Some Question Whether State Overpaid for Land Next to Interstate 35E
Stephen I. Adler was quoted in The Dallas Morning News on December 14, 2013. The article, “Some Question Whether State Overpaid for Land Next to Interstate 35E,” focused on two business partners who used public information to buy land along highway projects that were subject to future condemnation.
Mr. Adler was referenced in the article as saying:
“A certain piece of highway land could be valued differently by private and state appraisers based on rules the state’s appraisers have to follow. A tract that sits in the path of a highway widening project could be valued less than it ordinarily would be because of the pending highway construction, which could limit visibility and access. The owner of the property might be willing to sell the land to a private party at a discount to avoid the hassle of dealing with the state and the construction. A savvy buyer would know he could get a good deal on the undervalued land. And when the state wants to buy that land, its appraiser is not allowed to consider what’s known as “project influence,” or any negative or positive impacts the highway project could have on the property. In addition, when the state takes a portion of land for a highway project, it is required to pay the owner additional compensation for any damages that may occur to the remainder of the land. For example, the highway project could reduce access to the remaining property or eliminate parking or buildings.”
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