition against alteration [...]

Chabad Lubavitch of Litchfield County, Inc. V. Litchfield Historic District Commission

US Court of Appeals, 2nd Circuit, Nos. 12-1057-cv (Lead), 12-1495-cv (Con), September 19, 2014: Certificate of historical appropriateness subject to RLUIPA; current property interest not needed to bring RLUIPA claim; multiple factors must go into discriminatory intent inquiry.

RLUIPA is the federal Religious Land Use and Institutionalized Persons Act, 42 U.S.C. § 2000cc et seq. Litchfield’s Historic [...]

Historic District Commission v. Sciame

Appellate Court of Connecticut, Ac 35713, August 12, 2014: Attorney’s fees awarded to historic commission.

Sciame was ordered by the local Historic District Commission (Commission) to remove certain renovations on a property in a historic district. When he failed to comply, the commission sued. After a trial on the issues found for the commission, and trial and [...]

Zarlengo v. Commissioner

U.S. Tax Court, T.C. Memo. 2014-161, August 11, 2014: Recording of NY easement determines date of compliance with tax regs. Substantial compliance with appraisal date requirement adequate.

Marco Zarlengo (“Zarlengo”) and his ex-wife Merilyn Sandin-Zarlengo (“Sandin-Zarlengo) signed a “facade conservation easement” (historic preservation easement) in 2004, and it was recorded in 2005. They each claimed a qualified [...]

Seventeen Seventy Sherman Street, LLC v. Commissioner

US Tax Court, T.C. Memo 2014-124. June 19, 2014: quid pro quo for historic conservation easement not fully valued; deduction denied.

The claim by Seventeen Seventy Sherman Street, LLC (Petitioner) for a charitable deduction for a conservation easement it granted to a charitable organization was denied by the IRS. The Petitioner conceded that the grant of the [...]

Scheidelman v. Commissioner (Scheidelman IV)

US Court of Appeals, 2nd Circuit, No. 13-2650, June 18, 2014: evidence supports Tax Court; easement had no value for charitable contribution purposes.

The IRS denied Scheidelman a charitable deduction for a façade easement on a property in a New York City historic district. The Tax Court sided with the IRS in Scheidelman v. Commissioner, T.C. Memo. [...]

Chandler v. Commissioner

U.S. Tax Court, 142 T.C. 16, May 14, 2014: Preservation easement valuation zero in historic district. 2006 carryover deduction claim subject to accuracy penalty.

At issue was the valuation for federal income tax deduction purposes of historic preservation façade easements on two single-family residences in Boston’s South End Historic District.  The question was whether the burdens imposed [...]

Kaufman v. Commissioner (Kaufman IV)

U.S. Tax Court, T.C. Memo 2014-52, March 31, 2014: Façade Easement had zero value; penalties imposed.

The issues in this case about the federal tax deduction for a “qualified conservation contribution” (a historic preservation façade easement) were principally the valuation of the façade easement and what, if any, penalties the taxpayer should pay for misstating the value [...]

Oehl v. Amana Colonies

Iowa Court of Appeals, Nos. 3-1154/13-0328, March 26, 2014: Certiorari exclusive remedy for project permit approval in historic district.

A permit (COA) is required for certain exterior construction in the historic districts of the unincorporated villages known as Amana Colonies. The permit decision is made by the Amana Colonies Land Use District Board of Trustees (Board). The [...]

San Antonio Board of Adjustment v. Reilly

Texas Court of Appeals, 4th Dist., No. 04-13-00221-CV, March 19, 2014: No abuse of discretion if board relies on non-expert opinion of neighbors in demolition decision.

Reilly sought a permit from the City historic preservation officer to demolish a house in a historic district in San Antonio. When the permit was denied, Reilly appealed to the Board [...]

Gorra v. Commissioner

US Tax Court, T.C. Memo. 2013-254, November 12, 2013: Preservation easement deductible despite similar restrictions in local New York City historic preservation law.

The court held that this façade easement for a “certified historic structure” qualifies for a tax deduction despite some overlap with New York City’s Landmarks Law. The decision offers reasons that the circumstances in [...]

Hanna and Mrowka v. Chicago

Appellate Court of Illinois, First District, No. 06 CH 19422, unpublished, September 26, 2013: Words ‘historic’, ‘significant’, ‘value’ not vague in landmarks ordinance.

The plaintiffs challenged the landmarks ordinance under which the city designated as historic landmarks the neighborhoods in which the plaintiffs own property. They asserted that the ordinance was invalid and unconstitutional because it uses [...]

Friedberg v. Commissioner (Friedberg II)

U.S. Tax Court, T.C. Memo. 2013-224, September 23, 2013: Appraisal deemed “qualified” on reconsideration, based on Scheidelman II decision.

 This case is a reconsideration of the Tax Court’s decision in Friedberg v. Commissioner, T.C. Memo. 2011- 238 (Friedberg I) in light of the US 2nd Circuit Court of Appeals decision in Scheidelman v. Commissioner, 682 [...]

Roman Catholic Bishop of Springfield v. City of Springfield (Bishop of Springfield II)

United States Court of Appeals, 1st Circuit, No. 11-1117, July 22, 2013: Church’s constitutional and RLUIPA claims against historic district designation not ripe or rejected.

The Roman Catholic Bishop of Springfield (RCB) closed the Our Lady of Hope (“Church”), built in 1925. The City of Springfield passed an ordinance (the “Ordinance”) declaring the Church property a historic [...]

Wendler v. City of St. Augustine

FL Dist. Court of Appeals, 5th Dist., No. 5D12-2563, March 15, 2013: Compensation for Florida city’s denial of demolition is based on date of denial, not date of ordinance.

Between 1998 and 2006, the Wendlers bought real property located in a National Register of Historic Places District in St. Augustine, Florida. At the time of their purchases, [...]

Scheidelman v. Commissioner (Scheidelman III)

U.S. Tax Court, T.C. Memo. 2013-18, January 16, 2013: Finds historic preservation façade easement in historic district did not diminish value of property.

The IRS denied Scheidelman a charitable deduction for a façade easement on a property in a New York City historic district. The Tax Court sided with the IRS in Scheidelman v. Commissioner, T.C. Memo. [...]

Sierra Club v. Salazar

US Dist. Court, Dist. of Columbia, No. 10-1513(RBW), October 2, 2012: Advocacy nonprofits denied standing to challenge delisting of district from National Register.

The Sierra Club, Ohio Valley Environmental Coalition, Friends of Blair Mountain, Inc., West Virginia Labor History Association, National Trust for Historic Preservation in the United States, and West Virginia Highlands Conservancy (“Plaintiffs”) sought to [...]

Kaufman v. Commissioner (Kaufman III)

US Court of Appeals 1st Circuit, Nos. 11-2017, 11-2022, July 19, 2012: Kaufman II overturned; mortgagees may reserve insurance proceeds; remand for valuation.

The First Circuit vacated the Tax Court decision in Kaufman II (except on the uncontested issues of deductibility of cash contributions and accuracy-related penalty associated with the cash contribution claim) and remanded the case [...]

120 West Fayette Street, LLLP v. Mayor and City Council of Baltimore

Court of Appeals of Maryland, No. 81/11, April 27, 2012: Taxpayer/adjoining landowner group denied standing to contest demolition of historic buildings under redevelopment plan approval in 4-3 split decision.

In connection with a land use project to redevelop the Baltimore City Market Center Urban Renewal Area commonly known as the “Superblock”, the Maryland legislature approved a $1 [...]

Dunlap v. Commissioner of Internal Revenue

U.S. Tax Court, T.C. Memo, 2012-126, May 1, 2012: Tax Court finds taxpayers’ appraisals not credible to rebut IRS appraisal, resulting in zero value for tax deduction purposes to historic preservation easement to NAT. Deductions were allowed for “required” cash contributions and accuracy-related penalties were disallowed.

The unit owners of a condominium building (Cobblestone) in a New [...]