CARTA Lawsuit Over Contested Exchange Club Property

CARTA Files Lawsuit Over Contested Exchange Club Property

Charleston Area Regional Transit Authority (CARTA) is heading into legal proceedings over a contested Exchange Club property. CARTA has the intention to purchase approximately 6 acres of the Exchange Club Fairgrounds, located in Ladson, for a future transportation hub. However, the transit authority now faces a preliminary lawsuit against the Exchange Club of Charleston, the property’s owner. The lawsuit comes as a response to the owner’s refusal to grant a land surveyor access to the property last month, according to court documents.

Eminent Domain Anticipated

CARTA’s representative, R. Stewart Miller Jr., asserts that the transit authority maintains the legal authority under the eminent domain act to survey the land. Eminent domain refers to the legal ability of a government or its agent to seize private property for public use, provided adequate compensation for the original owner. CARTA’s lawsuit is calling for court intervention to ensure its surveyor can access the site for survey finalization.

In response to CARTA’s bid to survey the land under the threat of condemnation, Exchange Club member Carl Schultz stated that the current eminent domain proceedings lack formal notice. He remarked, “CARTA, is basically saying, ‘We’re going to take your property under the eminent domain statute, and there really isn’t anything you can do about it. So you guys just need to go ahead and let us access the property.” Schultz added that the club believes refusing the land survey request is the only option, lest any voluntary permission be misinterpreted as property acceptance.

A History of Legal Disputes

The Exchange Club and CARTA have been in disagreements for years based on a federal study that highlighted part of the fairgrounds as a prime location for a transit line. CARTA plans to buy the 6 acres at a fair market price while the Exchange Club holds that this land is used as premium parking for its events. Losing this property would result in the loss of an estimated $1 million in annual revenue, according to the club.

Moreover, there exist considerable concerns about $365 million in federal funding for the transit line project being at stake. Condemnation, or legally enforced property seizure, is seen as an increasingly significant possibility. Ron Mitchum, CARTA’s executive director, stated previously, “Eventually we can end up with eminent domain, but that’s not what we want to do. We prefer to negotiate something and have a situation where we have a willing seller.”

In an attempt to alter the original agreement, the Exchange Club proposed a yearly lease of $800,000 for the property instead of a outright purchase arrangement. Additionally, the landowner has suggested that CARTA examine other parcels, both on the fairgrounds and elsewhere.

While neither CARTA Chairman Mike Seekings nor Ron Mitchum made any comments concerning the legal filing, CARTA remains staunchly committed to acquiring the property at a fair market value. The unfolding of this court case will undoubtedly impact both entities as they await the next steps in this contested land dispute.