People v. Kotara

CourtAppellate Court of Illinois
DecidedFebruary 29, 2008
Docket3-07-0502 Rel
StatusPublished

This text of People v. Kotara (People v. Kotara) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Kotara, (Ill. Ct. App. 2008).

Opinion

No. 3–07–0502 ______________________________________________________________________________ Filed February 29, 2008 IN THE

APPELLATE COURT OF ILLINOIS

THIRD DISTRICT

A.D., 2008

THE PEOPLE ex rel. THE DEPARTMENT ) Appeal from the Circuit Court OF TRANSPORTATION, ) of the 12th Judicial Circuit, ) Will County, Illinois, Plaintiff-Appellee, ) ) v. ) ) KOTARA, L.L.C., and BRAIDKOT, LTD., ) No. 07–ED–008 ) Defendants-Appellants ) ) (Super Valu, Inc., Claypool Drainage and, ) Levee District, Great Lakes Bank, N.A., ) Nonrecord Claimants and Unknown ) Honorable Owners, Generally, ) Gerald Kinney, ) Judge, Presiding. Defendants). )

______________________________________________________________________________

JUSTICE WRIGHT delivered the opinion of the court: ______________________________________________________________________________

On March 7, 2007, the Illinois Department of Transportation (IDOT) brought suit against

defendant property owners, Kotara, L.L.C., and Braidkot, Ltd. (hereinafter defendant), and other

interested parties1 to condemn certain real estate under the state’s eminent domain power in

connection with plans to improve State Route 113 in Will County. IDOT subsequently moved for

1 IDOT voluntarily dismissed Super Valu from the cause prior to this appeal upon Super Valu’s claim of no interest in the subject property. The remaining named defendants are not parties to this appeal. immediate vesting of title for approximately 1.929 acres of defendant’s commercial property in

Braidwood, Illinois, pursuant to the quick-take provision of the Eminent Domain Act (735 ILCS

30/20–5–10(b) (West 2006)). Defendant filed a traverse and motion to dismiss, alleging IDOT

was not exercising the right of eminent domain in good faith, because the appraisal of the subject

property was not conducted in compliance with accepted appraisal standards. Following a two-

day hearing, the trial court granted IDOT’s quick-take motion, entered an order setting

preliminary just compensation and denied defendant’s motion to dismiss. Defendant appeals,

contending the trial court abused its discretion. For reasons that follow, we reverse and remand

for further proceedings.

FACTS

The property at issue in this case is a single-storey, 19,000-square-foot grocery store and

a 96-vehicle parking lot located along East Main Street (State Route 113) in downtown

Braidwood, Illinois. In July 2005, Fred Tadrowski, a real estate appraiser for IDOT, interviewed

the grocery store manager to determine the history of the property in anticipation of IDOT’s

proposed reconstruction of Route 113, between State Routes 53 and 129. The purpose of the

project was to improve traffic flow, install traffic lights at the intersection and increase public

safety. IDOT’s proposed reconstruction required partial taking of the property in fee, and both

permanent and temporary easements.

Tadrowski used the comparable sales method to calculate the average value per square

foot of the grocery store property to be condemned. He determined the value of the average

square foot of the lot was $5.10, and the value of the entire parcel before the partial taking was

$1,150,000. Based on these figures, Tadrowski determined that the value of 6,316 square feet of

2 the parcel to be taken in fee simple was $38,000, and he valued an additional 5,140 square feet to

be taken as a dedication, or perpetual easement, at $52,000. He determined damage to the

remainder, due to loss of parking spaces and parking reconstruction, equaled $57,000. IDOT also

required a temporary easement for construction purposes during the three-year estimated

impressment, which Tadrowski valued at $5,000. In sum, Tadrowski estimated the fair market

value of the real estate to be affected by the project was $152,000.

In August 2005, another IDOT appraiser, Charles Southcomb, reviewed Tadrowski’s

appraisal. Southcomb disagreed with Tadrowski’s appraisal of the damage to the remainder

because of an error in the original engineering report concerning the number of necessary cart

returns when the parking lot was reconstructed. Southcomb determined the damage to the

remainder should be $72,000, rather than $57,000. Consequently, he concluded the appraised

value of the total IDOT taking for the project should be $167,000 rather than $152,000.

Southcomb certified that he developed his report under the jurisdictional exception of the Uniform

Standards of Professional Appraisal Practice (USPAP) in compliance with the policies and

procedures of IDOT and applicable state and federal laws.

After IDOT's appraisal documents were completed, John Kotara purchased the grocery

store property from the estate of Dorothy Testa in November 2005, as part of a package deal that

included another grocery store in Coal City, Illinois. At the closing on the two parcels, Kotara

certified the value of the Braidwood parcel to be $850,000.

In December 2005, IDOT representatives met with John Kotara, president of the

defendant companies, and defendant’s attorney to discuss just compensation for the takings in fee

simple, the perpetual easement, the temporary easement and the damage to the remainder. At that

3 time, IDOT offered to compensate defendant in the amount of $167,000 based on Southcomb's

first review of and adjustment to Tadrowski's appraisal.

Defendant objected to the proposed reduction of parking spaces on the property and to

IDOT’s proposal to close the driveway along Route 113. The driveway entrance and exit along

Route 113 had not been previously authorized by IDOT but was operational when Kotara

purchased the property from the prior owner.

In order to accommodate defendant’s concerns, IDOT engineers offered to reduce the size

of the taking by leaving the Route 113 driveway intact but with restricted use as a right-in access

only. IDOT also proposed realigning the parking lot spaces by turning them 90 degrees at the

state's expense to run parallel to the store and allowing defendant to retain all 96 of the parking

spaces.

In July 2006, following IDOT’s reconfiguration of the project, Southcomb revised his first

review report to reflect the reduced taking. Southcomb’s revised review report or second review

changed the fair market value of the whole parcel to $875,000, rather than $1,150,000 as

reflected in Tadrowski’s original appraisal. As a basis for this reduction, Southcomb’s 2006

revised review report used comparable sales, which included Kotara’s recorded purchase price of

$850,000 for the subject property in November 2005.

Southcomb’s revised review report adjusted the value of IDOT's reduced taking in fee

simple to $40,000, rather than Tadrowski’s estimate of $38,000 for the originally proposed taking

in fee simple. Southcomb determined damage to the remainder, as modified in response to

defendant’s objections, to be $60,000, rather than $72,000, which was Southcomb’s first

calculation. Southcomb adjusted the value of the perpetual easement to $35,000, rather than the

4 original amount of $52,000 and agreed that $5,000 remained the proper amount for the temporary

easement. In sum, he proposed total compensation in the amount of $140,000 for the smaller

taking, rather than the $167,000 originally offered. IDOT made a written offer to defendant in

this amount, $140,000, in August 2006.

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