American Veterans Housing Coöperative, Inc. v. Zoning Board of Adjustment

69 Pa. D. & C. 449, 1949 Pa. Dist. & Cnty. Dec. LEXIS 329
CourtPennsylvania Court of Common Pleas, Montgomery County
DecidedDecember 12, 1949
Docketno. 6
StatusPublished

This text of 69 Pa. D. & C. 449 (American Veterans Housing Coöperative, Inc. v. Zoning Board of Adjustment) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Montgomery County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Veterans Housing Coöperative, Inc. v. Zoning Board of Adjustment, 69 Pa. D. & C. 449, 1949 Pa. Dist. & Cnty. Dec. LEXIS 329 (Pa. Super. Ct. 1949).

Opinion

Knight, P. J.,

Appellant is a cooperative association, composed of honorably discharged veterans.

In 1947 appellant purchased a tract of 216 acres of land, in Abington Township, for the purpose of subdividing and building individual homes for its members.

[450]*450Before purchasing the land, appellant investigated the zoning ordinance then in effect, in order to ascertain if the type of house it proposed to build, would comply with the restrictions and requirements of the ordinance for dwellings in the district in which the land was located. Finding that the project they planned complied with the conditions of the zoning ordinance of the township, appellant purchased the land for the price of approximately $1,000 per acre.

From the start, the project encountered the opposition of nearby property owners, and a group of them filed a bill in equity, on April 7, 1948, to restrain the commissioners from approving a plan of subdivision of a portion of the association’s land.

The preliminary injunction granted on this bill, was dissolved on April 12,1948.

On May 5,1948, the board of commissioners formally disapproved of the subdivision plan.

Appellant then appealed to the court of quarter sessions of this county, which reversed the action of the hoard of commissioners, and directed the approval of the plan.

On April 6,1948, the board of commissioners adopted a new ordinance, relating to the filing of subdivision plans. This ordinance provided that no building permit could be issued for the construction of a building in a subdivision until the plan of the subdivision had been approved and a bond entered insuring the completion of the streets, sidewalks, etc., on the site.

On July 28, 1948, appellant was informed by the township that the required bond should be in the amount of $165,000.

In the meantime, on July 15,1948, the board of commissioners adopted an amendment to the zoning ordinance, which provided a sliding scale of minimum floor area in the different zones oFtKe township.

[451]*451Under the terms of the amended ordinance, it was impossible for appellant to build the type of houses which it had planned and represented to its members would be built on its subdivision. This in turn, made it impossible for the association to secure the bond to guarantee the street improvements.

Appellant then applied for a building permit to build one house on a part of its land, fronting on an open public highway, and therefore not subject to the restrictions applying to the proposed subdivision.

The building inspector of the township refused the permit because the plans showed the proposed house to have a floor area 908 square feet, while the minimum floor area in zone V, in which appellant’s land is situate, is 1,400 square feet.

Appellant then appealed to the Board of Adjustment of Abington Township, which affirmed the action of the building inspector.

From this decision of the board, appellant filed an appeal to this court. A hearing was had before a judge of this court, and inasmuch as no questions of fact were raised, he ordered the case on the argument list, so that it could be considered by the court en banc.

The case has been argued, and is now before us for decision.

The evidence taken at the hearing discloses that appellant expended approximately $14,000 in preparing plans for the proposed houses and subdivisions, including in that amount approximately $7,000 for salaries and overliead during the time the plans were in preparation, and the litigation was pending in these courts. Appellant contends that the expenditure of this amount in reliance upon the zoning regulations then in effect, gave it a vested right which cannot be disturbed by the amendment passed on July 15, 1948. The case before us involves a single house, the construction of which was not hampered or delayed by the litigation involv[452]*452ing the subdivision plan, and it is obvious that the $14,000 expended by appellant could not apply to the plans, etc., for this one house, therefore, much of the argument in favor of a vested right is not relevant to this case. Admittedly, the application for a permit for the one house, was a trial balloon, filed for the purpose of bringing the issues involved before the court, so we will express some views on the alleged vested right of appellant.

The right of the board of township commissioners to amend, within statutory and constitutional limitations, its zoning ordinance, is without question. When, however, a property owner has in good faith, expended money, incurred liabilities and obtained a building permit, relying upon the existing terms and conditions of a zoning ordinance, he acquires a vested right, and is entitled to protection against a subsequently enacted amendment: Herskovits v. Irwin, 299 Pa. 155; Lower Merion Twp. v. Frankel, 358 Pa. 430.

Just how far a property owner must proceed before he can claim the protection accorded a vested right, is a question not free from doubt, and in our opinion depends upon the circumstances of individual cases. Whatever is done must be done in good faith: it may not be done in an attempt to ante-date a proposed ordinance. In the present case, the good faith of appellant cannot well be questioned. In this case appellant did not attempt to beat the ordinance, but the commissioners, by adopting the amendment, sought to forestall appellant.

The amount of work done, obligations incurred or money expended, must be substantial in relation to the proposed project. There must be more than a gesture toward building: more than a token of expenditure or obligation. In the present case, appellant has expended the sum of $14,000 in preparing the plans for the houses and land, and in overhead incident thereto. In [453]*453addition, it has 183 members, for whom it intends to construct houses costing around $9,000. To accomplish this purpose, it has bought and paid for 44 acres of land, at a cost of approximately $44,000, and it has an option on 174 more acres.

We hold that these expenditures made in reliance upon the zoning as it existed before the passage of the amendment were substantial.

In the cases above cited, and in others, there was a building permit issued, or a building permit issued and work done, before the amendment to the ordinance was passed. In this case, no building permit was issued, and counsel for the board of adjustment argues that this distinguishes the above-mentioned cases from that at bar.

We do not think the absence of a building permit is a controlling factor in this case. Appellant would have had a building permit were it not for the legal obstacles the board of commissioners continually placed in its way. We think the true criterion is the good faith of appellant, and the expenditure of money or the assumption of obligations in reliance upon the zoning ordinance existing before the passage of the amendment.

We are of the opinion that appellant has obtained vested rights to build its proposed houses, which cannot be set aside by the amendment of July 15, 1948. What we have said however, is little more than dicta as applied to this case.

The second question raised is whether the amendment of the zoning ordinance exceeds the powers conferred upon the township by The First Class Township Law of June 24, 1931, P. L. 1206, sec.

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Bluebook (online)
69 Pa. D. & C. 449, 1949 Pa. Dist. & Cnty. Dec. LEXIS 329, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-veterans-housing-cooperative-inc-v-zoning-board-of-adjustment-pactcomplmontgo-1949.