The term “eminent domain” refers to the power of the government to take private property and convert it into public use. The Fifth Amendment of the United States Constitution allows the government to exercise this power, also known as “condemnation,” as long as the landowner receives “just compensation” for their loss.
In Colorado, eminent domain laws are primarily outlined in Colorado Revised Statutes Title 38, Property – Real and Personal. In this article, we will delve deeper into understanding the principle of eminent domain within Colorado’s real estate law.
Understanding Eminent Domain
In Colorado, local, state, or federal government entities can invoke eminent domain to acquire private property. The uses of such properties range widely – from the construction of public facilities like schools, roads, and parks to public utilities and even economic development projects. The key element is that the acquisition and subsequent use of the property must serve the public interest.
The Process of Eminent Domain in Colorado
The eminent domain process generally consists of several key steps. Initially, the government entity (also known as the “condemnor”) identifies the property needed for a public project.
Following this, they must make a good faith effort to negotiate with the property owner to purchase the property at fair market value. This includes providing the owner with an appraisal of the property.
If negotiations fail, the condemnor can then initiate a condemnation action in the district court. The court will first hold a hearing to determine whether the condemnor has the right to take the property through eminent domain. If the court decides in favor of the condemnor, it will appoint a commission to determine the just compensation for the property.
Just Compensation
The term “just compensation” means the fair market value of the property being taken. Fair market value is defined as the price that the property would sell for on the open market between a willing buyer and a willing seller.
Under Colorado law, compensation may also include damages to the remaining property if it is lessened in value due to the condemnation. On the other hand, any increase in the value of the remaining property can offset these damages.
Defending Against Eminent Domain
While property owners have limited rights to oppose the taking of their property, they do have options. One can challenge the public use of the property, asserting that the proposed project does not sufficiently benefit the public.
Alternatively, they can challenge the compensation offered, asserting that it does not represent the fair market value of the property. While challenging the compensation offered will not defeat an assertion of eminent domain by the government, it can help to ensure that the landowner is paid fairly for their property.
Eminent domain is a powerful tool in the hands of the government, and it plays a vital role in the development and growth of communities in Colorado. However, it also involves the delicate balancing act of respecting individual property rights while serving the broader public interest. It is essential for property owners to have a thorough understanding of this legal principle to navigate potential land acquisition challenges effectively.
An Ally in Your Corner
If you’ve been faced with an eminent domain action in Colorado and feel uncertain about your rights or the offered compensation, don’t face this complex process alone.
As experienced Denver Real Estate Lawyers, Baker Law Group specializes in protecting and enforcing property rights.
Our expert team of Denver Real Estate Attorneys is here to guide you through every step, ensuring you receive just compensation for your property.
