A federal judge on Tuesday gave Revel Casino Hotel permission to pay $26 million to settle a roughly $31 million 2014 tax bill from Atlantic City, calling it a fair deal for both beleaguered parties.
As part of the settlement approved by Chief U.S. Bankruptcy Judge Gloria Burns, Revel’s bankrupt parent agreed to abandon court battles it was waging to retroactively slash the $1.15 billion assessed value the Boardwalk complex was assigned for 2014 property tax purposes.
Still unresolved is Revel’s $625 million assessed value for 2015 —a figure Revel attorneys have called “grossly” inaccurate.
Representatives for Revel and the city are scheduled to discuss the issue no later than Jan. 9, according to court papers.
Pinning down a property’s true value can be tricky even in ordinary circumstances. The tectonic shifts of the Atlantic City casino economy, and the dire financial straits both parties find themselves in, only compound that challenge.
What is clear, though, is that the shuttered casino’s assessment will fall far closer to $95.4 million — the price tag for a proposed sale of the property to Florida-based real estate developer Glenn Straub — than the $2.4 billion spent building it.
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