Eminent domain is a common tactic used by governments in Idaho to improve areas they deem necessary for redevelopment. Although, for the most part, property owners get a fair price for their real estate if they negotiate with the governmental body, what happens if the property is damaged in the process?
A property owner’s right to inverse condemnation
Real estate owners have the right to receive fair compensation for property they own when the government condemns it through eminent domain. Inverse condemnation is a process under commercial estate law whereby the property owner sues for just compensation that they feel they have not received. Most commercial real estate owners are savvy enough to negotiate with the governmental agency taking their property to get a fair price for their property, but sometimes unforeseen events occur. In instances where only part of the property is taken by eminent domain, and the rest remains in possession of the real estate owner, the remaining property may become damaged by the new development by restricting access, decreasing business profits or otherwise devaluing what is left. For example, a small retailer may need to move its location to become profitable again.
What to do if your property is the subject of eminent domain
Although the government does have the right to seize your property through eminent domain, commercial real estate law indicates that you must receive just compensation. Often what property owners feel is a just sum differs from what the government thinks, so negotiations are in order.
If you have received a notice of eminent domain, your next step should involve consulting an experienced real estate attorney. Legal professionals involved in this area of law may be able to help you get the best value for your property.