Stradmore Development Corp. v. Commissioner of Transp.

• Decision Date: 17 May 1977
• Citation: 173 Conn. 112,376 A.2d 1095
• Court: Connecticut Supreme Court
• Parties: STRADMORE DEVELOPMENT CORPORATION v. COMMISSIONER OF TRANSPORTATION.

Page 1095

376 A.2d 1095

173 Conn. 112

STRADMORE DEVELOPMENT CORPORATION v. COMMISSIONER OF TRANSPORTATION.

Supreme Court of Connecticut.

Argued March 2, 1977.

Decided May 17, 1977.

Robert P. Burns, New Haven, with whom was David E. Shiffrin, New Haven, for appellant (plaintiff).

William A. McQueeney, with whom were Kenneth N. Tedford, Asst. Attys. Gen., and, on the brief, Carl R. Ajello, Atty. Gen., for appellee (defendant).

Before HOUSE, C. J., and LOISELLE, BOGDANSKI, LONGO and BARBER, JJ.

LONGO, Associate Justice.

This proceeding arose from the taking by eminent domain proceedings of a parcel of the plaintiff's land located in New Britain. The commissioner of transportation assessed damages at $250,500 and the plaintiff appealed to the Superior Court. The appeal was referred to three state referees, who, exercising the powers of the Superior Court, reassessed the fair market value of the land as $491,200 and awarded appraisers' fees in the amount of $10,000 and engineering fees in the amount of $5000. The plaintiff has appealed from the judgment, claiming error in the computation of the number of dwelling units which could have been built on the property, the value of the unfinished building, the cost of constructing adequate sewage facilities and the amount awarded for engineering fees.

The facts found and conclusions reached by the court include the following: The plaintiff purchased the property in 1968 for the sum of $200,000, which included a $5000 down payment and a mortgage covering the balance. The irregularly shaped parcel included 12.56 acres and was subject to a sewer easement, a right of way and leaching field rights in favor of the grantors. The grantors also gave the plaintiff a parking easement over part of the grantors' land which contained approximately 55,000 square feet. The property taken included a partially completed building and the parties stipulated that the value of the labor and materials was $135,000 subject to the right of the commissioner to offer proof that the structure was worthless because it was being constructed in violation of the state and municipal building codes. There were extensive and serious violations of the state building code, the correction of which would require massive structural revision and, therefore, the building had a value of only $16,375, representing the worth of the foundation. The property also lacked any sewage facilities. There were four possible routes over which sewage lines might have been run connecting the property with main sewage lines. The first ran along Hartford Road through rock and a peat bog. The second ran through a public park, which route had been the subject of prior litigation. See Stradmore Development Corporation v. Commissioners, 164 Conn. 548, 324 A.2d 919. The final two routes ran through private land across which easements had not been obtained. A willing buyer, therefore, informed of the legal matters and expense concerning construction of a sewer through a public park or over private property would base his cost upon constructing the sewer along Hartford Road at a cost of $160,000.

The plaintiff first assigns error in the court's exclusion of the parking easement area from their computation of the number of dwelling units which the property could support. The property taken was located in an A-3 zone, which permitted the development of 34.8 units per acre. The court, after hearing conflicting testimony, concluded that the highest and best use of the property would be for the development of luxury apartments at a density of twenty-two units with a value of $2300 per unit. The plaintiff does not contest the density or value per unit figures, but assigns error to the court's conclusion that only the 12.56 acres held in fee were subject to this type of development and not the additional 1.26 acres on which the plaintiff held a parking easement. Under our law, fair market value is to be determined according to the use to which the property could most advantageously be put and it was for the court to determine that use. Connecticut Printers, Inc. v. Redevelopment Agency, 159 Conn. 407, 411, 270 A.2d 549. The court clearly acted properly in concluding that land over which the plaintiff held a parking easement was not available for the same use as land which the plaintiff held in fee. Furthermore, based on testimony offered at trial, the court was justified in refusing to allow any compensation for loss of the easement, since its value was offset by encumbrances on the land.

The plaintiff next claims that the court should have awarded it $135,000 as the stipulated value of the uncompleted structure on the property at the time of the taking. As stated previously, the parties entered into a stipulation which was incorporated into a finding of the court concerning the value of the structure, which the plaintiff has not attacked. This finding reads: "Plaintiff and defendant stipulated that if the court found the structure being built on the property by plaintiff at the time of taking could be continued being built, as it was at the time of the taking, that the court could by agreement of the parties find the value of the labor and materials to be $135,000 with the state reserving the right to offer proof (that) the incomplete structure had no value because it was being constructed in violation of the laws of the State of Connecticut and the City of New Britain." A later finding which the plaintiff attacks as being contrary to the stipulation of the parties states: "The partially built building suffered from incurable functional obsolescence to the extent that the foundation only had value which is reasonably found...