Legal Question in Real Estate Law in California
Can this private company take our property by eminent domain
We live in the middle of a cul de sac. Our back yard faces a big gully and we live side by side another cul de sac towards the left back side of our property. There is a private company buying up the properties around this gully. The gully is also the backyard to properties in that other cul de sac as well as houses in our block. We got word that they are going to build low-income apartments. Can they take our property by eminent domain? What would have to be in place for them to do that? What can we do to stop this? This property has been in our family since 1940's.
5 Answers from Attorneys
Re: Can this private company take our property by eminent domain
NO, they cannot.
JOEL SELIK
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Re: Can this private company take our property by eminent domain
Your question makes no sense whatsoever. In a domain is a method by which the government would pay you the reasonable value of your property for taking your real property for its own use. This is a private company and therefore eminent domain doesn't matter. I take it that you are afraid that this low income housing will lower the value of your property. If you look positively upon this, depending upon what area of California you were in, it probably will increase the value since your home has been there for at least 60 years. New, fresh, modern, livable property is a lot better than a gully. Now if you are against low income housing I would contact a real estate attorney to find out what your rights are, if you still have them applicable to the building requirements applicable to the company was purchasing the property. Having represented for over 30 years numerous real estate developers I know all the tricks of the trade in process of the law. Your job won't be easy and you need a very good attorney to aid you.
Re: Can this private company take our property by eminent domain
no. eminent domain only applies to a governmental entity "taking" land. if you are worried about the value to your property, it is unlikely that there would be a great deal of "low income" housing development on what appears to be a view lot. moreover, the building of a substantial number of new homes adjacent to yours is likely to increase, not decrease, the value of your property.
Re: Can this private company take our property by eminent domain
In my humble opinion, the prior answers are wrong.
There are many limitations upon the taking of property by eminent domain, to be sure. But private companies are not categorically excluded. For example, railroads and utility companies can obtain property by eminent domain for their tracks, wires and pipes. In some states, mining companies can exercise eminent domain for shafts, flumes, and the like. And so on.
The main requirement for any exercise of eminent domain, whether by a governmental agency like CalTrans or a private entity like Union Pacific or Southern California Edison, is that the property be taken for a "public use." See Code of Civil Procedure sections 1230.010 - 1273.050, especially 1240.010.
The legislature determines what amounts to public use, and at various times it has authorized eminent domain in a variety of situations. It is very possible that construction of low-income housing has been deemed so important that programs have been set up that are run by private developers (and perhaps funded with government grants, subsidies or tax benefits) where the power of eminent domain has been extended to the developers.
Still, the process of taking your property will require bringing an eminent domain action in court, determination of the value, etc. and you may either be able to stop it entirely or at least get higher compensation if you get an attorney to help you resist the action.
I'll do some further research on whether low-income housing is mentioned in any law in the same breath as eminent domain, and if I find anything I'll post a further answer.
Re: Can this private company take our property by eminent domain
I read the other responses here and it is readily apparent that none of the other attorneys are worth their salt. Anyway, I haven't done the research to be conclusive, but based on those bare facts, I think it is possible that you could lose your property in an eminent domain action. However, I think it is unlikely. City, county, state, and/or Federal are allowed to take property and pay fair market value at the taking if it serves an overriding governmental or societal interest. Is your neighborhood blighted? Are large portions of land being wasted by the zoning? Factually intensive proof requirements. You would receive notice and an opportunity to fight it out.