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Arizona Real Estate Law
by Christopher A. Combs
The following is for informational purposes
only and is not intended as definitive legal or tax advice. You
should not act upon this information without seeking independent
legal counsel. If you desire legal, tax or other professional advice,
please contact your attorney, tax advisor or other professional
consultant.
Eminent Domain Allows Municipality Use of Privately Owned Property
Question: In the next two years Indian Bend Road between Scottsdale Road and Hayden Road in North Scottsdale will be widened. The proposal by the City of Scottsdale for this widening of Indian Bend Road will reduce my backyard footage by twelve feet. Can the City of Scottsdale just expropriate private property at will?
Answer:Under the power of eminent domain a city or other governmental entity has the right to condemn private property for a bona fide public purpose such as building or expanding a roadway. The property owner is entitled to reasonable compensation for the loss of property, for example, the twelve feet of your backyard lost to the expansion of Indian Bend Road. The general procedure is that the City of Scottsdale will appraise the twelve feet of property being condemned, and will make an offer to compensate you for this loss of twelve feet. If you do not accept the offer, the City of Scottsdale will file a condemnation proceeding. In this condemnation proceeding there will generally be a “battle of appraisers.” In other words, the judge or the jury will determine the amount of compensation to you after believing either the City of Scottsdale’s appraiser or your appraiser. Note: The recent City of New London decision by the U.S. Supreme Court arguably expanded the definition of “public purpose” to authorize eminent domain on behalf of private individuals if the public receives benefits by the condemnation, for example, increased sales taxes and increased employment opportunities. In light of the Arizona constitution and Arizona case law, however, the effect of this City of New London case in Arizona is unclear.
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