Eminent Domain Case

[hastalavista]

Based on the Jury verdict it looks like the State tried to deceive the homeowner. What could stink more then that.

I will engage on this one.

Wouldn't the presumption be, if you are correct, that the state intentionally hired an appraiser to do the appraisal such that the value was significantly lower than it should be?
While that is a possibility, I don't think it would be my presumption. Unless this agency has a history of such actions; then, I'd agree with you.
Given the values are so different, I'd presume that the two appraisers concluded a different H&BU of the land (the taking and the remainder). I don't know if that was part of the state's end-intent.

If the H&BU was missed, it goes back to what I (and others) have said about H&BU analysis: While humdrum much of the time, when it matters, it can really matter.
Many times, these issues (which typically have significant outcomes in value) are due to differences in the assumptions and H&BU conclusions used in the analysis.
That doesn't mean that one might not have made a big error. It just doesn't mean (to me) that there was malintent involved (incompetence? Maybe.).

 

[residentialguy]

If the H&BU was missed

But the form has a HBU check box

 

[timd354]

I will engage on this one.

Wouldn't the presumption be, if you are correct, that the state intentionally hired an appraiser to do the appraisal such that the value was significantly lower than it should be?
While that is a possibility, I don't think it would be my presumption. Unless this agency has a history of such actions; then, I'd agree with you.
Given the values are so different, I'd presume that the two appraisers concluded a different H&BU of the land (the taking and the remainder). I don't know if that was part of the state's end-intent.

If the H&BU was missed, it goes back to what I (and others) have said about H&BU analysis: While humdrum much of the time, when it matters, it can really matter.
Many times, these issues (which typically have significant outcomes in value) are due to differences in the assumptions and H&BU conclusions used in the analysis.
That doesn't mean that one might not have made a big error. It just doesn't mean (to me) that there was malintent involved (incompetence? Maybe.).

Nice analysis Denis. Of course your worldview is not shaped by an intense bitterness in which you believe that everyone else but you (especially if they are a government agency or a corporation) is trying to screw you over

 

[djd09]

Come on now just admit the Turnpike appraiser low balled.

 

[djd09]

Three years ago Virginia residents passed a constitutional amendment to limit legalized theft through eminent-domain abuse. The amendment required that property be taken only for a genuinely public purpose. No longer could governments take one person's land and give it to somebody else for economic development. Opponents of the measure issued dark warnings about the terrible consequences that would ensue, but those predictions failed to come true.Problem solved, right? Not on your life.

Just ask Richard Dwyer. The town of Culpeper, Virginia has taken a big chunk of his land—and wants to make him sell it for a song.

"In 2006, I had a written offer of $16.1 million for that land," Dwyer told the Fredericksburg Free Lance-Star, which recounted his story in detaila few days ago. Then Culpeper decided to build a big road, commonly called the inner loop. It confiscated more than five acres of his best property to do it. "They took the buildable land and left me with the floodplain," Dwyer told the newspaper. Now he's looking at 152 potential units instead of 344.

Two years ago, Culpeper—based on its own appraisal—decided the land it had taken was worth a little more than $466,000. Dwyer's appraiser put the value slightly higher: $3.4 million.

The two parties couldn't reach an agreement. So Culpeper brought in another appraiser who decided the seized land was worth a measly $130,000.

If that sounds familiar, it should. A lowball second appraisal is a common negotiating tactic in eminent-domain disputes. It's called sandbagging. The Virginia Department of Transportation (VDOT) tried to pull the stunt on a Virginia Beach couple a few years ago

http://reason.com/archives/2016/01/27/theft-by-government-continues-through-em

Sandbaggers.

 

[timd354]

I would have thought that a guy such as yourself would be glad about the wall being built along the southern border....maybe you are upset that Mexico did not pay for it, like that ever had a chance of happening, lol.

 

[JTip]

Eminent domain is one of those rare segments that has no need to low ball appraisals.

On a multi-million dollar project, a few hundred thousand dollars is nothing; it's simply the cost of doing business and factored into the project cost.

The only fluffing comes from the property owner's attorneys and fee appraisers.

 

[Jambalaya]

I am not surprised the state lost. I do some eminent domain work, for clients fighting values the state and/or municipalities apply to takings. I see low ball figures and rotten appraisals all the time. Basic appraisal standards are not applied, and local data sources are not used. the value of the takings I find are sometimes as much as 10 times greater than the state offer. Generally the state does not even fight the value difference. I have only had to go to court once over a parcel.

 

[Mark K]

For the past 15 years the vast majority of my work has been r/w work that can lead to claims of eminent domain and eventual condemnation action. Most municipalities tell me that if there is any question or gray area, give the owner the benefit of the doubt, i.e., if there's a range put the value at the upper end. Some will essentially play Santa Claus to avoid litigation. Reason? You NEVER know what a jury is going to do so there's no reason for a r/w appraiser to intentionally lowball an appraisal.

Without a LOT more facts, its impossible to make a judgement call on this one. The permanent easements across the remainder could have a huge effect on value.

From the award amount, it looks like each of the jury members, as seen in many other cases, had their own opinions and they simply averaged them; I've seen it a dozen times or so and they will admit to it afterward when the condemning lawyer polls the jury.

In virtually any road project these days, when I show up for the property inspection the owners already have letters from 3-5 ambulance chasing law firms telling the owners that they can get them huge awards. Most owners think they are going to hit the lottery over a $2,000 sewer easement or walking trail easement. It seems like some people think this it OK but keep in mind that all of the money going to the owner is coming from out of the taxpayer's pockets.

And 'written offers' that owners claim exist and sometimes show you are often fake, nothing more than bogus contracts written by elusive parties that can't ever be reached to discuss it, probably a brother-in-law or other scammer. I won't say I've seen it all but I've seen a lot and for the most part, when there's a value difference of opinion, its usually the owner thinking that the tree in the front of his $50K house is worth at least $10K or that the 10' trail easement, located next to the road 100' from the dwelling, will 'absolutely destroy' the value of the property.

 

[Dublin ohio]

You don't know that.

It could be that there is a legitimate disagreement as to the development potential of the remainder and the state genuinely believed that there are no damages or very minimal damages.

Believe it or not, not everyone is always trying to screw over everyone else. The world does not suck even 1/10th as much as you seem to think it does.

But the turnpike appraiser was seen doing the 15th street shuffle at the conspiracy club the week before.