Lick Run Project
We were invited to speak at the South Fairmount Business Association monthly meeting to discuss eminent domain as it relates to the Lick Run Project in Cincinnati. Tonny Storey and I represented the firm and presented on the Ohio eminent domain process, discussed possible valuation issues specific to the affected properties, and also answered frequently asked questions.
If you’re not familiar with the $122M sewer project, you can read more about the Lick Run Project in our blog.
After viewing the affected properties and talking to business and land owners, both Storey and I agreed that highest and best use will be the most problematic valuation issue. Will the Metropolitan Sewer District (MSD) properly identify the appropriate highest and best use (HBU) for each property? Will they value properties as industrial when they could have a highest and best use of C1 or C2? Will they consider a HBU of commercial or industrial for some of the residential properties? Additionally, it will be interesting to see how they select their comps. Will they use low grade destination commercial instead of high quality impulse commercial comps? We’ll have to wait and see when offers start coming in for these business owners. Offers are currently being made to willing sellers; eminent domain will not be a factor for quite some time.