City of New York v. Zahav LLC
Opinion of the Court
Amended order, Supreme Court, New York County (Jane Solomon, J.), entered October 4, 2011, after a nonjury trial, which determined that properties formerly owned by claimants and taken by the City of New York by eminent domain should be valued for condemnation purposes as if zoned for district Ml-5, with the exception of claimant Mercedes-Benz Manhattan, Inc.’s property, which should be valued as if zoned for district C6-3, unanimously modified, on the law, to determine that block 706, lot 10 shall be valued, for purposes of compensation in eminent domain, as if zoned C6-4, and otherwise affirmed, without costs.
The trial court correctly found that the retention of an Ml-5 zoning designation as part of the rezoning of the Hudson Yards area for properties condemned for development of a park and boulevard was part of a comprehensive redevelopment plan consisting of the Hudson Yards rezoning, the development of a park and boulevard, the extension of the number 7 subway line, and the property acquisitions, and not for the purpose of artificially depressing their value to make them cheaper to condemn (see Matter of C/S 12th Ave. LLC v City of New York, 32 AD3d 1, 10 [1st Dept 2006]).
The City properly valued these properties based on the Ml-5 designation rather than at the higher designation given to the surrounding properties upon rezoning, because the rezoning
The record supports the court’s finding that, in the absence of the project, the property owned by claimant Mercedes-Benz Manhattan, Inc. would have been rezoned to a zoning designation of C6-3, and not the C6-4 designation that was granted as part of the comprehensive plan.
As the City concedes, under zoning regulations that govern split-zoned properties, block 706, lot 10 must be valued by applying the C6-4 zoning designation that was applicable before the rezoning. Concur—Tom, J.P., Friedman, Sweeny and Feinman, JJ.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.