Interesting Developments in Sacramento Eminent Domain Cases
Posted on April 1 2015 by Gabriela Ocampo
Sacramento eminent domain cases can be a challenge for anyone, even government employees and the holders of certificates. When a public entity wants your property, Sacramento eminent domain cases are often your only hope to receive a fair level of compensation for what is rightfully yours. In the case of building a new structure where a historic one currently stands, this is no different.
A classic building stands on a location in Sacramento where a new stadium may one day stand, and the local government of Sacramento has decided to demolish the old to make way for the new. In their way are a bank holding the note for the land and building as well as the California Public Employees’ Retirement System. While the CalPERS did not intend to fight the city, the US Bank mounted a set of relevant Sacramento eminent domain cases to protect its holding of the land and building to keep it from being destroyed. Often, classic buildings are the first targets when something new is to be built, and their value is often perceived to be far lower than that of a newer structure.
Often it does not matter whether the newer building would be more valuable or not. In Sacramento eminent domain cases, the matter is more one of the ultimate value that the current owners receive for their property. If a building is to be worth many millions and the government offers only a few hundred thousand dollars, or even a few million, often the current owners are not receiving fair compensation for what they own. Because of this tendency for local government to undercut a fair price for classic buildings, owners need Sacramento eminent domain cases to protect their interests in the property.
Ownership and Holding On
Often a current owner has a vested interest in holding on to what they own. In the case of the Sacramento Kings stadium, it was to be built on the site of an empty former Macy’s. One aspect of the debate is whether the current property has as much value as the new project does, essentially whether the classic structure is worth keeping or should simply be demolished in order to make way for something new. In the case of US Bank’s holding of the note, it is entirely possible that the value was quite high. The city naturally disagreed.
In the case of the Kings’s new stadium, it is to be worth well over $400 million in construction costs alone. The true economic value of the property’s new development could end up being considerably higher. It is unfortunate that US Bank will receive only $4 million for the property, as ultimately this may be a very unfairly low amount. Worse still was the fact that a group that represents state employees did not even put forth an effort to block the eminent domain seizure of the property, and would appear to have accepted any offer given whatsoever. Everyone deserves a fair price, particularly retirees whose livelihoods may depend on the property and its value.
Receiving Fair Compensation
Fair compensation is often challenging to calculate, and public entities are not known for being especially generous with their offers. Often Sacramento eminent domain cases come about for this very reason. When an individual or group representing private individuals is to have its property seized in this manner, they deserve to receive as much as they possibly can.
If you are affected by eminent domain, receive all of the compensation you can. Contact an experienced law firm about Sacramento eminent domain cases today.