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Volume 2, Number 1
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Hot Issue: Eminent Domain in New Jersey
| Eminent domain — the taking
of private property for public use and a tool often
used in transit-oriented development — has become
one of the most fiercely debated planning and policy
topics in recent years, due to the U.S.
Supreme Court's controversial decision involving
a redevelopment case in New London, CT.
Belmar, Bloomfield, Collingswood, Long
Branch, Newark and New Brunswick have all recently acquired
properties surrounding their transit stations, and some
have been sued by local businesses or homeowners claming
municipal officials overstepped their bounds. The Supreme
Court in its New London decision invited states to adopt
laws limiting the power of municipalities to seize property.
New Jersey lawmakers have begun a rigorous examination
of the legal framework for the exercise of eminent domain
and hope to act later this year.
Advocates argue that the exercise of
eminent domain plays a crucial role in the revitalization
of communities. They claim that without the ability
of municipalities to seize dilapidated or derelict properties,
cities will be left with numerous incongruous parcels
in need of redevelopment. Organizations such as the
Brookings Institution and the American Planning Association
(APA) recognize that major commercial and residential
developers are attracted to larger projects for their
substantial return, and that such developments additionally
have the power to catalyze broader revitalization efforts.
These groups are in agreement with the Supreme Court
decision which found that governments can appropriate
privately owned properties (including homes) provided
their owners are paid "just compensation"
and the reclamation serves a "public good"
by spurring economic development and increasing the
municipality's economic well-being.
| Opponents
include citizen and property rights advocates
who argue that the New London decision has given
cities too much subjective power to deem whether
or not certain properties are worthy of seizure.
Critics also fear the decision went too far, as
the definition of "just compensation"
fails to account for such unquantifiable factors
as social ties to an area, local client bases,
or the potential versus the current
market value of a business or residence.
This issue can have major bearing
on the implementation of transit-oriented development
(TOD), as municipalities must often resort to
acquiring properties surrounding transit stations
in order to aid the development process. Train
stations often are surrounded by a great deal
of underutilized land that is needed to facilitate
larger and, at times, higher impact development
projects.
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Sign Seen in a New Jersey Redevelopment
Area
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