Scottsdale Deal Gone Bad
East Valley Tribune, April 15, 2008
Up to $55 million into the pockets of developers, due to McDowell Sonoran Preserve eminent domain actions gone wrong.
Another possible $8 million to an investment group, related to a disputed lease involving a water treatment plant expansion.
Nearly $5 million spent on a downtown arts district development that fell through last week.
Scottsdale is finding that buying, leasing and selling land does not always go smoothly.
On Tuesday, the City Council is to consider having the City Auditor's Office initiate a fact-finding review into one of one those eminent domain actions, the $82 million Toll Bros. condemnation, in hope of avoiding future real estate pitfalls.
-Scottsdale has actively sought eminent domain as a tool of “development” and to aesthetically improve the community. The article places governments on notice that they should be acquiring by condemnation only where there is no other choice and the need is truly mandatory.
