Although the house no longer exists and they were not permitted to visit the former site, a jury decided last week that Bruce MacCloud’s oceanfront home in Long Branch was worth just $220,000 before it was razed and replaced with luxury condominiums.
Bruce MacCloud MacCloud, who has essentially been homeless since the city physically removed him from his home on Cooper Avenue in 2002 and then razed the structure, was awarded $400,000 less than he had hoped for his oceanfront home taken by eminent domain for a private redevelopment project.
MacCloud had challenged the city’s initial offer of $140,000 for his 17-room Victorian home, which was located a block-and-a half from the beach.
Over the past five years, a jury trial to determine “just compensation,” as required under condemnation law, had been postponed 10 times.
At a condemnation hearing Sept. 26 in state Superior Court in Freehold, a jury of six decided that MacCloud should receive $220,000 for his former home, which was located in the Beachfront North phase I, redevelopment zone developed by K. Hovnanian Enterprises. The home was replaced by an upscale condominium and townhouse project, with units marketed at $400,000 and up.
MacCloud’s attorney said after the ruling that he did not know whether there would be an appeal.
“We were disappointed,” said William Ward, of Carlin & Ward, Florham Park, last week. “We were looking for something substantially more than that.
“We haven’t talked to Bruce yet about an appeal,” he said. “He and his [ex-wife] have to consider if they want to just call it a day.”
In court, Arthur G. Warden III of Ward’s firm argued the case for MacCloud.
MacCloud was seeking $633,000 for his home, several times the $140,000 the city paid in 2002.
“The jury verdict gives him $80,000 more and he also gets interest on it, which is over $25,000,” Ward said. “If we do appeal and there is a reversal, then we have to go to trial again.
“It can get very expensive,” he said.
The city upped its offer to MacCloud to $210,000 in 2004, according to Paul V. Fernicola, who represented the city at the trial.
In an interview after the verdict last week, Fernicola said the jury got it right.
“I think [the $220,000] is fair based on the testimony,” Fernicola said. “This should have been resolved three years ago. Our offer was a fair offer and the jury’s verdict shows that the city did not try to cheat him.
“I certainly feel sympathy for Mr. Mac- Cloud. Losing a home to redevelopment is unfortunate.
“Ultimately, the issue becomes, what did the city take?
“They took a home in poor to fair condition a block and a half from the beach with vacant and boarded homes there prior to the area being declared in need of redevelopment.”
The case was heard in Superior Court Judge Daniel M. Waldman’s chambers in Freehold.
Ward said that he felt the trial was “prejudicial.”
“It went badly for us,” he said. “Every legal ruling in the case went in favor of the city.
“The judge said he thought the [city’s] redevelopment project was great for Long Branch. [Waldman] had his biases,” Ward said.
Ward was seeking several motions, including that the court allow jury members to visit the former site of MacCloud’s home.
He also sought to block testimony by an appraiser hired by MacCloud’s previous attorney.
Waldman rejected both motions. Waldman further made it clear in court that the only issue to be argued in the trial was the value of the property and that it would not be a case to determine the issue of eminent domain.
The city’s appraisal firm, McGuire Associates, of Jersey City, appraised MacCloud’s home at $140,000 in 2002, which was later upped to $147,000.
An appraisal conducted in 2003 by Richard Hall, who was hired by Mac- Cloud’s previous attorney set the value of the home at $210,000.
In 2005, Ward hired appraiser Ken Jones of Clark, who valued the property at $633,000.
“Bruce felt very strongly that Mr. Hall’s appraisal was wrong,” Ward said.
“It is unfortunate that the judge let [Hall] appear in court.”
Fernicola said the city’s offer three years ago reflects the appraisal determined by Hall.
He explained that McGuire’s appraisal for the city was based on the outside of MacCloud’s house.
“Bruce would not let our appraiser in the house,” Fernicola said. “Back in 2000, we made four to five attempts. We thought it was a single-family home,” Fernicola said. “We valued the house at $147,000 because he did not let us in the house.
“If your home is in very good condition, you would have let the appraiser in,” he said, adding that MacCloud permitted Hall in the house and he determined that it was a two-family home.
Ward said that MacCloud “strongly” felt that the city was wrongfully taking his home.
“Bruce MacCloud felt that the taking of his home was improper,” Ward said. “He said it was an abuse.”
Fernicola also stated that when Mac- Cloud was physically removed from his home in 2002, the city took photographs of the condition of the interior.
“Bruce described his house as being fully renovated,” Fernicola said.
“When he vacated the house, the city went in and took pictures.
“It was in poor condition. There were holes in the wall, bare Sheetrock and water damage.”
Ward said the city’s photos of the inside of the home were taken in November 2002, which was eight months after Mac- Cloud received the notice of taking in February 2002.
“The home was torn apart,” Ward said. “Someone was moving out.”
Fernicola also argued during the trial that Jones’ appraisal of $633,000 is based on comparable sales from another portion of the city that has multimillion homes.
“He used sales of home in the beach block of Elberon,” Fernicola said.
“Elberon is not the same neighborhood. It is much superior.”
Ward disagreed.
“The two sales we use in Elberon are on Plaza Court and they are not mansions,” Ward said. “They are on the beach block. The beach there is not as nice as it is by Bruce’s house and there is no boardwalk in Elberon.”
He added that the city’s redevelopment plan blighted a large portion of the city’s oceanfront and locating comparable sales in the same location was difficult.
“There were no sales in the same vicinity in Long Branch,” Ward said.
“[The city] took sales from the west of Ocean Boulevard, which we feel is a different market.”
Fernicola said in an interview last week that MacCloud was used by a group of residents, known as the MTOTSA alliance, who are challenging the city’s right to take their oceanfront homes in the Beachfront North, phase II redevelopment zone, for another private redevelopment project.
“I think he was used by some of MTOTSA as the poster child who was cheated by the city,” Fernicola said. “In the last three years, they tried to turn this into a case about redevelopment law. It was never about redevelopment law.
“It was only about the value of his house,” he said.
“The better advice would have been to sit down with the city and discuss sales rather than claim the city was cheating and stealing.”
Ward said Fernicola’s claim couldn’t be further from the truth.
“I strongly disagree with that,” Ward said. “He joined with MTOTSA. He had sympathy toward MTOTSA.
“He felt that this was an abuse of eminent domain. Bruce is entitled to his opinion and his First Amendment rights.”
MacCloud, 54, an employee of the Middletown Board of Education, has been waiting for a trial by jury for five years, according to Ward.
He was forcibly removed from the home he owned for 23 years, and where he lived with his family on Nov. 6, 2002.
On the morning of his eviction, Mac- Cloud said that police officers, a locksmith, animal control and fire bureau officials gathered on his property to escort him out of his home, which he had refused to leave.
He was temporarily relocated to the Fountains Motel on Ocean Avenue and his belongings were moved into storage units in Tinton Falls, Neptune and Long Branch, storage paid for by the city for one year, according to MacCloud.
Currently he is living with a friend in Red Bank.
To contact staff writer Christine Varno, e-mail [email protected].

