U.S. Supreme Court ruling on property rights a major win for real estate developers

Miami /
Jun.June 26, 2013 01:00 PM

From the New York site: The U.S. Supreme Court today ruled in favor of a Florida landowner in a case that could have widespread ramifications for property developers challenging state and municipal land use policies, Atlantic Cities reported.

The 11-year-old case was filed by Coy Koontz, the now-deceased, longtime owner of a 15-acre wetlands plot outside Orlando.

In the 1990s, Koontz applied for a permit from the local water management district to develop a building, parking lot and retention pond on almost four acres of the property. Koontz’s son, also named Coy, is now the property owner.

Under Florida law, developers seeking to build on wetlands must get a special permit, and the agencies that issue them can require landowners to offset environmental impacts. Though Koontz floated a plan to conserve the remaining acres, the district wanted him to go further and develop only a single acre or pay workers to improve nearby public wetlands instead.

Instead, Koontz sued, claiming the rejection of the permit amounted to a violation of a Fifth Amendment clause banning the government from taking private property without proper compensation.

The 5-4 majority in Koontz v. St. Johns River Water Management District sided with the developer, seemingly expanding the definition of the so-called Takings Clause.

“It makes no difference that no property was actually taken in this case,” Justice Samuel Alito, writing for the majority, said in the decision. “Extortionate demands for property in the land-use permitting context run afoul of the Takings Clause not because they take property but because they impermissibly burden the right not to have property taken without just compensation.” [Atlantic Cities]Zachary Kussin


Related Articles

arrow_forward_ios
Asher Abehsera and Jonathon Yormak with 2400-2500 North Miami Avenue (Google Maps)
LIVWRK in contract to buy Wynwood assemblage from East End Capital
LIVWRK in contract to buy Wynwood assemblage from East End Capital
The Estate Companies Principal Jeff Ardizon and Managing Principal Robert Suris with a rendering of the project. (Estate)
Estate Companies scores $76M construction loan for North Miami Beach apartments
Estate Companies scores $76M construction loan for North Miami Beach apartments
The site and renderings of Premium Developmentā€™s nearby project. (Premium Development)
Multifamily developer buys piece of Little Havana assemblage
Multifamily developer buys piece of Little Havana assemblage
FECI's Kolleen Cobb with Countyline Corporate Park and the new sites at 4181 and 4241 West 108th Street (Google Maps)
FECI plans Countyline Corporate Park expansion with $33M construction loan
FECI plans Countyline Corporate Park expansion with $33M construction loan
Alliance Residential Company CEO Bruce Ward and 6595 Morikami Park Road (Google Maps)
Alliance Residential buys site, scores $46M construction loan for senior apartments in Delray Beach
Alliance Residential buys site, scores $46M construction loan for senior apartments in Delray Beach
Prologis CEO Hamid Moghadam with project plans, an aerial view of Northwest 129th Avenue and 14th Street and the Dolphin Expressway in Miami-Dade County (Prologis, Getty, Google Maps)
Prologis plans to expand its Beacon Lakes business park in Miami-Dade
Prologis plans to expand its Beacon Lakes business park in Miami-Dade
(iStock)
South Florida resi construction starts soar in March
South Florida resi construction starts soar in March
Domenic Gatto and Banyan Cay Resort and Club (Linkedin, iStock, Banyan Cay)
Developer of Banyan Cay Resort in West Palm faces charge tied to $65M healthcare fraud
Developer of Banyan Cay Resort in West Palm faces charge tied to $65M healthcare fraud
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...