Scandal over NY State Using Eminent Domain for Columbia University

The NY Times has this:

The Empire State Development Corporation today declared blighted a 17-acre swath of Manhattanville where Columbia University is seeking to expand, a major step toward allowing the state to use eminent domain to acquire the property of two businesses that have declined to sell their land to the university.

Opponents of the $6 billion expansion plan said the results of the study that found the area to be blighted were a foregone conclusion, because AKRF Inc., the firm hired by the state to conduct the report, known as a blight study, had also performed an environmental analysis of the same site for Columbia University. (Two courts have questioned whether it was appropriate for the state to have used the same consultant that Columbia did.)

The report by AKRF found that the area mostly comprised “aging, poorly maintained and functionally obsolete industrial buildings with little indication of recent reinvestment to revive their generally deteriorated condition.” . . .

Eminent Domain Leads to Blackmail

So did the Supreme Court Justices who voted for Kelo forsee this consequence of their decision? Yet, in some sense it is not much of a different outcome than the power to tax.

Bart Didden wanted to put a CVS pharmacy on his property in Port Chester, N.Y. He even obtained approvals from the local planning board.
But because a portion of the CVS site was in a blighted redevelopment zone, Mr. Didden was told that planning board approval wasn't enough. He'd have to reach an understanding with a private company that had been selected by Port Chester officials to control all construction inside the renewal zone.

The developer, Gregg Wasser of G&S Port Chester, told Didden he'd have to pay $800,000 or give G&S a 50 percent stake in the CVS business. If Didden refused, Mr. Wasser said, he would have Port Chester condemn and seize his property and instead of a CVS he'd put a Walgreens drugstore on the site.

Didden refused. The next day, the Village of Port Chester began legal proceedings to seize Didden's land by eminent domain.. . . . .