Blight Brigade: CO cities still use power to claim property

“Local governments are still using eminent domain in Colorado despite a 2006 state law meant to limit municipalities’ ability to seize property for private development.

In Fort Collins, officials are pushing a plan to redevelop the Foothills Mall. But Sears owns its property in the mall, and has rejected purchase offers from Alberta Development Partners. A similar situation is unfolding in Longmont, where city council members say they will pursue eminent domain if Dillard’s doesn’t reach terms amenable to developer NewMark Mountain States over property the retailer owns in Twin Peaks Mall.

Other cities are threatening property owners as well. Last fall, Denver, Northglenn, and Thornton passed urban renewal plans that authorize the use eminent domain to seize property for private developers.

In Fort Collins, Sears “contributes a million dollars annually in property, sales, and employee taxes,” says Amy Oliver, executive vice president of the Independence Institute, a Colorado-based free-market think tank. “They employ 100 people. They spent more than a million dollars improving the facility and its surroundings. If the city council is willing to [condemn] Sears then they’ll do that to any small business,” says Oliver, who also hosts a talk show on 1310 KFKA.”

read the entire article

Ross, John. Colorado Watchdog 27 March 2013.