In January 2025, the Arizona Supreme Court ruled that homeowners living adjacent to the South Mountain Loop 202 freeway in Phoenix are entitled to additional compensation, amounting to $12 million, for damage to their property values due to noise, pollution, and obstructed views.
Originally, in 2017, the state paid $6 million to the local HOA for condemned common areas, but homeowners argued that it wasn’t enough. Even though the freeway didn’t take their land directly, it still significantly diminished their quality of life. The court agreed: the loss of value tied to easements integral to homeowners’ properties warranted compensation.
A unanimous decision established that even if the state doesn’t take physical land, property owners can seek severance damages when easements tied to their parcels are condemned and harm the remaining property.
How This Relates to Your Property
Major infrastructure, highways, transmission corridors, or utility corridors, can affect homeowners even without direct land loss. The Loop 202 case illustrates how noise, visual obstruction, and other indirect impacts can devalue your home over time.
Our platform tracks locational obsolescence, eminent domain actions, and infrastructure developments so you can stay informed about nearby projects before they affect your investment. Identifying potential disruptions early helps you better understand how your property value might shift, especially when public projects are planned nearby.
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