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Home Ports and Shipping

Port invokes eminent domain for land grab

byCT Report
22/04/2016
in Ports and Shipping
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CHULA VISTA: San Diego Port commissioners have invoked eminent domain on four acres of prime property on Chula Vista’s Bayfront that had been tangled up in prior agreements. Commissioners decided April 14 to move on UTC Aerospace Systems’ property at a cost of $1.6 million. The parcel is owned by Rohr, Inc., currently operating as UTC. The vote allows the process of eminent domain to begin, which port staff say is necessary for the Chula Vista Bayfront Master Plan project to proceed.

The master plan is a joint project between the port and Chula Vista to transform the roughly 550-plus acres into a waterfront destination. The California Coastal Commission approved the plan in August 2012.

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The port’s action on the land, also known as the triangle parcel, is a crucial part of the master plan with RIDA Development for a resort hotel and convention center. The plan also calls for a mix of retail, office, commercial and residential, along with public parks and open space.

Eminent domain gives government or a related agency the ability to take private property for public use with compensation. Simon Kann, deputy general counsel to the port commissioners, said the parties have been unable to reach an agreement on the acquisition price.

“We are aware that the Port has been authorized to acquire the parcel through eminent domain,” UTC Aerospace spokesman Patrick Palmer said. “As we have in the past, we will continue to work with the Port toward mutually acceptable terms for the acquisition and to progress development of the Chula Vista Bayfront Master Plan.”

A port spokeswoman said the agency is continuing direct talks with Rohr and is open to finding a negotiated solution. The triangle parcel lays on historical tidelands and was once part of a tidelands trust. It is currently being used as an auxiliary parking lot on UTC’s property at Marina Parkway and G Street in Chula Vista.

The parcel was transferred to Rohr, Inc. through a property exchange as part of a reconfiguration of the area in 1999. Kann said the related relocation agreement specifically anticipated acquisition of the triangle parcel by the port district when it became clear the parcel was necessary for future development of the area.

Port staff said they’ve reached out to UTC regarding the acquisition and when no deal was made, the process of eminent domain began. On Jan. 8 the district sent an offer to Rohr, Inc. to purchase the triangle parcel. The parcel was given an original appraised value of roughly $2.4 million. That was reduced because of environmental contamination and related cleaning, which would cause a delay, adding development costs and reducing the fair market value of the property to $1.6 million, Kann said.

No representatives from Rohr or members of the public spoke to the item during the April 14 meeting. With the Board of Port Commissioner’s approval, the port will file its case in court to continue with acquisition of the property, according to a port spokeswoman.

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