Eminent Domain Report

Sorry you haven't seen a post from me in a few weeks.  My wife and I just had our first child (a future super star eminent domain attorney, of course), and I've been on "dad duty."  My colleague Rick Rayl has been holding down the blog fort, although upon my return I see he's been blogging about things such as Canadian companies and mining rights in Nevada.  Now that I'm back, how about some California eminent domain news?

In the article "Sanitation Company Eyes Country Club Property," Tehachapi News is reporting that the Brite Canyon Resource Recovery (a division of the Golden Hills Sanitation Company) may use eminent domain to acquire the 160-acre Golden Hills Country Club and golf course in Kern County, California.  The sanitation company apparently wants the property to convert its septic plant into a sewer system, and has offered the property owner $2 million for the land.  The owner, on the other hand, has demanded $2.5 million.

The sanitation company believes the property is actually only worth $700,000 to $900,000, and as a public utility company, it intends to utilize its power of eminent domain to acquire the property.  The valuation dispute appears to come down to a difference of opinion on the highest and best use of the property, as the sanitation company believes the property's most profitable use is as open space for a park or for growing vegetables.  The owner, on the other hand, believes it could get $2 million just for the back 9 holes of the golf course.  Stay tuned to see which valuation approach prevails.