Saturday, March 15, 2014

Fair Play at The Colony?

     Occasionally, states and corporations use eminent domain to acquire public and private land to use for projects such as pipelines, electricity lines, and highways. When a person owns a piece of land and it is seized through eminent domain, the condemning entity must purchase the property at fair market value. 
     This is normally a fairly straight forward process. The difficult part is determining what the fair market value is. A piece of property has a current value on the open real estate market. It also has an intrinsic value based on the fact that the land will still be there in the future and therefore must be accounted for. This is further complicated when the land has an owner and someone who owns a lease to it.