In Re Condemnation by Urban Redevelopment Authority

913 A.2d 178, 590 Pa. 431, 2006 Pa. LEXIS 2513
CourtSupreme Court of Pennsylvania
DecidedDecember 27, 2006
Docket15 WAP 2004
StatusPublished
Cited by56 cases

This text of 913 A.2d 178 (In Re Condemnation by Urban Redevelopment Authority) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re Condemnation by Urban Redevelopment Authority, 913 A.2d 178, 590 Pa. 431, 2006 Pa. LEXIS 2513 (Pa. 2006).

Opinions

[435]*435 OPINION

Chief Justice CAPPY.2

The issue presented in this matter is whether the Pittsburgh Urban Redevelopment Authority (“the URA”) violated the free expression guarantees of the United States or Pennsylvania Constitutions when, as a part of a comprehensive redevelopment plan involving dozens of properties, it exercised eminent domain to take a theater showing adult-content movies. For the reasons that follow, we conclude that the URA’s action did not run afoul of either free expression clauses and thus affirm the order of the Commonwealth Court.

The property at issue in this litigation (“the Property”) is located at 12 West North Avenue in the City of Pittsburgh in the Federal North area of Pittsburgh (“the Federal North area”). The Property is owned by the New Garden Realty Corporation (“Appellant”). The New Garden Theatre, Inc. (“Garden Theatre”), which is the tenant of Appellant, operates an adult-content movie theater on the Property.3

In January of 1989, the Pittsburgh Department of City Planning issued a Basic Conditions Report (“Report”)4 recommending certification of the Federal North area as “blighted” and thus eligible for redevelopment per the Urban Redevelopment Law, 35 P.S. §§ 1701-1719.2. The Report noted that the Federal North area was decaying: its business community was dying; the crime rate was rising; and population was declining. The Report stated negative aspects of the Federal North area included, inter alia, problem bars and an adult-content movie theater (i.e., the Garden Theatre).

[436]*436A hearing was held before the City Planning Commission (“Commission”). Subsequently, in February of 1989, the Commission unanimously voted to certify the Federal North area (“the Redevelopment Area”) as blighted. The Commission then convened the Federal North Task Force (“Task Force”). The Task Force included representatives from the community, the URA, and the Pittsburgh Department of City Planning. Over six years, the Task Force worked to create a redevelopment plan for the area. In 1992, the Task Force presented a Redevelopment Area Plan (“the Redevelopment Plan”) and a supporting “Redevelopment Proposal for the Federal North Redevelopment Area” (“the Redevelopment Proposal”). The Redevelopment Plan and the Redevelopment Proposal recommended, inter alia, that the URA acquire all property located within three contiguous blocks. Multiple uses were proposed for the redevelopment of these three blocks. An office/research facility as well as a parking garage were to be constructed. On one block, all eleven existing buildings were to be reused and converted into performing arts, cultural and community activities venues as well as commercial space; the Property is located on this block.

Subsequently, the Pittsburgh City Council approved the Redevelopment Proposal. The URA then began acquiring the forty-seven properties encompassed within the redevelopment area. Between 1995 and May of 1997, the URA acquired forty-six of the properties via amicable agreements with the owners of those properties. Appellant was the lone holdout.

On May 9, 1997, the URA filed a declaration of taking to acquire title to the Property. Appellant promptly filed preliminary objections to the declaration of taking. Appellant alleged, inter alia, that the proposed condemnation violated Appellant’s free expression rights as guaranteed by the First Amendment of the U.S. Constitution and by Article I, Section 7 of the Pennsylvania Constitution.5 In October of 1997, the [437]*437trial court granted in part and denied in part the URA’s preliminary objections.6

Several years passed. During this time, extensive discovery ensued, hearings were held and lengthy briefs were filed.7 On April 18, 2002, the trial court entered an order overruling the remaining objections to the declaration of taking filed by Appellant. In pertinent part, the trial court rejected Appellant’s claim that the taking violated its free expression rights. First, the trial court found that the URA’s proposed taking of the Property was for a content-neutral reason unrelated to the expression of free speech. Tr. ct. slip op. at 14. It thus rejected Appellant’s argument that the proposed taking must be examined pursuant to the onerous strict scrutiny test.

The trial court determined that as strict scrutiny did not apply in the matter sub judice, then Appellant’s free expression claim must be analyzed pursuant to the four-pronged intermediate scrutiny test first announced in United States v. O’Brien, 391 U.S. 367, 88 S.Ct. 1673, 20 L.Ed.2d 672 (1968). [438]*438The trial court found that the intermediate scrutiny test was satisfied. It therefore concluded that the taking passed constitutional muster.8

Appellant appealed to the Commonwealth Court, which affirmed. In the Matter of Condemnation by Urban Redevelopment Auth. of Pittsburgh, 823 A.2d 1086 (Pa.Cmwlth.Ct. 2003). The Commonwealth Court noted that the trial court had found that the URA’s action was not content-based; thus, the Commonwealth Court agreed with the trial court’s determination that strict scrutiny was inapplicable to this matter. 823 A.2d at 1095.

Instead, the Commonwealth Court found that no constitutional scrutiny was applicable with regard to the federal claim. The Commonwealth Court arrived at this conclusion via application of the U.S. Supreme Court’s decision in Arcara v. Cloud Books, 478 U.S. 697, 106 S.Ct. 3172, 92 L.Ed.2d 568 (1986). In brief, Arcara states that in some instances when a law of general applicability incidentally infringes on free expression, no First Amendment scrutiny is required. The court found that Arcara was applicable to this matter, and thus Appellant’s federal free expression claim failed. In the alternative, the court also found that the URA’s action was permissible when analyzed pursuant to the O’Brien intermediate scrutiny test.

Finally, the Commonwealth Court examined Appellant’s claim that Pap’s A.M. v. City of Erie, 571 Pa. 375, 812 A.2d 591 (2002) (“Pap’s II ”)9 mandates a finding that the URA’s proposed taking violated Article I, § 7 of the Pennsylvania Constitution. In Pap’s II, an Erie ordinance worked a complete ban on nude dancing. The Pap’s II court found that since the content-neutral reason for this ordinance was bound [439]*439up with a content-based reason, strict scrutiny was to be applied. The Commonwealth Court rejected this argument. First, it reasoned that Pop’s II does not apply to an Arcaratype situation such as the one sub judice when the complained of governmental action was one of general applicability. Furthermore, the Commonwealth Court declared that even if it were assumed arguendo that Pap’s II was applicable, its strict scrutiny test would be satisfied here.

Judge Friedman filed a concurring and dissenting opinion.

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Bluebook (online)
913 A.2d 178, 590 Pa. 431, 2006 Pa. LEXIS 2513, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-condemnation-by-urban-redevelopment-authority-pa-2006.