City + Spot Blight = Sale of Remodeled House. 3 Bits informed:intel.

Entity that exercized its power of eminent domain? The City of Youngtown, Ohio

The statutory authority to take a residential property: The City of Youngstown has the authority to use eminent domain by a spot blight taking that allows an individual property to be taken via eminent domain. 

Was the property occuppied? No, it was abandoned by the 2nd previous owner, and purchased by Harbour Portfolio Advisors at a foreclosure sale

Which entity rehabilitated the property for resale? The Youngstow…

Ordinance TREND + Legal TREND. Require Voter Approval for Eminent Domain.

The City: Littleton, CO & Wheat Ridge, CO

The voter approval requirement: To access urban renewal tools like tax increment financing or eminent domain require urban renewal

What did a district court in Colorado do with Wheat Ridge’s Ordinance?  The Wheat Ridge ordinance, related to mandating that any tax-increment financing package over $2.5 million first get the consent of voters, is pre-empted by Colorado’s supremacy on the issue.

What’s the city’s argument: voter approval will cost time…

Eminent Domain as the Cause for Primary Defeat. One Mayor Thinks So.

The mayor of West Haven, CT lost his primary race to a city council person.

Some say the surprising loss was due to a redevelopment project that utilized eminent domain.

What factors concerning the project using eminent domain were deemed harmful to the mayor’s campaign?

  • Eminent Domain use for a waterfront outlet mall
  • That 4 years since property was acquired, there has been no progress, beyond boarded up property
  • Demolition is scheduled for after the primary

Lessons:

Schedule demolition…

Case Study. City Creates Redevelopment Zone to Cut Blight.

Mesa, AZ wants to reduce blight. To do that, it created a redevelopment zones- East and West Redevelopment Areas.

Why redevelopment zones? The designations trigger access to tax breaks & other incentives to attract investment and infill development

What does Arizona law require to trigger blight tax incentives? That a redevelopment district must exhibit a predominance of blighted conditions

East Valley Tribune | Mesa creates redevelopment zones to reverse blight

Local Trend. Blight + Redevelopment in 3 Steps.

Large portions of city of Highland, Illinois  is blighted, which translates to the city will create 3 business districts. 

The economic benefit of the 3 business districts will be:

  • to provide a revenue source for funding for the new Public Safety Building
  • to implement a new 1% sales tax in each of the three areas
  • to bolster business by improving, roads, sidewalks, drainage

City + Developer = Collusion on Eminent Domain. Court Discovery Leads to What Not To Do File.

Emails, notes, and text messages document collusion between a city and a developer according to attorneys for home owners.

The emails, notes, and text messages reveal that city inspectors were sent in to enforce city code, and in lieu of issuing fines, home owners were given the choice of selling their land to a developer.

The emails, notes and text messages go on to reveal that boarded up homes will drive down prices. The city can use eminent domain to acquire the homes and then the…

Oklahoma Town Uses Blight Finding to Trigger Economic Development Tools.

A blight study determined portions of “downtown” Muskogee, OKlahoma are blighted. The sstudy was requested by the city as a means to trigger economic development tools for redevelopment.

The local paper supports th fidning of blight in downtown.

Muskogee Phoenix | EDITORIALLY SPEAKING: ‘Blight’ study critical to downtown

Lege Trend. No Eminent Domain for Certain Developments.

State: Tennessee

The eminent domain prohibition:  no eminent domain for industrial parks. The Tennessee statute set forth examples of projects that constitute public use, the bill deleted industrial parks from the list.

The legislation: Tennessee’s Senate Bill 1184

The Standard Banner | New law prohibits eminent domain for industrial parks

Knoxville News Sentinel | Eminent domain reform protects farmers

Lege TREND. End Run Around Kelo with Blight Redevelopment.

What’s happening in Georgia?

  • In 2006 Geogria passed Kelo based eminent domain reforms
  • In 2017, the Georgia Legislature has passed a bill to allow property to be acquired by eminent domain and to be transferred to a private developer if the property is blighted

Atlanta Constitution Journal | Watchdog: Georgia bill lets cities take blighted land for developers

Georgia House Bill 434  (2017) 

2006 Eminent Domain Reform. Halts Blight Revitalization. 3 Key Pieces of Information. Read the 2017 Legislative Fix.

  • In 2006, Georiga passed eminent domain reform by way of House Bill 1313
  • The problems with HB 1313 from 2006
    • eminent domain used on blighted properties causes a block on a city re-selling the property for 20 years
    • cities can no loner acquire multiple parcels for redevelopment purposes
  • The 2017 legislative fix
    • allow for the creation of an “urban development authority”
    • the urban development authority would be allowed to:
      • eradicate blight and spur economic development
      •  provide…