Palm Beach Mall Tug-Of-War
Palm Beach Mall Tug-Of-War
Just when you thought it was safe to buy Florida property, another case of "eminent domain" rears its ugly head.
Eminent domain was one of those rarely enforced laws that was all but forgotten until 2006 when Riviera Beach officials decided to seize 400 acres of prime waterfront property, and replace it with a billion dollar luxury development, with absolutely no regard for the 1,700 homes and 5,100 longtime residents that would be removed in the process.
Officials underestimated the response from local residents who obtained legal representation, sued the city and won their case. The signing of a statute by Governor Jeb Bush on May 11, 2006, was almost synonymous with the Council's bid to enforce the outdated law. The new ruling stated that the taking of property for private economic development was prohibited.
Apparently, West Palm Beach Mayor Lois Frankel hasn't read the new statute. Her office has recently hinted at the enforcement of eminent domain, if the Luxembourg firm, Turbo Investments, who own the Dillard's department store building, refuse to sell the property. Apparently ORIX, an asian financial company that owns most of the mall property has expressed interest in transforming it into a big box mall. They don't own Dillard's store or property - the missing piece to allowing the deal to go through.
In steps Mayor Frankel, threatening to seize the property under the guise of eminent domain, where the government can assume ownership of privately owned property for public use - usually with some sort of remuneration to the owner. When this rule was first enforced it was mainly to acquire portions of beach real estate to allow for public walkways, or to implement erosion control methods. It was never a problem until large builders started working hand in hand with council members to develop prime real estate. Suddenly, this relic of a statute became quite convenient.
So far letters have gone back and forth between lawyers demanding a halt on the threats of eminent domain and that Turbo Investments would fight any attempts to enforce it. They argued that this was a case of the city aiding private development which is not in accordance with the statute. After the Riviera Beach fiasco, a constitutional amendment was passed that disallows the use of eminent domain when transferring ownership of property to private developers unless at least three-fifths of both houses of the legislature approve an exception. The council's claims that the property they are looking to acquire is for parks and roads is just a smoke screen.
There are a number of parties waiting in the wings for this mall to be developed, including heavy hitters such as Ikea, Bass Pro Shops and B.J.'s Wholesale discount retailer. Apparently Turbo is already considering offers other developers and from prospective tenants. Once the value of those leases is taken under consideration, the value of the property could increase substantially. Rajasthan Travel Tour - Three Popular Destinations To Visit And Explore Minnesota Franchise Law Cheap But Amazing Greeting Cards For The Holidays Washington Dc Krav Maga - Maryland Krav Maga Have A Warm Golf Travel in Australia Royal Trains In India- Cream Of Indian Tourism Singapore Holidays Halloween Party Bags Do You Want to Have a Fun, Safe and Happy Halloween? Then I Can Help Are You Addicted To Celebrity Gossip? Rajasthan Tourism Top Destinations In Rajasthan Backpacker Travel Insurance- Shapes Your Trip A GLORIOUS END IN SOUTH AFRICA