Real Estate Law, Imminent Domain and the DHS Considered – Real Estate Law

Just when you thought you knew everything about real estate law, there comes along something that changes everything. Let me explain something that recently happened to a friend of mine that owns a coin op carwash and a mini storage unit does right by an airport. The new Department of Homeland Security laws requires that each Airport have a buffer zone between the airport fence and the rest of the world. This is to protect against so-called terrorists coming onto the airport property or firing a weapon over the fence.Despite what you might think about such a topic, or how you lean politically this can be a huge problem if you own a piece of property that is adjacent to the airport. In this case, my friend found that his properties were cut in half by imminent domain and the government bought the properties at the bottom of the market. When they cut off the back of his coin op carwash, it was no longer usable and therefore he had to tear down the facility because he couldn’t make money with it any longer.There simply was not enough room to turn around in vehicles and therefore no one came to get their cars washed anymore. He couldn’t sell the carwash equipment or the building to anyone else for the same reason. They didn’t give him enough to pay for his losses but he was stuck.He originally purposely put the carwash and the mini storage unit next to the airport because he knew someday that land would be worth more. So even though his businesses were barely making the payments as it was during the recession he figured that his investment was safe and he was going to use that money to retire someday when he sold the properties in 20-years.Just because you think you know real estate law, does not mean that your investments are safe. Please consider all this.