Property Transactions Flashcards
acquisition of property
governmental bodies have power to acquire property for public use, both within and outside corporate limits, by purchase, gift, lease, bequest, or condemnation
power of eminent domani
governmental body and some utilities may exercise eminent domain and, by proper proceedings, condemn any land, building, or personal property, including any interest of an individual or corporation, whenever:
- there exists a public need for the property, which must be declared in the resolution or ordinance directing the condemnation
- condemnor, having made good faith offer of purchase, cannot agree with owner as to compensation to be paid
public uses for condemnation
use by the public, public facilities like airports/libraries/jails, use by utility or railroad, to eliminate specific blighted property that has become danger to public safety, or where owner of property in redevelopment or conservation area agrees
condemnor has burden to show that the planned use is public under these standards - no presumption that the purpose is public
requirements for condemnation
under virginia law, no more property may be taken than necessary to achieve public purpose
except where property is taken for use by utility company or railroad right-of-way, or for public water, sewer or transportation project:
- public interest must predominate over private gain
- primary purpose cannot be private financial gain or to aid private enterprise
- primary purpose cannot be to create increase in tax base or tax revenues for governmental body, create more jobs, or for economic development of locality generally
eliminating public nuisance
when locality acts to eliminate a public nuisance by requiring a structure be demolished, it is not taking property, and no compensation to owner is required
condemnation proceedings
if no agreement is reached after condemnor’s good faith offer to purchase property, court proceeding to acquire property must be brought in the circuit court where it is located. measure of recovery is fair market value of the property taken (including rental revenue it generated)
under Virginia Constitutional provisions, just compensation shall be no less than value of property plus any lost profits (profits suffered for up to 3 years for taking property a business or farm was on) and value of lost access (material impairment of direct access to any land retained by owner. loss in value of retained property is also compensable)
lost value to property remaining in possession of owner after condemnation
where it is alleged that taking some of property has caused damage to remaining property (residue), test is what is fair market value of remaining land on day before taking compared to day after, considering uses to which it was reasonably put
indirect taking
when property is taken indirectly without formal condemnation, property owner may institute an inverse condemnation claim by filing proceeding to obtain declaratory judgment or damages. such claims are based on 5th A’s takings clause provision. no sovereign immunity against inverse condemnation claims
adverse possession
municipalities may obtain title through adverse possession
disposing of public property
municipal corporation has right to sell or lease public property. sale of land must be based on ordinance or resolution passed by 3/4 governing body of municipality.