UNITED STATES v. 0.1785 acres of land, more or less, situate in Chesapeake, Virginia

CourtDistrict Court, E.D. Virginia
DecidedSeptember 11, 2025
Docket2:24-cv-00023
StatusUnknown

This text of UNITED STATES v. 0.1785 acres of land, more or less, situate in Chesapeake, Virginia (UNITED STATES v. 0.1785 acres of land, more or less, situate in Chesapeake, Virginia) is published on Counsel Stack Legal Research, covering District Court, E.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
UNITED STATES v. 0.1785 acres of land, more or less, situate in Chesapeake, Virginia, (E.D. Va. 2025).

Opinion

UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF VIRGINIA Norfolk Division UNITED STATES OF AMERICA, Plaintiff, v. 0.1785 ACRES OF LAND, MORE OR Civil Action No. 2:24-ev-23 LESS, SITUATE IN CHESAPEAKE VIRGINIA, AND MSF INVESTORS II, LLC, ET AL., Defendants.

OPINION AND ORDER This matter is before the court on Defendants MSF Investors II, LLC and Arcadia Equity Associates’ (“Landowners”) Motion in Limine to Exclude Testimony of the United States’ rebuttal experts, Steve Schmidt and Nancy Dove, (ECF No. 96). Landowners argue that Schmidt, a traffic engineer, and Dove, a real estate appraiser, should be excluded because their opinions (1) only discuss the “general benefits” rather than the “special benefits” connected to Landowners’ remaining property after condemnation, (2) are not connected to the valuation of the property, and (3) are speculative and lack adequate foundation. Defs.” Mem. Supp. Mot. Exclude Test. (“Landowners Mem.”) (ECF No. 97). The United States claims that both Schmidt and Dove based their opinions on relevant experience and publicly available data, and offer admissible rebuttal evidence rather than “special benefits” testimony meant to value the land. United States’ Opp’n Defs.” Mot. Exclude Test. (“Opp’n”) (ECF No. 98). Landowners reply, reiterating that both Schmidt and Dove offer improper special benefits testimony without any evidence that the benefits have value specific to the property, and that both witnesses intend to offer “simply late disclosed

new opinions.” Defs.’ Reply Mem. Supp. Mot. Exclude Test. (“Landowners Reply”) (ECF No. 99, at 1,6). On August 27, 2025, the court heard arguments of counsel via Zoom. For the reasons stated at the hearing and explained below, the court DENIES Landowners’ Motion. I. BACKGROUND A. The Subject Property and Project During a construction project replacing the Deep Creek Bridge to improve access to nearby roadways in the City of Chesapeake, Virginia (“Project”), the United States condemned Landowners interests in 0.1785 acres of land along with related temporary easements. See Landowners Mem. (ECF No. 97, at 2); Opp’n (ECF No. 98, at 2). The government’s taking impacts two parcels of land—Parcel 126 and Parcel 127—that are adjacent to the Crossings at Deep Creek Shopping Center (“Shopping Center”), a Food Lion-anchored shopping center located along the Moses Grandy Trail roadway. See Landowners Mem. (ECF No. 97, at 3); Opp’n (ECF No. 98, at 2). Both parcels have three points of ingress and egress: (1) the “Western Entrance” along the Moses Grandy Trail, which acted as the main entrance allowing drivers to make a full-movement turns in any direction before the Project; (2) the “Eastern Entrance” allowing drivers to turn right in or out onto the Moses Grandy Trail; and (3) the “Southern Entrance” on George Washington Highway. See Landowners Mem. (ECF No. 97, at 3); Opp’n (ECF No. 98, at 2-3). As part of the Project, the United States will “replace an obsolete 90-year-old two-lane bridge with a new five-lane drawbridge,” widen parts of the Moses Grandy Trail, install a traffic signal at the Intersection to include a “new left-turn-only lane for northbound George Washington Highway traffic onto westbound Moses Grandy Trail,” install a pork chop traffic island at the Western Entrance, and make “other improvements to enhance traffic flow and

safety.” Opp’n (ECF No. 98, at 4). Because of the new traffic control efforts, drivers will no longer be able to make a left out of the Western Entrance to the parcels; instead, they will have to either take a right onto Moses Grandy Trail and then turnaround elsewhere, or they have to turn right out of the Southern Entrance and then turn left at the newly signalized Intersection to head west. See Landowners Mem. (ECF No. 97, at 4); Opp’n (ECF No. 98, at 5). The sole issue at trial is the amount of just compensation owed to Landowners for the government’s taking. Landowners Mem. (ECF No. 97, at 1); Opp’n (ECF No. 98, at 5). Just compensation is determined by the difference in property value before and after a taking, accounting for any specific damage or benefit to the property. See United States v. Petty Motor Co., 327 U.S. 372, 377 (1946). Although the amount of land taken is not in controversy, Landowners and the United States disagree about the effect of the Project’s changes on the land valuation. Each party relies on their own expert appraiser to determine the value of the land and the just compensation owed. Landowners Mem. (ECF No. 97, at 2); Opp’n (ECF No. 98, at 5). B. The Parties’ Experts Both valuation experts apply the same methodology to value the take, preparing a value for the affected properties before and after the Project. See Petty Motor Co., 327 U.S. at 377. The United States’ expert appraiser, Lawrence Colorito, estimated just compensation for Landowners to be $50,000.! Landowners Mem. Ex. 6, at 171 (“Colorito Parcel 126 Report”) (ECF No. 97-6, at 5); Landowners Mem. Ex. 7, at 98 (“Colorito Parcel 127 Report”) (ECF No. 97-7, at 5). Landowners’ expert appraiser, Matthew Ray, values the taking at $1,175,000 and

' This motion does not challenge Colorito’s appraisal. Relevant to this motion, Colorito concludes “the widening of the bridge and installation of the traffic light is expected to ease the flow of traffic through the neighborhood; however, there is no quantifiable impact on the value of the subject property.” Colorito Parcel 126 Report, at 144 (ECF No. 97-6, at 6); Colorito Parcel 127 Report, at 98 (ECF No. 97-7, at 7). His report does not characterize any of the improvements to the land post-take as a special benefit; in fact, his report states “[t]here are no known special benefits.” Colorito Parcel 126 Report, at 171 (ECF No. 97-6, at 8); Colorito Parcel 127 Report, at 98 (ECF No. 97- 7, at 7).

supports his valuation with Landowners’ traffic engineer, Dexter Williams’, report. Opp’n Ex. 12 (“Ray Parcel 126 Report”) (ECF No. 98-2); Opp’n Ex. 13 (“Ray Parcel 127 Report”) (ECF No. 98-3). To rebut Landowners’ experts, the United States seeks to introduce testimony from two rebuttal experts, Nancy Dove and Steve Schmidt. Given that Dove and Schmidt’s rebuttal opinions are at issue here, it is also important to understand the expert testimony they rebut— Ray’s appraisal and Williams’ traffic report. 1. Matthew Ray’s Expert Report Matthew Ray, Landowners’ appraiser, conducted two appraisals for Parcels 126 and 127—stimating the market value of the subject property before the taking” and the remainder property after the taking>—and concluded that the value of the land and other interests taken is $1,175,000.* Opp’n (ECF No. 98, at 6). In determining this value, Ray focused on the Project’s elimination of a left turn out of the Western Entrance. Id. His report also relied on Dexter Williams’ traffic report, discussed further below, which measured the changes to entrance throat length and exit lane storage capacity under the City of Chesapeake requirements and Virginia Department of Transportation (“WDOT”) requirements to support his land valuation estimates.

? In this case, “[d]ue to the physical characteristics of the subject property, along with its excellent location, allowable uses and surrounding improvements, commercial development is identified as the highest and best use.” Ray Parcel 126 Report, at 38 (ECF No. 98-2, at 14); Ray Parcel 127 Report, at 37 (ECF No. 98-3, at 14). Ray’s report states that the value of Parcel 126 before the taking was $10,250,000. Ray Parcel 126 Report, at 92 (ECF No. 98-2, at 21). The value of Parcel 127 before the taking was $1,300,000. Ray Parcel 127 Report, at 69 (ECF No. 98- 3, at 22).

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UNITED STATES v. 0.1785 acres of land, more or less, situate in Chesapeake, Virginia, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-01785-acres-of-land-more-or-less-situate-in-chesapeake-vaed-2025.