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ARTICLE · 14 FEBRUARY 2019

They Are Taking Our Common Area!

In a subdivision or planned community managed by an Association, the common area and elements are typically owned by the Association.

United StatesReal Estate and Construction

The power of eminent domain, also referred to as condemnation, refers to the power of the government or other quasi-governmental entity, such as a utility company, to take private property for a public purpose. 

The law requires "just compensation" to be paid when a taking occurs.  What happens, however, when the property taken is common area owned by a community association, property owners' association ("POA"), or homeowners' association ("HOA") (collectively, "Association")?

In a subdivision or planned community managed by an Association, the common area and elements are typically owned by the Association.  However, the individual property owners have easement rights granting them the right to use the common area (for example, parks, playgrounds, swimming pools, tennis courts, streets and walkways, and other commonly shared property).  An easement is a property right that, if taken, requires the payment of just compensation to the holder of the easement; in

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