CHARACTERISTICS OR REMAINDERS OF PARTIAL TAKINGS SIGNIFICANTLY AFFECTING RIGHT-OF-WAY COSTS. FINAL REPORT

Highway right-of-way costs have accelerated in recent years, especially in suburban and urban areas of Texas. Thus, further efforts are being made by Texas Department of Transportation (TxDOT) officials to find ways to reduce or hold down such costs. One of the efforts helped to enact a new law determining the compensation paid property owners for partial takings of right-of-way for highways. This law, subsequently declared unconstitutional by the Texas Supreme Court, allowed consideration of special or direct benefits arising from the highway improvement in awarding compensation for the taking or assessing damages to the remainder, and it did help to reduce right-of-way costs. The purchase of partial takings can cause some remainders to suffer considerable severance and/or proximity damages. The state only gains title to the partial taking, and the property owner keeps title to the remainder. Although enhancements can offset some of these damages, purchasing agencies are still paying many property owners more than the taking value. Often, small and irregularly shaped remainders are created and damaged to 100% of value (the whole property's value). This study seeks to determine which remainder characteristics significantly affect right-of-way costs. The more specific objectives of the study are to determine (1) the significant remainder property, access, and location characteristics that affect right-of-way costs and (2) the effects of the 1984-87 right-of-way evaluation law on right-of-way costs. A thorough study of the literature; a mail survey of selected right-of-way fee appraisers, TxDOT appraisers and attorneys on the state attorney general's staff; the preparation and analysis of a sample of old remainder case histories developed by the Texas Transportation Institute and TxDOT during the 1960s; and the collection and analysis of a new sample of remainders created before, during, and after the new law was in effect are all being accomplished under the research plan. The new sample data cover three time periods: 1) January 1, 1974 to October 1, 1984, 2) October 1, 1984 to August 17, 1987, and 3) August 17, 1987 to December 31, 1991. The literature survey helped identify several important remainder characteristics to be tested. A total of 70 out of 91 persons surveyed responded and gave importance scores to a list of remainder characteristics. The top 10 or 12 characteristics were used in the regression models of the two data samples. The analysis of the sample of old remainder case histories identified several important characteristics related to the remainder, i.e., size, value, and use of whole property; remainder shape; value total damages paid; and proportion of taking. The analysis of the new database confirmed some of these findings and yielded other characteristics, such as, method of acquisition, highway grade level, rural/urban location, type of highway access, split remainders and development limitations that significantly affect right-of-way cost.

• Supplemental Notes:
  • Research study title: Determination and Evaluation of Remainder Characteristics Which Significantly Affect Right-of-Way Costs.
• Corporate Authors:

  Texas Transportation Institute

  Texas A&M University System, 1600 E Lamar Boulevard
  Arlington, TX  United States  76011

  Texas Department of Transportation

  Research and Technology Transfer Office, P.O. Box 5051
  Austin, TX  United States  78763-5051

  Federal Highway Administration

  1200 New Jersey Avenue, SE
  Washington, DC  United States  20590
• Authors:
  • Buffington, J L
  • Chui, M K
  • Memmott, J L
  • Saad, F
• Publication Date: 1995-7

Language

• English

Media Info

• Features: Appendices; Figures; References; Tables;
• Pagination: 124 p.

Subject/Index Terms

• TRT Terms: Appraisals; Case studies; Costs; Data collection; Financial responsibility; Guides to the literature; Literature reviews; Property acquisition; Right of way (Land); Surveys; Taking (Property)
• Uncontrolled Terms: Characteristics; Compensation (Law); Remainders (Property law)
• Old TRIS Terms: Partial taking
• Subject Areas: Economics; Finance; Highways; Law; Society; I10: Economics and Administration;

Filing Info

• Accession Number: 00720305
• Record Type: Publication
• Report/Paper Numbers: FHWA/TX-95/1390-2F, Res Rept 1390-2F, TTI: 0-1390
• Contract Numbers: Study 0-1390
• Files: TRIS, USDOT, STATEDOT
• Created Date: Apr 26 1996 12:00AM