by Mike Sharkey
Staff Writer
In order to one day move several offices from the City Hall Annex on Bay Street, the City has started eminent domain and condemnation proceedings to acquire the old Haverty’s building across the street from City Hall. And those proceedings not only caught the building’s owner — Philip A. Browning — by surprise, but don’t sit well with Browning, either.
“One, that’s news to me,” said Browning who owns Atlanta-based Striton Properties. “Two, my understanding of the eminent domain process is that there has to be a vested public interest before a governmental body can take private property.
“That’s my building.”
Browning, who once lived in Jacksonville, purchased the building in 1981 with every intention of moving his offices downtown. However, once he realized downtown was on the edge of an economic downturn, Browning scrapped his renovation plans and moved to Atlanta. For the past 21 years he has been paying property taxes on the building and turning down dozens of offers to sell the building, including recent offers from the City.
“I have no reservations about reaching a business transaction with the City of Jacksonville to lease space in my building,” said Browning. “The City is trying to penalize me for owning the building and that’s a tough row to hoe. Just because they want convenient office space and not pay market rate for rent, that’s another story.
“I’ll be represented by very competent counsel. We’re talking about a major litigation here.”
Browning contends the City has no right to take his property. Unlike the new arena, ball park, library and courthouse — all of which Browning admits certainly have public uses — condemning his property for the sake of adding office space is not only illegal, but doesn’t demonstrate a true public use.
“If the property was going to be used for a highway interchange or new sewer lines and it was the only place those could go, that would be one thing,” said Browning. “But the City is saying, if you won’t do the economic business deal we want to do, we’ll take your property. Fine, but what’s the public purpose?”
When asked why he wouldn’t sell the property to the City, Browning said if he wanted to do that he would have done it years ago, either to the City or one of many other interested buyers.
“I don’t want to sell it, never have,” said Browning. “I’ve had numerous opportunities to sell the building and I get calls all the time.”
Cindy Laquidara, the City’s assistant general counsel, said her office is confident their case would hold up in court if the matter gets that far.
“He [Browning] doesn’t get to decide what can be considered for eminent domain,” said Laquidara, adding the City believes using the building for administrative office space constitutes public use. “They are public employees and they need to be in a public building. If it’s cost efficient to be in that building, then that demonstrates a true public use.
“We are comfortable with opposition and you never go into an eminent domain case lightly.”
Laquidara said the City would be obligated to pay Browning fair market value, an amount determined by a good faith estimate of the property. According to the property appraiser’s website, Browning paid $600,000 for the property in 1981 and has paid roughly $200,000 in property taxes the past 21 years. The building has a current market and assessed value of $495,323.
Laquidara also said there’s always the possibility the City and Browning could reach a sales agreement and avoid a court battle. And the City may actually be willing to pay more than fair market value in order to avoid court and expedite proceedings.
“At times we would, but it depends on the parcel of land and if it’s worth it,”said Laquidara.
Browning finds it almost ironic that after years of the City expressing little to no interest in his building, it is suddenly on the verge of being condemned.
“It’s fortuitous to me that the public library and 600-space public garage are going in next door. And years ago, I didn’t know City Hall was going to wind up in the St. James Building across the street,” he said. “If I want to renovate the building, take advantage of historic tax credits and lease it, I have that right. My building is very well situated and I’m going to wait and see what the market will bear. I think my property is truly uniquely situated. I’ll wait until the dust settles and try to make an economic deal with the City.”