File: 050625F - From documents
transmitted: 04/24/2007
AFFIRMED;
Opinion Filed April 24, 2007.
In The
Court of Appeals
Fifth
District of Texas at Dallas
............................
No. 05-05-00625-CV
............................
MCKINNEY INDEPENDENT SCHOOL DISTRICT,
Appellant
V.
CARLISLE GRACE, LTD. and
GORDON M. GRIFFIN, JR. REVOCABLE TRUST, Appellees
.............................................................
On Appeal from the County Court at Law No.
Two
Collin County,
Texas
Trial Court Cause No.
002-1395-99
.............................................................
OPINION
Before Justices
Wright, O'Neill, and Lang-Miers
Opinion By
Justice Lang-Miers
This is a
condemnation case. In three separate transactions, appellee Carlisle
Grace, Ltd. acquired 89.714 acres of unimproved
contiguous real property in Collin County, Texas. The parties referred to the
property as the 56.43 acre tract, the 22.677 acre tract, and the 10.607 acre
tract, with the latter two acquisitions also referred to as the 33.284
acres.
Appellant McKinney
Independent School District (MISD) condemned the 56.43 acre tract for use as a high school. At trial, Carlisle Grace
sought compensation not only for the 56.43 acre tract taken but also for damages
to the 33.284 acres of “remainder” caused by the taking. It argued that the
highest and best use of the entire property was for low density residential
development. MISD argued there was no “remainder” because the 56.43 acre tract
it condemned was a self- sufficient economic unit. It also argued there was no
unity of use between the 56.43 acre tract and the 33.284 acres, contending the
33.284 acres were not reasonably adaptable to residential development because a
substantial portion of that acreage was subject to
flooding, See
Footnote 1
and Carlisle Grace did not prove it could get approval to develop the flood
plain. MISD sought to compensate Carlisle Grace only for the 56.43 acre
tract.
The issues were tried to
a jury. It found that the 56.43 acres taken by MISD and the 33.284 acres not taken “were joined by a unity of use by the same
proprietor into a single property consisting of the 89.714 acres in question.”
The jury found the market value of the 56.43 acre tract taken was $3,216,510,
and found damages to the remainder in the amount of $1,189,903. The trial court
entered judgment based on the jury's verdict.
At issue in this appeal
is whether the evidence is legally sufficient to support the jury's finding that the 56.43 acre tract and the 33.284 acres
were joined by a unity of use and, if so, the amount of damages to the
remainder. The specific issue we are asked to decide is whether the evidence is
legally sufficient to prove the 33.284 acres were reasonably adaptable to
residential development and whether the damages to the remainder were excessive,
even if the tract taken was not a single economic unit. MISD contends the
evidence was so speculative that it amounted to no evidence. Because we conclude
the evidence is sufficient, we affirm.
Standard of Review
When an appellant attacks
the legal sufficiency of an adverse finding on an issue on which it did not have the burden of proof, the appellant must
demonstrate there is no evidence to support the adverse finding. See Croucher
v. Croucher, 660 S.W.2d 55, 58 (Tex. 1983). In our review, we consider the
evidence in the light most favorable to the verdict, crediting favorable
evidence if reasonable jurors could, and disregarding contrary evidence unless
reasonable jurors could not. City of Keller v. Wilson, 168 S.W.3d 802,
807 (Tex. 2005). If the evidence would enable reasonable and fair-minded jurors
to differ in their conclusions, the evidence is legally sufficient. See
id. at 822. But evidence that is mere suspicion or surmise is no evidence.
See Browning-Ferris, Inc. v. Reyna, 865 S.W.2d 925, 928 (Tex. 1993);
Capital Metro. Transp. Auth. v. Cent. of Tenn. Ry. and Nav. Co., Inc.,
114 S.W.3d 573, 578 (Tex. App.-Austin 2003, pet. denied). Additionally, an
expert's opinion testimony is not legally insufficient because it lacks market
data to support the opinion. See Tex. Elec. Serv. Co. v. Wheeler,
551 S.W.2d 341, 342-43 (Tex. 1977) (per curiam) (op. on reh'g). Lack of
supportive market data tends to diminish the reliability of expert testimony,
but this is a factor for the jury to consider in determining the credibility of
the expert's testimony. See id.
Under this review, jurors
are the sole judges of the credibility and weight of the witnesses' testimony. City of Keller, 168 S.W.3d at
819. Jurors may disregard even uncontroverted expert testimony unless the
subject matter is one for experts alone. Id. at 820; State v. ADSS
Props., Inc. 878 S.W.2d 607, 614 (Tex. App.-San Antonio 1994, writ
denied).
Applicable Law
A. Evidence of Reasonable
Adaptability
The trial court must
initially determine whether evidence establishes a reasonable probability that existing restrictions on development will be
lifted within a reasonable time when it decides whether to admit or exclude
evidence that property is reasonably adaptable to a particular use. City of
Austin v. Cannizzo, 153 Tex. 324, 267 S.W.2d 808, 814-15 (1954). Evidence of
probable future changes in those restrictions and valuation of property based on
that probability is not inadmissible merely because there are restrictions on
development. State v. Kinsloe III, 716 S.W.2d 699, 702 (Tex. App.-Corpus
Christi 1986, no writ). We will not reverse the trial court's decision to
admit or exclude evidence of reasonable adaptability unless appellant shows an
abuse of discretion. Cannizzo, 267 S.W.2d at 814-15. In this case,
MISD does not argue the trial court abused its discretion by admitting the
evidence. Instead, it complains that the evidence is legally insufficient. And a
party may challenge the sufficiency of evidence presented through testimony even
though the party does not question the admissibility of that testimony. See
Merrill Dow Pharm., Inc. v. Havner, 953 S.W.2d 706, 714 (Tex. 1977) (party
may raise sufficiency of evidence of expert testimony without objecting to
admissibility of testimony).
B. Unity of Use
McLennan County v.
Stanford, 350 S.W.2d 208, 209 (Tex. Civ. App.-Waco 1961, no writ) stated the general rule for determining whether
property is a single tract of land or separate tracts:
Where separate, but
contiguous tracts are integral parts of an entity under common ownership in such physical and functional relationship that
they are joined by unity of use by the same proprietor into a single property,
they will be treated as a whole in assessing damages to the remainder in the
taking of a part.
Id. (citations omitted). See also Austin v. Capitol
Livestock Auction Co., 453 S.W.2d 461, 463
(Tex. 1970) (basis for damages to remainder tract is unity of use and unity of
ownership). Property has a unity of use if the tracts are “devoted to an
integrated unitary use or if the possibility of their being so combined for a
unified use in the reasonably near future is such as to affect market value.”
So. Pipe Line Corp. v. Deitch, 451 S.W.2d 814, 818 (Tex. App.-Corpus
Christi 1970, writ ref'd n.r.e.); see Calvert v. City of Denton, 375
S.W.2d 522, 524-25 (Tex. Civ. App.-Fort Worth 1964, writ ref'd
n.r.e.).
C. Fair Market Value
In Texas condemnation
law, market value properly reflects all factors that buyers and sellers would consider in arriving at a sales price. City
of Harlingen v. Estate of Sharboneau, 48 S.W.3d 177, 185 (Tex. 2001);
Cannizzo, 267 S.W.2d at 815. The Texas Supreme Court
stated:
In the willing seller-willing buyer
test of market value it is frequently said that all factors should be considered which would [citation omitted]
reasonably be given weight in negotiations between a seller and a buyer.
[citations omitted] This would exclude consideration of purely speculative uses
to which the property might be adaptable but wholly unavailable but would permit
consideration of all uses to which the property was reasonably adaptable and for
which it was, or in reasonable probability would become, available within a
reasonable time.
Cannizzo, 267 S.W.2d at 814.
In
determining market value of property taken and not taken, the jury should
base its award on the highest and best use of
the property. See So. Pipe Line Corp., 451 S.W.2d at 818-19
(determination of damages to remainder does not depend upon uses to which
property devoted at time if possibility of tracts being combined for unified use
in reasonably near future affects market value). When the highest and best use
of land is disputed, the jury decides which use is appropriate when it
determines market value. See ADSS Props., Inc., 878 S.W.2d at 614.
Existence of and
Damages to the Remainder
In its first
and second issues, MISD argues the evidence is legally insufficient to
support the jury's finding of the existence of
and damages to the remainder.
A. Expert Testimony
Carlisle Grace's Engineering
Expert
Carlisle Grace's
engineering expert, William Anderson, testified that the 33.284 acres were reasonably adaptable to residential development.
MISD first argues Anderson's opinion was based on speculation and unfounded
assumptions and constituted no evidence because he did not conduct engineering
and hydrology studies to show that the flood plain was reasonably adaptable to
development. It was undisputed that Carlisle Grace did not conduct the studies
required to obtain governmental approval to develop in the flood plain. MISD
also argues its experts rebutted Anderson's opinion with undisputed evidence
that the 33.284 acres were not reasonably adaptable to residential development
because there was no possibility the necessary approvals would be given absent
the appropriate engineering and hydrology studies. Without these studies, MISD
argues, the evidence is conclusive that the City would not consider reclamation
of the flood plain or dam breach areas, would not rezone those areas for
residential development, and would not issue the necessary permits for either
reclamation or redevelopment. Essentially, MISD argues, without the engineering
and hydrology studies, Carlisle Grace offered no evidence the property is a
single economic unit reasonably adaptable to residential use.
But, the law
does not require Carlisle Grace to show that the use had already been approved. Instead, it must show that the 33.284 acres
were reasonably adaptable for development. See Canizzo, 267 S.W.2d
at 814-15; State v. Tigner, 827 S.W.2d 611, 613 ( Tex. App.-Houston [14th
Dist.] 1992, writ denied) (expert appraiser could base opinion restrictions
would be lifted on vast experience in real estate market without polling
homeowners about approval to lift restrictions). And here, Carlisle Grace did
not contend that the entire 33.284 acres was adaptable to residential
development. To the contrary, it argued only that seven to ten acres of the
33.284 acres would possibly be developed and the rest would be used to provide
amenities that did not require construction in the flood plain.
Anderson
testified he considered the 89.714 acre tract as one property and that the 33.284 acres in the flood plain contributed to the
value of the 56.43 acre tract because the low land offered a buffer from nearby
developments and provided an opportunity to create amenities such as ponds,
sports courts, and hike and bike trails that prospective buyers find desirable.
He concluded the highest and best use of the entire tract was residential
development. In fact, Anderson testified that when William Carlisle initially
contacted him about the feasibility of developing the 56.43 acre tract, he
suggested that Carlisle purchase the adjoining property for several reasons,
including gathering density, open space for amenities, sanitary sewer
availability, and drainage. At that time, Anderson did not know MISD was seeking
to condemn the 56.43 acre tract for a high school.
Anderson discussed two
similar properties in the vicinity of the 89.714 acre tract. One is immediately south of the subject property and had been
rezoned by the City to allow single-family residential development in flood
plain land. Anderson was involved in the rezoning on one of those projects.
Anderson described his extensive experience in developing similar properties and
obtaining approvals from municipalities for development in a flood plain. He
testified that, based on this experience, his evaluation of the subject
property, and his review of the City's documents for development of similar
properties, a portion of the 33.284 acres could be developed without requiring a
FEMA reclamation of flood plain land, with the remaining portion used to develop
amenities such as hike and bike trails, sports courts, and
ponds.
MISD contends Urban
Renewal Agency of City of Austin v. Georgetown Savings & Loan Association, 509 S.W.2d 419 (Tex. Civ.
App.-Austin 1974, writ ref'd n.r.e.), supports its position that Anderson's
testimony constituted “no evidence” and is on point. We disagree. In Urban
Renewal, the landowner whose property was subject to condemnation, offered
evidence that the property was suitable for development as an office site
although construction of an office building was prohibited by city codes because
it would require construction in a creek bed. The court stated that the
landowner's entire case “was centered on the proposition that the entire tract
was suitable for use and development as an office site” and the witnesses
testified on value based on this assumption. Id. at 420. But the
landowner did not offer any evidence, other than this assumption, that it was
reasonably probable that city codes would be changed to permit construction in
the creek bed. Id. at 421.
In this case, unlike in
Urban Renewal, Carlisle Grace's engineering expert testified about the underlying data he used to produce his
development feasibility report for the property. He stated that the City's
comprehensive plan for the property showed future land use of the property as
low density residential. And Anderson described his extensive experience with
zoning issues and FEMA reclamations, testifying that one hundred percent of his
FEMA reclamation applications have been approved. When asked whether it was
reasonably probable that his plan for development of the 33.284 acres would be
approved, Anderson said, “Yes,” and explained that he and his firm “have
experience with zoning of this similar nature in reclamations,” “a tremendous
amount of experience in doing flood studies,” “this particular tract of land
[does] not have a heavy forested area adjacent to the creek [that could cause
flooding problems],” and “[the plan does not call for a] FEMA flood plain
reclamation.” Consequently, Urban Renewal is
distinguishable.
We did address a similar
issue in City of Richardson v. Smith, 494 S.W.2d 933 (Tex. App.-Dallas 1973, writ ref'd n.r.e.). That case involved a
partial taking with no claim of damage to the remainder. The issue was whether
the part taken must be valued as a separate tract or as a part of the whole. The
evidence showed that the part taken could best be used as a part of the whole
and would be less valuable if used separately. We concluded that omission of the
added value which the part taken would have when used in connection with the
remaining land would deprive the landowner of the full compensation to which he
was entitled and held the trial court correctly excluded the testimony of the
city's appraisers concerning the value of the part taken as a separate and
unrelated tract. Id. at 936, 938.
In summary, Anderson
testified the 56.43 acre tract was more valuable as a part of the entire 89.714 acre tract because the 33.284 acres would
contribute valuable recreational and green space to the development. MISD's
experts disagreed about the feasibility of developing the 33.284 acres for
residential use and concluded the 56.43 acre tract was a self-sufficient
economic unit. However, opinions are not legally insufficient simply because the
opinions contradict one another. Instead, the opinions raise fact issues which
the jury must resolve. See City of Keller, 168 S.W.3d at 820 (it is
province of jury to resolve conflicts in evidence); ADSS Props., Inc.,
878 S.W.2d at 614 (jury may accept or reject opinions of expert witnesses).
We conclude Anderson's testimony
was not speculative or based on unfounded assumptions.
Carlisle Grace's Expert Appraisers
MISD raises
similar complaints about the legal sufficiency of the testimony of Carlisle Grace's expert real estate appraisers, David Bolton
and Wendell Pyles. Additionally, MISD contends the evidence will not support
Bolton's testimony concerning the market value of the 33.284
acres.
Bolton
Bolton testified he
valued the 89.714 acre tract as a single property. He described the process he used to appraise the 89.714 acre tract and how
he determined that the 56.43 acre tract and the 33.284
acres were a single economic unit. See Footnote 2
He explained how the 33.284 acres contributed to the enhancement of the 56.423
acre tract.
Bolton also testified
about the fair market value of the 89.714 acre tract. He described the comparable sales he reviewed and how he
adjusted their values to reach his opinion about the fair market value of this
property. He concluded that the 89.714 acre tract had a fair market value of
$65,000 per acre, or $5,831.410, before the taking. He testified the fair market
value of the remainder prior to the taking was $2,163,950. He estimated the fair
market value of the remainder after the taking at $1,000 per acre, resulting in
$2,130,666 in damages to the remainder.
See Footnote 3
MISD argues
Bolton's opinion is speculative because he did not locate any comparable sales with similar characteristics found on the
subject property. But MISD's appraiser used three of the same comparables Bolton
used; he just had a different opinion. And comparable sales are just that; they
are not required to be identical. Estate of Sharboneau, 48 S.W.3d at 182
(under comparable sales analysis, appraiser finds data for sales of similar
property, makes upward or downward adjustments to sales prices based on
differences in subject property); Harris County Appraisal Dist. v. Kempwood
Plaza Ltd., 186 S.W.3d 155, 159 (Tex. App.-Hous. [1st Dist.] 2006, no pet.)
(discussing comparable sales method). Moreover, whether an expert's appraisal is
based on non- comparable sales is an issue for the trial court when determining
admissibility of the expert's opinion concerning the market value of the
property. See City of Garland v. Joyce, 462 S.W.2d 86, 88 (Tex. Civ.
App.-Waco, 1970, writ ref'd n.r.e.) (holding opinion testimony of sales should
have been excluded because opinion not based on comparable sales). And here,
MISD does not complain about the admissibility of Bolton's
testimony.
MISD also argues Bolton's
appraisal assumed the 33.284 acres would be used for an “amenity package” that included water features and playgrounds
available for the exclusive use of the homeowners. It argues this assumption was
wrong for two reasons and, as a result, Bolton's testimony constitutes no
evidence: the City does not allow any construction in the dam breach inundation
area without consent of the adjacent landowner or a hydrology study showing the
reclamation would not affect any surface area; and the City's park ordinance
requires the developer to dedicate 15 acres of the 33.284 acre tract for use as
a public park.
Although MISD argues his
assumptions were wrong, there was other evidence that supported Bolton's assumptions. First, MISD called the City's
assistant engineer, Michael Hebert, as a witness to testify about the City's
ordinances with regard to the flood plain engineering issues and their
applicability to the property. On cross-examination, Hebert testified about the
City's ordinance that prohibits construction in the dam breach inundation area
without consent of the adjacent landowner or a hydrology study showing the
reclamation would not affect any surface area. He testified it was possible to
build a ball field and hike and bike trails in the floodway without any
reclamation, provided no fill material was added, or to build a lake in that
area to capture excess water. And he testified that if the engineering
guidelines are met, an application for reclamation has a 100 percent chance of
approval. Additionally, Anderson, Carlisle Grace's engineering expert, testified
he did not seek approval of his plan from adjacent landowners because their
approval was only required if he raised the water level, which his plan did not
do. Finally, and with regard to the issue whether a portion of the property
would have to be dedicated as a public park, the City's director of planning
testified that the City's park director frequently chooses to accept a cash
payment in lieu of the dedicated park land and that the decision is generally
based on whether the land is suitable for use as a park.
In summary,
Bolton based many of his conclusions on Anderson's engineering report, which we previously concluded was not based on
speculation or unfounded assumptions. Bolton also described in detail how he
reached his opinion about the fair market value of the property. We conclude
Bolton's testimony was not based on speculation or unfounded
assumptions.
Pyles
Pyles
testified the City retained him in the year 2000 to appraise the 89.714
acre tract for possible condemnation. His
appraisal considered the 89.714 acre tract as one property and concluded the
highest and best use was single family residential. MISD argues Pyles's opinion
was speculative because he admitted that when he conducted his appraisal he was
not aware that all of the 22.677 acre tract was within the flood plain. But
whether Pyles considered that the 22.677 acre tract was within the flood plain
when he prepared the appraisal in 2000 does not affect the legal sufficiency of
his opinion. Instead, it goes to the weight to be given his opinion and was an
issue to be resolved by the jury in this case. See ADSS Props., Inc., 878
S.W.2d at 614. And Pyles echoed Anderson's opinion that the 33.284 acres
enhanced the 56.43 acre tract because it could be used in the residential
development as a greenbelt. We conclude Pyles's testimony was not based on
speculation and unfounded assumptions.
We also conclude the
testimony of Carlisle Grace's experts is legally sufficient to support the jury's verdict.
We overrule MISD's first
issue.
B. Carlisle Grace's Lay
Testimony
MISD next argues the lay
testimony of William Carlisle and Steve Goodman is legally insufficient to prove the 56.43 acre tract was an integral part
of the 89.714 acre tract. It argues Carlisle's opinion was based on a
hypothetical subdivision which he was allegedly planning to build. MISD contends
the evidence showed Carlisle Grace had not taken any predicate steps to
construct the subdivision, such as applying for a zoning change, conducting
engineering and hydrology studies, and applying for the necessary permits and
approvals. MISD argues Carlisle's testimony was so speculative as to constitute
no evidence.
However, we do not reach
this issue because we previously concluded the expert testimony is itself legally sufficient to support the
verdict.
Damage to Remainder
In its third issue, MISD
argues the evidence is legally and factually insufficient to support the jury's damages award to the remainder because
Carlisle Grace sought damages only for denial of access to the remainder
resulting from the taking. In a subpart of this issue, MISD argues the trial
court erred by failing to limit the jury's consideration of damages to denial of
access. In a second subpart of this issue, MISD complains of charge error in the
submissions to the jury on unity of use and single economic unit.
A. Limiting Carlisle Grace's
Claim to Denial of Access
MISD
contends Carlisle Grace sought damages solely for denial of access to
the 33.284 acres. Accordingly, MISD argues the
evidence is legally and factually insufficient to support the jury's damages
award and the trial court erred by not limiting the jury's consideration of
damages to the remainder resulting only from a denial of access. To support
these arguments, MISD cites us to Carlisle Grace's pleadings and admissions,
arguing Carlisle Grace judicially admitted it was seeking damages solely for
denial of access. We disagree. We have reviewed the pleadings, admissions, and
the reporter's record and conclude they do not support MISD's arguments that
Carlisle Grace sought damages only for denial of access. Instead, the record
shows Carlisle Grace sought damages generally for the diminution in the market
value of the remainder as a result of the taking of the 56.43 acre tract. As a
result, we do not need to decide whether the evidence is legally and factually
sufficient to support the damages award under only a denial of access theory or
whether the trial court erred by not limiting the jury's consideration of
damages to only denial of access.
B. Jury Charge: Single
Economic Unit and Unity of Use
MISD also argues the
trial court erred by failing to submit a jury question on the “extent of the single economic unit” despite a proper and
timely request.
Rule of civil procedure
278 requires the trial court to submit instructions and definitions to the jury as are necessary to enable the jury to render a
verdict. See Tex. R. Civ. P. 278; Elbaor v. Smith, 845 S.W.2d 240,
243 (Tex.1992); Rosell v. Central West Motor Stages, Inc., 89 S.W.3d 643,
653 (Tex. App.-Dallas 2002, pet. denied). We review the trial court's submission
of instructions and jury questions under an abuse of discretion standard.
Rosell, 89 S.W.3d at 653; Toles v. Toles, 45 S.W.3d 252, 263 (Tex.
App.-Dallas 2001, pet. denied). The trial court has broad discretion in
submitting jury questions so long as the questions submitted fairly place the
disputed issues before the jury. Rosell, 89 S.W.3d at 653; Toles v.
Toles, 45 S.W.3d at 263. This broad discretion is subject only to the
limitation that controlling issues of fact must be submitted to the jury.
Wright Way Constr. Co. v. Harlingen Mall Co., 799 S.W.2d 415, 422 (Tex.
App.-Corpus Christi 1990, writ denied) (op. on reh'g); Rosell, 89 S.W.3d
at 653. Controlling issues may be submitted to the jury by questions,
instructions, definitions, or through a combination thereof. Tex. R. Civ. P.
278; Wright Way Constr. Co., 799 S.W.2d at 422; Rosell, 89 S.W.3d
at 653. When submitting the jury charge, a trial court is afforded more
discretion when submitting instructions than when submitting questions.
Rosell, 89 S.W.3d at 653; Wal-Mart Stores, Inc. v. Middleton, 982
S.W.2d 468, 470 (Tex. App.-San Antonio 1998, pet. denied).
MISD
requested the following instructions and question:
You are instructed that “unity of
use” means that portion of the property that is economically self[-]sufficient to support the highest and best
use.
An “economic unit” is that portion of a whole property that is
economically self- sufficient to support a
highest and best use independent of any remaining portion of the whole
property.
Do you find from a preponderance of the evidence that [the] tract taken
by [MISD] is not a self-sufficient economic
unit, independent of the remainder of the parent tract?
The trial court denied
MISD's requested jury question and instructions and submitted the following:
When property consists of separate
tracts that are contiguous and are integral parts of a whole in such physical and functional relationship that they are joined
by a unity of use by the same proprietor into a single property, they will be
treated as a whole in determining whether there have been damages to a remainder
in the taking of a part of the whole. In determining “unity of use,” you should
consider the highest and best use definition above.
The court defined “highest and best
use” as:
“Highest and best use” is the reasonably probable and legal use of vacant
land, which is physically possible,
appropriately supported, financially feasible, and results in the highest value.
The four criteria the highest and best use must meet are legal permissibility,
physical possibility, financial feasibility, and maximum
profitability.
The jury was asked to answer the following question:
Do you find from a
preponderance of the evidence that the 56.43 acres taken by [MISD] and the 33.284 acres not taken on August 29, 2003, were
joined by a unity of use by the same proprietor into a single property
consisting of the 89.714 acres in question?
The jury answered, “Yes.”
MISD argues the charge should
have asked the jury to determine whether the
56.43 acre tract was a self-sufficient economic unit. If the jury concluded it
was, then, MISD argues, there is no remainder and the jury should not have
considered whether there were damages to the remainder. We
disagree.
It was undisputed that
the 56.43 acre tract was a self-sufficient economic unit and that it was reasonably adaptable to residential
development. But the proper inquiry is whether the tracts should be considered
as a whole. The real issue here is whether the 33.284 acres contributed value to
the 56.43 acre tract such that they should be considered as one property.
Richardson, 494 S.W.2d at 936. As we stated in Richardson, if the
highest and best use of a whole tract is to develop and use it as a whole, then
the part taken may be valued at less than its true worth if it is considered
separately from the remaining land and not as part of the whole. Id. And,
as the supreme court stated:
[W]hen the portion of the land taken by the State, considered
without reference to the remainder, cannot be
considered an independent economic unit reflecting the highest and best use of
the property and would thus deprive the land owner of adequate compensation for
the part taken if considered solely as severed land, . . . the market value must
necessarily be determined by considering some portion or all of the remainder in
order to construct an economic unit.
State v. Windham, 837
S.W.2d 73, 76 (Tex. 1992).
Based on our examination
of the evidence and case law, we conclude the trial court did not abuse its discretion by denying MISD's requested jury
instructions and question.
We overrule MISD's third
issue.
We affirm the trial
court's judgment.
ELIZABETH
LANG-MIERS
JUSTICE
050625f.p05
Footnote
1
Much of the 33.284 acres is located within the 100-year flood plain defined by
the Federal Emergency Management Agency (FEMA)
or within the dam breach innundation area defined by National Resources
Conservation Service (NRCS) (collectively referred to as the flood
plain).
Footnote
2
MISD objected when Bolton was asked whether it was physically possible to
develop the 89.714 acre tract as low density
residential, contending that Bolton had not been qualified to give this opinion.
But Bolton testified he relied on the engineer's report and conclusions for
engineering matters. Additionally, MISD does not raise this as an issue on
appeal. But even if it had been raised, any error in admitting Bolton's
testimony was harmless because the same evidence came in through other
means.
Footnote
3
The jury returned a verdict of $3,216,510 for the 56.43 acre tract taken by
MISD, or $57,000 per acre, and $1,189,903 for
damages to the 33.284 acres not taken by MISD, or $35,750 per acre, within the
values testified to by Bolton.
File Date[04/24/2007]
File Name[050625F]
File
Locator[04/24/2007-050625F]