Real Estate & Property Law

The Limit of Takings for a Private End User

By Alan Ackerman

The Kansas City Business Journal article covers the very difficult issue of how to redevelop in a metropolitan area.  The problem remains that private developers often want more than developers control.  Owners may want what they perceive to be fair compensation in a market where there is a demand for the property as part of the larger assemblage.     
Kansas City has acted as a strong proponent of redevelopment. 
If Missouri had a limitation on redevelopment, the project might not be available because the Economic Development Authority is acquiring for a third party developer.  However, if the property being acquired is a blighting influence, it might be acquired under the police powers. 

Kansascity.bizjournals.com

ZR Metro LLC, an affiliate of shopping center Zona Rosa's owners, seeks a permanent injunction against Kansas City and the PIEA, which probably would halt a redevelopment plan put forth by another developer that owns 100 acres of property at and around Metro North, except for the Dillard's store.

The PIEA picked MD Management Inc. to redevelop the aging and mostly empty Metro North mall at Missouri Highway 169 and Barry Road. On Aug. 24, the PIEA signaled that it would entertain the possibility of condemning the property if MD Management could not purchase the Dillard's site.

ZR Metro's filing seeks to prevent that.

MD Management has said that without the Dillard's site, it probably cannot proceed with its planned retail and office redevelopment.

Full post as published by National Eminent Domain Blog on September 24, 2010 (boomark / email).