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Questioning whether an eminent domain project is really for public use

On Behalf of | Oct 14, 2024 | Real Estate |

Homeowners and others who have purchased real property are often excited to learn about upcoming investments in their communities. People tend to assume the best when they learn that there may soon be high-value investments made in their neighborhoods. New infrastructure projects or businesses often translate to higher property values and more opportunities for local property owners.

Unfortunately, such projects often come at a cost. Specifically, projects for public use typically require the acquisition of property that may belong to other people. Eminent domain laws allow parties completing projects for public benefit to force the sale of certain properties through condemnation.

Those who have acquired real property that may be subject to condemnation are often eager to find ways to fight that process when possible. Pushing back on the claim that a project is for public benefit is often a viable strategy.

Does the project benefit one person or business?

Many eminent domain projects involve government entities, but not all of them do. There have even been cases where shopping centers have tried to use eminent domain to force people to sell homes and farms for development. In a scenario where a particular investor or business stands to profit from the project as much as or more than the public, there may be reason to question the legality of leveraging eminent domain statutes.

Sometimes, corruption in local and state governments may lead to those in positions of authority approving eminent domain projects that should technically be private development projects. In those scenarios, affected property owners can potentially take legal action.

In some cases, they may band together. Other times, one property owner is the main holdout even though others may accept that they have to sell their real estate holdings. In such cases, the party facing the forced sale or condemnation of their property can take the matter to civil court and ask a judge to review the situation.

The judge may ultimately decide that the project is not for public benefit and therefore does not qualify as an eminent domain situation. Property owners can prevent the development from moving forward and may be able to preserve their interest in the property.

There are other viable strategies for responding to upcoming condemnation attempts. Property owners can sometimes propose alternate plans that allow them to preserve their property. Other times, they can counter the amount offered by establishing that it is not a reasonable representation of the current fair market value for the property.

Learning more about eminent domain laws can help people protect the real estate that they rely on for housing, business or investment purposes. Not every eminent domain project is truly beneficial for the public overall, and that may provide property owners with an opportunity to take legal action.

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