United States v. 421.89 Acres of Land, More or Less, Situated in Marion, Polk and Warren Counties, State of Iowa, and Orval Kain

465 F.2d 336, 1972 U.S. App. LEXIS 7553
CourtCourt of Appeals for the Eighth Circuit
DecidedSeptember 14, 1972
Docket71-1682
StatusPublished
Cited by9 cases

This text of 465 F.2d 336 (United States v. 421.89 Acres of Land, More or Less, Situated in Marion, Polk and Warren Counties, State of Iowa, and Orval Kain) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. 421.89 Acres of Land, More or Less, Situated in Marion, Polk and Warren Counties, State of Iowa, and Orval Kain, 465 F.2d 336, 1972 U.S. App. LEXIS 7553 (8th Cir. 1972).

Opinion

VAN OOSTERHOUT, Senior Circuit Judge.

This is an appeal by landowners from final judgment entered September 20, 1971, overruling their objections to the report of the condemnation commission, as amended, and approving the award recommended by the commission and the judgment based upon such award.

The United States commenced this action on February 12, 1968, to acquire for the Red Rock Dam project flowage, levee, road, drainage and borrow pit easements upon real estate owned by the appellant landowners identified as tracts 3216E, 1, 2, 3, 4 and 5; 3217E, 1, 2 and 3; and 3218E, 1, 2, and 3. The legal description of the land and the acreage involved are not in controversy. Estimated just compensation in the amount of $94,650.00 was deposited with the court.

After some title disputes were resolved in favor of appellant landowners, the court appointed a commission under Rule 71A(h) to hear and determine the amount of damages. After a full hearing and inspection of the land, such commission by their report as amended fixed compensation for the taking of such tracts as follows: 3216E series, $27,195.00; 3217E series, $37,796.00; and 3218E series, $19,155.00. Partial distribution had been made to appellants of the Government deposit. The court determined that appellants had been overpaid $9,380.00 on the 3216E series, and had been overpaid $8,345.00 on the 3218 series, and ordered repayment of such sums into thé registry of the court. On the 3217E series, the court determined a balance of $9,746.00 was due the landowners.

White Materials Corporation is now the owner of the interests of appellants in the condemned real estate and is the real party in interest on this appeal. The relevant facts are very fully set out in the trial court’s unreported opinion.

Appellants set out ten points upon which they rely for reversal which may be consolidated and summarized as follows:

I. Errors in reception of evidence.

II. Errors in instructions.

III. Error in finding substantial evidence supports the award made.

IV. Error in failing to make any award for the borrow pit in tract 3216E.

V. Error in computation of interest.

Our examination of the record satisfies us that no prejudicial error has been committed and that the judgment should be affirmed.

The most substantial controversy on this appeal relates to the value of some 149 acres of unworked gravel deposits on the combined tracts. Appellants at the time of the condemnation were using all tracts as a unit for a large-scale operation, supported by expensive equipment, for the production and sale of gravel. Both the commission and the court accepted appellants’ contention that the highest and best use of the land at the time of the taking was for gravel mining.

The concept of market value of the condemned property at the time of taking is the standard for ascertaining the compensation to be paid the condemnee. United States v. Miller, 317 U.S. 369, 373-374, 63 S.Ct. 276, 87 L.Ed. 336 (1943); United States v. State of South Dakota, 329 F.2d 665, 668 (8th Cir. 1969).

The principal adverse effect of the flowage easement was the suspension of mining operations by reason of high water for a longer period. On the land *338 taken for levee, road and drainage easements, the commission considered the taking to be a total taking and allowed damages to the extent of the full market value of the land taken for such purposes.

The easement with respect to the un-mined gravel land was a flowage easement. The right to mine the gravel remained in the landowners. It is stipulated that the permanent elevation of the pool is 725 feet. The dam was considerable distance downstream from appellants’ land. The trial court states:

“The Commission indicated that among other things in arriving at its finding of diminution in value, it considered that: (1) the flowage easement caused by the Dam project would effect the sand and gravel operations when the water level reached 770 feet opposite the property in question which based on experience would be ‘once in 9 or 10 years for a limited period;’ (2) the restrictions against building a habitation for humans or a structure, without written consent of the Corps of Engineers; (3) the existence of levees; (4) the likelihood of flooding caused by the project; (5) no consideration was given to high water not caused by the project; (6) restrictions placed on the property by Iowa law not chargeable to the con-demnor. After reviewing the record concerning the aforementioned factors, as well as other considerations mentioned by the Commission in its report, and appearing in the record, the court finds that the Commission’s finding of $200 per acre diminution in value due to the flowage easement is amply supported by the evidence. The evidence indicates this property was subject to frequent flooding before the Dam was built. . . . ”

We now reach consideration of the errors urged.

I.

Appellants urge the court erred in receiving evidence over their objection of sales and sale prices of allegedly comparable properties in the absence of a satisfactory showing that the properties were comparable. The sole valuation witness for the Government, Hastings, qualified as an expert witness on real estate and gravel deposit properties and flowage easements. He cited evidence of a number of sales of gravel properties which he considered in his valuation of the property here in issue. One of such sales was that of tract 3217E for $420.-00 an acre some two years before. Appellants claim such sale was not comparable and that the unpumped gravel land was less than that described by the witness. Another sale was that of 20 acres of gravel land a few miles away for $1,000.00. The difference between the tracts just described and appellants’ land was fully developed.

As stated in United States v. Whitehurst, 337 F.2d 765, 775 (4th Cir. 1964):

“It is settled law that comparable sales are the best evidence of value. * * * Real property may be unique and the comparable sales too few to establish a conclusive market price, ‘[b]ut that does not put out of hand the bearing which the scattered sales may have on what an ordinary purchaser would have paid for the claimant’s property.’ United States v. Toronto, Hamilton & Buffalo Nav. Co., 338 U.S. 396, 402, 70 S.Ct. 217, 221, [94 L.Ed. 195] (1949).”

No two properties are exactly alike. The commission had before it full information as to the similarities and dissimilarities between the property here involved and that involved in the other sales. In United States v. 3,698.63 Acres, etc., North Dakota, 416 F.2d 65, 67 (8th Cir. 1969), we held:

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465 F.2d 336, 1972 U.S. App. LEXIS 7553, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-42189-acres-of-land-more-or-less-situated-in-marion-ca8-1972.