Brandon Leuallen, The Business Times

When Ginny Rusy-Sanville and her husband, James Sanville, closed on their home at 625 25 Road in June 2021, they had no idea the City of Grand Junction would soon claim one-third of their property through eminent domain for a road-widening project.

As construction is set to begin this fall, Rusy-Sanville dreads the lengthy and disruptive construction process. She also feels cheated because of the lack of disclosure, shortchanged on compensation, and is faced with a bill too big to replace their garage rendered unusable by the project.

“We were totally blindsided by this,” Rusy-Sanville recalled, remembering the day in July 2022 when a city representative knocked on her door. “He said, ‘I’m from the city, and we need a third of your property by eminent domain because we’re going to widen 25 Road.’ We had no idea.”

The couple had purchased the single-wide home on a nearly quarter-acre lot after a frenzied real estate market left them outbid on other properties.

“We were the only ones that bid on this property, and we thought that was odd,” Rusy-Sanville said. She suspects the previous owners, a trust eager to cash out, and possibly the Realtor, knew about the impending expansion but didn’t say anything.

Under Colorado state law, sellers must disclose certain material facts about a property that could impact its value or desirability, as specified in the Seller’s Property Disclosure form.

“We didn’t hear anything from the title company, the mortgage company and both of which are now gone,” she said.

After reviewing their closing documents, Rusy-Sanville found no mention of the road expansion. She now wonders whether a pending road expansion – one that would claim a portion of her property – qualifies as a material fact that should have been disclosed.

The city’s 25 Road expansion, part of the larger Four Canyons Parkway project, aims to ease traffic congestion near Patterson Road and the mall. “They’re putting in a sidewalk, gutter, bicycle lanes and everything else,” Rusy-Sanville said. “The easement will come about 10 feet from our front porch and 10 feet from our garage.”

According to the city’s website, preliminary designs for the 25 Road Corridor began post-2019, with construction slated for late 2025.

The Fifth Amendment to the U.S. Constitution guarantees that private property shall not “be taken for public use, without just compensation,” a principle applied through eminent domain.

However, Rusy-Sandville found it unfair when the city appraised the front corner of her lot as vacant land.

“It’s not vacant land,” she said. “We live here. I know it’s a driveway, but it’s still our driveway.”

After negotiations, she said the city offered two compensation amounts and gave her 10 days to decide. The lower amount would allow limited access and only by blocking traffic to get in, which felt unsafe, especially since they use trailers and had nearly been hit while trying to back one into the other side of the house.

With no other viable option, the couple chose the higher amount, which meant losing access to their garage entirely and having to build a new one elsewhere on the lot.

Rusy-Sanville also said the compensation was inadequate to replace the garage. The garage is essential for the couple, as James uses it to rebuild cars. The city’s payout, which was also partially claimed by her mortgage company, falls short of the $50,000 estimated cost to build a new, two-and-a-half-car garage – far exceeding the $30,000 number referenced by the city.

“By the time you factor in concrete, contractors and codes, they didn’t give us enough,” she said. “The garage will cost more than what the city gave us.” 

With the upcoming construction the couple is also concerned about the stress and strain on their home life.

“We’re gonna have construction dust come in the house. We have a 17- year-old who is autistic. It’s just not what we bargained for, for sure,” Rusy-Sanville said.

The couple’s dilemma serves also as a cautionary tale for other home buyers even during a housing shortage or a frenzied time in the market.

J.R. Davis of Grand Junction-based Davis Law Group, told The Business Times that real estate transactions are complicated, even when they seem straightforward.

“Purchasing real estate is not just about purchasing dirt or buildings – it is also about legal rights and duties,” Davis said. “It is very important to get educated on what exactly is being purchased.”  

Davis added, “For nearly everyone, it is imperative to hire a good real estate broker, not just a broker who can show a house. A good broker understands the purchasing process and will protect their client’s interests. A good broker knows the area, knows the market and knows the developments that are coming. And, a good broker utilizes all this skill and knowledge to negotiate a favorable price for their client, taking into account things like possible eminent domain.”

Davis also recommends consulting a real estate lawyer, saying, “A real estate lawyer can help identify issues that go under the radar of a layperson. For example, a real estate lawyer can review a title commitment with the purchaser and educate the purchaser about the rights, duties, and encumbrances that come with a property.”

Davis said when it comes to eminent domain, it is important to remember the government wants to obtain someone’s property for the lowest dollar amount.

“While the government must follow all the rules perfectly, they have no obligation to look after the property owner’s best interest,” Davis said. “Did I say real estate is complicated? It is important to get educated on all things real estate and to be surrounded by good real estate professionals.”