The Ohio Supreme Court today unanimously ruled that the city of Norwood could not forcibly acquire individuals’ homes and property for economic purposes, deeming parts of the state's eminent domain laws unconstitutional.
The ruling threatens the future of Rookwood Exchange, a mixed-use development that would have included housing, offices and retail. Crate & Barrel (Northbrook, Ill.) was known to be one of the retailers considering the site.
A number of homes had been forcibly acquired by the city early this year, after the Hamilton County Common Pleas Court cleared the way. The city's argument hinged on studies that deemed the area “blighted.” The judges said that using the term “deteriorating area” as a standard for determining whether private property can be forcibly acquired is “overly vague and therefore void.”
The ruling overturned a portion of Ohio's eminent domain law, saying a government cannot take private property based on the economic benefits to the community. The court also said a provision of the state's law, prohibiting a judge from halting the taking of a government-acquired property before an appeal, is unconstitutional, as well.