Peter Roberts Enterprises, Inc. v. Commonwealth

376 A.2d 1028, 31 Pa. Commw. 479, 1977 Pa. Commw. LEXIS 1010
CourtCommonwealth Court of Pennsylvania
DecidedAugust 22, 1977
DocketAppeal, No. 1157 C.D. 1976
StatusPublished
Cited by13 cases

This text of 376 A.2d 1028 (Peter Roberts Enterprises, Inc. v. Commonwealth) is published on Counsel Stack Legal Research, covering Commonwealth Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Peter Roberts Enterprises, Inc. v. Commonwealth, 376 A.2d 1028, 31 Pa. Commw. 479, 1977 Pa. Commw. LEXIS 1010 (Pa. Ct. App. 1977).

Opinions

Opinion by

Judge Crumlish, Jr.,

Presently before this Court is the appeal of the Department of Transportation (PennDOT) from an order of the court of common pleas which dismissed PennDOT’s preliminary objections to a petition for appointment of viewers filed by Peter Roberts Enterprises, Inc. (Roberts). The court below had appointed a jury of view to ascertain just compensation for the taking of a tract owned by Roberts pursuant to Section 502(e) of the Eminent Domain Code, Act of June 22, 1964, Special Sess., P.L. 84, as amended, 26 P.S. §1-502(e). The basis of the preliminary objections was that there had, in fact, been no condemnation of Roberts’ property and no compensable injury warranting the appointment of a jury of view.

Factually, this matter is uncomplicated. In 1968 Roberts purchased a 31-acre tract of unimproved land in Kulpsville, Towamencin Township, Montgomery County. Roberts is in the real estate development business, and had intended to develop the entire property by the erection of apartments or single family dwellings.

In 1967 PennDOT began preliminary design on a proposed limited access highway, four miles in length, designated Legislative Route 782, and commonly known as the North Penn Expressway. The plans indicate that from approximately 1969 to the present, there have been no changes in the location of this highway as it affects the Roberts tract. Although Penn-DOT claims that its plans are still not final, it does admit that by 1970, the location of the center line of the highway had been determined and fixed. This center line divided Roberts ’ 31-acre tract into two pieces. The 15-acre piece to the north of the expressway is the portion with which we must concern ourselves in this litigation. The expressway delineates the southern border [482]*482of this lot, and since there are no other roads that create access to the other three borders, the property is rendered completely landlocked by this project.

When Roberts first attempted to obtain building permits to develop the land in 1968, it was advised by township officials and officials of the Montgomery County Planning Commission that the entire parcel (31 acres) could not be developed because it would be divided by the expressway. It was also unable to obtain a building permit for the northern portion of the property because of its access problem. Roberts claims that the uncertainty and expense attendant to imminent taking forced it to sell the southern portion in 1971 in an effort to mitigate its damages.

Since 1971 Roberts has continually advised Penn-DOT of its inability to use or dispose of its property. Roberts currently receives no income from the property. A mortgage and a loan are outstanding against the land, and the mortgagee has made a demand for repayment in full.

More recently, PennDOT has recommended that the property be acquired, but to date, no offer has been made to Roberts; thus, the question of a possible taking is still before us.

The record is clear that many parcels near the Roberts property have been acquired over the last eight years, both amicably and by the filing of declarations of taking. A number of other properties have been acquired, or are in the process of being acquired, as “hardship” cases by virture of the filing of petitions such as the instant one.

Other relevant facts of record which the court below recognized in its decision in this case are that, first, although there is controverted evidence as to the center line of the highway being a fixed one at present, it would appear that the weight of the evidence [483]*483would lead us to conclude that the line is indeed now fixed. Second, Towamencin Township currently uses the center line as a dividing line between zoning classifications, and finally, due to funding problems, the Commonwealth will be unable to proceed on this project until approximately 1980.

In light of all the above factors, the court below found that a de facto taking of the Roberts tract had indeed occurred. We agree.

Of course, the critical section of the Code with which we must initially concern ourselves is Section 502(e), 26 P.S. §1-502(e), which states in relevant part:

(e) If there has been a compensable injury suffered and no declaration of taking therefor has been filed, a condemnee may file a petition for the appointment of viewers ....

This Court has in the past been confronted with the de facto taking allegation in the preliminary planning stages of highway development; most notably in Department of Transportation v. Securda & Co., Inc., 16 Pa. Commonwealth Ct. 40, 329 A.2d 294 (1974), and Conroy-Prugh Glass Co. v. Commonwealth, 7 Pa. Commonwealth Ct. 66, 298 A.2d 672 (1973), rev’d, 456 Pa. 384, 321 A.2d 598 (1974). In Conroy-Prugh, the owner of two commercial buildings adjacent to the north end of the West End Bridge in Pittsburgh contended that the publicity attending the promulgation of plans for the extension of a highway interchange on both sides of his property had so dimished the rental income of the properties that they had been listed for tax sale, and that therefore a “de facto taking” had occurred. Although there was neither a history of acquisition or formal condemnation of surrounding properties, nor had a final location plan been approved or recorded, each of the seven design proposals for the interchange [484]*484included a complete taking of appellant’s property. Our Supreme Court held that the pleadings were sufficient to support a finding of a compensable injury within the intendment of Section 502(e) of the Code because of (1) the inevitability of an eventual taking of appellant’s property due to its proximity to the bridge; and (2) the alleged inability of appellant to utilize the properties for their highest and best commercial use because of the adverse impact of precondemnation publicity on their rental income.

More closely tied to the instant case factually, however, is our decision in Securda in which the Commonwealth filed a plan in Berks County demarcating the right-of-way lines of Legislative Route 1075, but postponed total acquisition of properties within the right-of-way pending approval of the Governor. Securda’s tract was a vacant building lot just as in the instant case. We were not there concerned, as in Conroy-Prugh, with loss of rental income from buildings on the property, or the like, as indicators of the extent to which the property owner was being deprived of the beneficial use of his land. Rather, the interrelationship of Section 502(e), 26 P.S. §1-502(e), and Section 604, 26 P.S. §1-604, was in issue, for the property was unimproved and the crucial indicator of loss to the landowner from announced intentions to condemn was fair market value of the land itself as it related to the imminency of the taking.

Section 604, 26 P.S. §1-604, states:

Any change in the fair market value prior to the date of condemnation which the condemnor or condemnee establishes was substantially due to the general knowledge of the imminence of condemnation, other than that due to physical deterioration of the property within the reason[485]*485able control of the condemnee, shall be disregarded in determining fair market value.

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Cite This Page — Counsel Stack

Bluebook (online)
376 A.2d 1028, 31 Pa. Commw. 479, 1977 Pa. Commw. LEXIS 1010, Counsel Stack Legal Research, https://law.counselstack.com/opinion/peter-roberts-enterprises-inc-v-commonwealth-pacommwct-1977.