Wednesday, August 01, 2007

Feds use Eminent Domain to Extend a lease?

GSA uses "eminent domain" to force a private landlord to extend a government lease? Surely there is more to could a judge presume this sort of power for the federal government?


The federal government's lease expired Tuesday in downtown's Guaranty Building, but that didn't mean employees with the Internal Revenue Service and the Drug Enforcement Administration were put out on the street.

Government attorneys went before a federal judge and through the power of eminent domain, got themselves an extended lease in the venerable landmark at 28 Church St., bringing a temporary halt to the $12 million renovation of the Louis Sullivan designed skyscraper.

The General Services Administration, in return for its forcing the continued presence of the IRS and DEA on the building owner, the Buffalo law firm of Hodgson Russ, wrote two rent checks totaling $271,353.34.