Kelo V. City of New London
Facts
New London, CT declared a "distressed municipality" due to decades of economic decline.
State and local officials targeted New London for economic revitalization.
State authorized bonds to support planning activities including a state park and private development. Pfizer announced that it planned to build on the Fort Trumbull area.
Fort Trumbull comprises 115 privately-owned properties. Development plan encompasses seven parcels:
1. Waterfront conference hotel at the center of a small urban village.
2. 80 new residences organized into an urban neighborhood linked by a public walkway.
3. Office space.
4. A- support site for state park or marina; B- marina/riverwalk.
5. 6, 7- Land for office and retail space.
Plan designed to revitalize the downtown area and make the city more attractive and create leisure and recreational opportunities.
City Council authorized NLDC to purchase property or acquire it through eminent domain.
Negotiations with Ps failed, and so condemnation proceeding was initiated.
Procedural History
Superior Court granted a permanent restraining order prohibiting the takings of properties in 4A, but not in parcel 3.
Supreme Ct of CT held that the takings were valid.
Issues
Can a city condemn private land under the Takings Clause with the intent of giving that land directly to private developers to encourage economic development?
Does the city's plan have a public purpose?
Holding/Rule
A city can condemn private lands with the intent of giving that land to private developers to encourage economic development because economic development is a public purpose.
Reasoning
It has long been accepted that the sovereign may not take the property of A for the sole purpose of transferring it to another private party B, even with just compensation.
Also can't take it for the pretext of a public purpose when real purpose is private.
However, a State may transfer the property if future use by the public is the purpose of the
New London, CT declared a "distressed municipality" due to decades of economic decline.
State and local officials targeted New London for economic revitalization.
State authorized bonds to support planning activities including a state park and private development. Pfizer announced that it planned to build on the Fort Trumbull area.
Fort Trumbull comprises 115 privately-owned properties. Development plan encompasses seven parcels:
1. Waterfront conference hotel at the center of a small urban village.
2. 80 new residences organized into an urban neighborhood linked by a public walkway.
3. Office space.
4. A- support site for state park or marina; B- marina/riverwalk.
5. 6, 7- Land for office and retail space.
Plan designed to revitalize the downtown area and make the city more attractive and create leisure and recreational opportunities.
City Council authorized NLDC to purchase property or acquire it through eminent domain.
Negotiations with Ps failed, and so condemnation proceeding was initiated.
Procedural History
Superior Court granted a permanent restraining order prohibiting the takings of properties in 4A, but not in parcel 3.
Supreme Ct of CT held that the takings were valid.
Issues
Can a city condemn private land under the Takings Clause with the intent of giving that land directly to private developers to encourage economic development?
Does the city's plan have a public purpose?
Holding/Rule
A city can condemn private lands with the intent of giving that land to private developers to encourage economic development because economic development is a public purpose.
Reasoning
It has long been accepted that the sovereign may not take the property of A for the sole purpose of transferring it to another private party B, even with just compensation.
Also can't take it for the pretext of a public purpose when real purpose is private.
However, a State may transfer the property if future use by the public is the purpose of the