Homeowners and businesses located near a busy road or highway may initially feel excited about a newly-announced expansion project. More traffic could mean an increase in property values or revenue for the business.
However, highway expansions and similar projects can also have negative consequences for nearby property owners. Some people lose their homes and business properties to eminent domain and condemnation proceedings. Others may find that the highway expansion has an overall negative impact on their ability to access and use the property as they previously had.
A homeowner living next to a recently expanded highway may find that the increase in traffic and the higher rate of speed that accompanies increased traffic makes getting in and out of their driveway prohibitively difficult. Impairment of access issues can lead to litigation in the hopes of obtaining compensation.
Inaccessible properties may drop in value
When a homeowner cannot easily and reliably access a property, the value of the property may decline. If they attempt to sell the property, prospective buyers are likely to consider the difficulty involved in accessing the property when they determine whether they want to make an offer and how much they think the property is worth.
For business owners, access issues might mean that customers pass them by and start patronizing other businesses. If they view getting in and out of the parking lot as a safety hazard, they may do their shopping elsewhere. When impairment of access caused by a road expansion negatively affects property values or business revenue, it may be possible to take legal action.
Reverse condemnation is the process through which real property owners hold the authorities that completed the project accountable for the negative impact that project has on property values. They may be able to receive compensation for the impact that the expanded roadway has had on their access to the property. Such cases often require careful preparation.
It can be difficult to accurately quantify how challenges involving property access affect the value of a property and the finances of the owner. Property owners negatively affected by recently expanded roadways may need help addressing the complications that arise after the completion of the project. Seeking compensation in civil court is a reasonable reaction for those whose biggest investment declines in value due to circumstances outside of their control.