Hanford-Southport, LLC. v. City of San Antonio, Acting by and Through the San Antonio Water System

OPINION
No. 04-12-00009-CV
HANFORD-SOUTHPORT, LLC,
Appellant
v.
CITY OF SAN ANTONIO, Acting By and Through the San Antonio Water System,
Appellee
From the Probate Court No. 2, Bexar County, Texas
Trial Court No. 2010-ED-0008
Honorable Tom Rickhoff, Judge Presiding
Opinion by: Marialyn Barnard, Justice
Sitting: Catherine Stone, Chief Justice
Karen Angelini, Justice
Marialyn Barnard, Justice
Delivered and Filed: November 7, 2012
AFFIRMED
This is an appeal from a final judgment in a statutory condemnation case. See TEX. PROP.
CODE ANN. § 21.011-.025 (West 2004 & Supp. 2012). In this appeal, appellant Hanford-
Southport, LLC (“Hanford-Southport”) does not challenge the condemnation; rather, Hanford-
Southport challenges the amount of the condemnation award. We affirm the trial court’s
judgment.
04-12-00009-CV
BACKGROUND
The City of San Antonio, Acting By and Through the San Antonio Water System (“the
City”) filed a condemnation proceeding in May of 2010, seeking to condemn a 14.42 acre
permanent easement to expand its sewer capacity. The property upon which the City sought the
easement was a 306.875 acre tract of land in Bexar County owned by Hanford-Southport. At the
time the City filed the condemnation action, the land owned by Hanford-Southport was
undeveloped, though some of it had been cleared. The land is covered by natural trees, shrubs,
and other flora.
Before the condemnation action, Hanford-Southport or its predecessor in interest had
filed and received approval for two separate Master Development Plans. However, both plans
expired for lack of development. Additionally, a Tree Stand Delineation Plan expired, as well as
a Utility Service Agreement Hanford-Southport entered into with SAWS. Hanford-Southport
filed a third Master Development Plan with the City for consideration, but Hanford-Southport
had not fulfilled all administrative requirements necessary for approval when the condemnation
action was filed. No commercial development had begun because it was not feasible and
development in the “reasonably foreseeable future” was unlikely.
After the petition was filed, the trial court appointed three Special Commissioners “to
assess the damages of the owners of the property being condemned.” See TEX. PROP. CODE ANN.
§ 21.014. The Special Commissioners awarded Hanford-Southport $502,222.00. The City
deposited the full amount of the award with the trial court clerk. Before the award was
deposited, Hanford-Southport filed objections to the award, but withdrew the award six days
after it was deposited. See id. § 21.018. It is undisputed that once Hanford-Southport withdrew
the money, the only issue Hanford-Southport was entitled to contest at trial was the amount of
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the award. See State v. Jackson, 388 S.W.2d 924, 925 (Tex. 1965) (holding that by accepting
award of Special Commissioners, landowner is precluded from contesting State’s right to take
property); City of Austin v. Hall, 446 S.W.2d 330, 335 (Tex. Civ. App.—Austin 1969) (holding
landowner may not contest taking of property after accepting condemnation award; by taking
award landowner has consented as required before private property may be applied to public use
with adequate compensation), dism’d, 450 S.W.2d 836 (Tex. 1970), Jim Wells Cnty. v. Cook,
410 S.W.2d 325, 326 (Tex. Civ. App.—San Antonio 1966, no writ) (holding Texas courts have
consistently held that landowner who accepts amount awarded by Special Commissioners in
condemnation cannot thereafter question power of condemnor to take land).
Thereafter, the matter proceeded to trial before the court. 1 Both sides presented evidence
regarding methods for property valuation and based thereon, the value of the property. The
major dispute at trial, and on appeal, is whether the native trees and brush on the condemned
property had any historic or other value independent of the value of the land as land. The trial
court concluded it did not. In its judgment, the trial court awarded Hanford-Southport
$601,625.00. Hanford-Southport requested, and the trial court issued, findings of fact and
conclusions of law. Hanford-Southport asked the trial court to reconsider its judgment and
requested additional or amended findings and conclusions. The trial court declined to reconsider
its judgment and did not adopt the additional or amended findings proposed by Hanford-
Southport. Hanford-Southport then perfected this appeal.
ANALYSIS
The following are the trial court’s findings of fact and conclusions of law as they relate to
Hanford-Southport’s complaints in this appeal:
1
The case was initially set for a jury trial, but while jury selection was underway, Hanford-Southport withdrew its
jury demand and requested a bench trial.
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Findings of Fact
* * *
20. The Landowners presented evidence of a market for persimmon trees and
other flora for specialty buyers, but not a sustainable market for such trees or
other varieties of trees and shrubs from the property.
21. The Court heard evidence that the trees and shrubs on the property
significantly enhance the value of the property but the evidence was insufficient
to make an exception from the established rules that the flora was not to be valued
independent of the land.
22. After consideration of the evidence, the Court finds that, as of the date of
taking, the fair market value of the entire property before the taking was
$7,671,875.00 based on a per acre value of $25,000.00 per acre.
23. The Court finds that, as of the date of taking, the fair market value of the part
taken as a permanent easement is $342,475.00.
24. The Court finds that, as of the date of taking, the fair market value of the
remainder of the property before the permanent easement was taken was
$7,329,400.00.
25. The Court finds that, as of the date of taking, the fair market value of the
remainder of the property after the permanent easement is taken, considering the
uses to which the easement will be subjected, is $7,070,250.00.
26. The reduction in fair market value for the remainder after the acquisition of
the permanent easement is based upon my conclusion that the 41.18 acres south
and west of the easement were damaged in the amount of $209,250.00 and that
the acres north and east of the easement were damaged in the amount of
$49,900.00.
27. The Court finds that, as of the date of taking, the difference between the fair
market value of the remainder of the entire tract before the easement was taken
and the fair market value of the remainder of the tract after the easement was
taken, considering the uses to which the easement is subjected, is $259,150.00
28. Based on the above, Hanford-Southport, LLC is entitled to compensation in
the amount of $601,625.00 for the taking of the easement and damages to the
remainder of the 306.875 acre tract caused by the taking of the permanent
easement.
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Conclusions of Law
* * *
2. The natural trees and shrubs existing on the property may not be considered as
separate items of value but their value may be considered only as they may affect
the value of the land, as land.
* * *
6. Landowners, as owners of the land and trees, may, at their own expense,
remove any trees and shrubs from the easement so long as they do not interfere
with the work under the San Antonio Water System contract for construction and
installation of the pipeline.
7. The court found that the Bexar Appraisal District appraisal was $25,000 per
acre and believes the fact that the landowner and the appraisal district accepted
this valuation is significant. Based on my findings as to the value of the easement
taken and damages to the remainder, Hanford-Southport, LLC is entitled to
judgment in the amount of $601,625.00.
Hanford-Southport challenges the numerous trial court findings and conclusions listed
above. However, at its core, Hanford-Southport’s argument below and on appeal is that the trees
and other flora on the condemned property had value separate and apart from the value of the
land, which affected the fair market value of the condemned property and the remainder, and
therefore, the amount of the condemnation award. Hanford-Southport contends the trial court
erred by disregarding its evidence regarding proper valuation methods, the value of the trees and
flora based thereon, and the resulting land value.
Hanford-Southport presented its valuation evidence through experts and a landowner.
Hanford-Southport provided evidence of value based on the trees and other plants within the
easement area based on three methods: (1) replacement cost for the trees and flora based on local
tree nursery wholesale pricelists, (2) replacement cost for significant trees based on mitigation
fees established by the City, and (3) replacement cost based on the market value of discounted
transferrable tree credits for 18,593 caliper inches of “protected trees.” These different valuation
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methods provided slightly different total values for the condemned property when the trees and
flora were considered separately, but all yielded values of over $3,000,000.00. The valuation
estimates provided by the landowner’s experts also yielded values of over $3,000,000.00.
Hanford-Southport also produced evidence relating to the change in value of the entire
tract when the loss of these trees and flora was considered. Evidence was also presented
regarding the cost of site restoration, which included professional removal of some 500 trees
from the easement area and replanting those trees. This expert also provided a market value for
the 500 “best” trees. In sum, Hanford-Southport contended below, and contends here, that it was
entitled to an award of over $5,000,000.00 for the fair market value of the condemned property
and damages to the remainder when the value of the trees and flora are properly considered.
The City counters that the valuation methods proposed by Hanford-Southport are
improper under Texas law. The City points out that the evidence shows Hanford-Southport
never sold trees from the property and was not in the nursery business so as to potentially allow
valuation of the trees separate and apart from the property itself. The City contends the valuation
methods used by Hanford-Southport are irrelevant, and that the method used by its appraisal
witness – the comparable sales approach – was the proper method of valuation given the proper
standard for damages is the fair market value of the land at the time of the taking.
The evidence relating to valuation was certainly in dispute. However, the crux of the
matter is whether, as a matter of law, the value of the trees and other plants can be considered
apart from the value of the land as land so as to require an increased condemnation award. In
other words, can the intrinsic value, if any, of the trees and other flora on the land be considered
apart from the value of the land so as to increase the condemnation award to the landowners.
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Standard of Review
In an appeal from a bench trial, the trial court’s findings of fact have the same force and
effect as jury findings. Hausman v. Hausman, 199 S.W.3d 38, 41 (Tex. App.—San Antonio
2006, no pet.) (citing Anderson v. City of Seven Points, 806 S.W.2d 791, 794 (Tex. 1991)).
Unchallenged findings of fact are binding on the appellate court unless the contrary is established
as matter of law or there is no evidence to support the finding. Wells Fargo Bank Nw., N.A. v.
RPK Capital XVI, L.L.C., 360 S.W.3d 691, 698 (Tex. App.—Dallas 2012, no pet.). When the
appellate record includes a reporter’s record, as it does here, findings of fact are not conclusive
and may be challenged for sufficiency of the evidence. Wells Fargo Bank, 360 S.W.3d at 698–
99 (citing Sixth RMA Partners, L.P. v. Sibley, 111 S.W.3d 46, 52 (Tex. 2003)). Findings of fact
are reviewed under the same legal and factual sufficiency standards applicable to review of jury
findings. Hausman, 199 S.W.3d at 41 (citing Anderson, 806 S.W.2d at 794). When undertaking
a sufficiency analysis, we do not pass upon the credibility of witnesses or substitute our
judgment for that of the trier of fact, even if there is conflicting evidence upon which a different
conclusion could be supported. City of Keller v. Wilson, 168 S.W.3d 802, 819 (Tex. 2005).
However, a factfinder’s decision regarding credibility must be reasonable, and the factfinder
cannot ignore undisputed testimony that is “clear, positive, direct, otherwise credible, free from
contradictions and inconsistencies, and could have been readily controverted.” Id. at 820.
Appellate courts review a trial court’s conclusions of law de novo, as a legal question,
and will uphold them on appeal if the judgment can be sustained on any legal theory supported
by the evidence. Bailey v. Gallagher, 348 S.W.3d 322, 326 (Tex. App.—Dallas 2011, pet.
denied) (citing BMC Software Belgium, N.V. v. Marchand, 83 S.W.3d 789, 794 (Tex. 2002)).
We may review a trial court’s conclusions as drawn from the facts to determine their correctness.
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Id. “If the reviewing court determines a conclusion of law is erroneous, but the trial court
rendered the proper judgment, the erroneous conclusion of law does not require reversal.”
Marchand, 83 S.W.3d at 794.
Applicable Law
As noted above, the parties disputed the proper valuation method to be used to determine
an award for the condemned property. The supreme court recently stated that compensation for
land taken through condemnation is measured by the fair market value of the land at the time of
the taking. Enbridge Pipelines (East Tex.) v. Avinger Timber, LLC, No. 10-0950, 2012 WL
3800234, *4 (Tex. Aug. 31, 2012) (citing Exxon Pipeline Co. v. Zwahr, 88 S.W.3d 623, 627
(Tex. 2002)). The objective of a condemnation award is to make the landowner whole.
Enbridge Pipelines, 2012 WL 3800234, at *4 (citing TEX. CONST. art. I, § 17). Hanford-
Southport contends that it should be permitted an increased award when the value of the trees
and existing flora on the property are valued separately, using one of the methods it suggested
through its experts at trial. The City argues this is incorrect, and that the condemnation award
must be determined based on market value of the land as land, which takes into account features
of the land without separately valuing those features.
The conclusions of law make it clear the trial court disregarded the methods and evidence
put forth by Hanford-Southport because it concluded as a matter of law that the trees and other
flora could not be valued separately from the land. Thus, the determinative question in this
appeal is whether conclusion of law number two is legally correct. The other conclusions are
essentially part of, or flow from, this general conclusion. Thus, if conclusion of law two is
correct, the judgment must be affirmed. See Bailey, 348 S.W.3d at 326 (citing Marchand, 83
S.W.3d at 794).
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In White v. Nat. Gas Pipeline Co. of Am., 444 S.W.2d 298, 301 (Tex. 1969), the supreme
court restated longstanding Texas law with regard to a condemnee’s ability to recover for loss of
crops, trees, and other flora on the condemned property:
In eminent domain proceedings . . . the landowner cannot recover for damage to
crops, loss of trees, ornamental shrubs, etc. as separate items. These features can
be taken into consideration in determining compensation only insofar as they
affect the market value of the land, as land.
(emphasis added). This has been the rule in Texas since at least 1883, when the supreme court
held:
In estimating the value of [a condemnee’s] property, no separate account should
be taken of the trees cut from the land, but the value of the land taken with the
trees growing on it should be assessed. They are part of the realty and should not
be separated from it in arriving at the value of the land.
Tex. & St. Louis R.R. Co. v. Matthews, 60 Tex. 215, 216 (1883). The court went on to hold that
because the jury, under the court’s charge, had valued trees on the property separate from the
land, the award to the landowner was excessive. Id. (emphasis added). Accordingly, the court
reversed and remanded for a new trial.
As noted by the supreme court in White, the law, as stated in Matthews, has been
consistently followed by Texas courts. 444 S.W.2d at 301; see, e.g., City of Austin v. Long, 296
S.W.2d 624, 628 (Tex. App.—Austin 1956, writ ref’d n.r.e.); City of Fort Worth v. Dietert, 271
S.W.2d 299, 300 (Tex. App.—Fort Worth 1954, writ ref’d); City of Tyler v. Arp Nursery Co.,
451 S.W.2d 809, 812 (Tex. Civ. App.—Tyler 1970, writ ref’d n.r.e.); Fort Worth & D.S.P. Ry.
Co. v. Gilmore, 2 S.W.2d 543, 545 (Tex. Civ. App.—Amarillo 1928, no writ). Other states have
also held that although the existence of trees and flora can be taken into consideration in
determining compensation to the landowner in so far as they affect the market value of the land,
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but the market value as land, remains the standard. See, e.g., Cramer v. Ark. Okla. Gas Corp.,
872 S.W.2d 390, 392 (Ark. 1994); Miss. State Highway Comm’n v. Viverette, 529 So. 2d 896,
900–02 (Miss. 1988); Cross v. State, 320 N.Y.S.2d 625, 626–27 (N.Y. App. Div. 1971).
Application
Determining Market Value–Methodology
Based on the applicable law, we hold the trial court correctly applied the Matthews rule,
concluding it could not consider the trees, shrubs, and other flora separately in determining the
proper value of the condemnation award. See Matthews, 60 Tex. at 216. Rather, the proper
measure by which to value the condemned property was the market value of the land as land.
See White, 444 S.W.2d at 301; see also Enbridge Pipelines, 2012 WL 3800234, at *4.
Hanford-Southport cites numerous cases to support its claim that the trial court should
have taken into account the separate value of the trees and flora in determining the proper
condemnation award. However, we hold the cases are distinguishable, inapplicable, or actually
support the trial court’s conclusion.
Hanford-Southport cites City of Tyler v. Arp Nursery Co., for the proposition that it was
entitled to compensation based on the intrinsic value of the trees or their replacement cost. Arp
is distinguishable. In that case, the City of Tyler was condemning the landowner’s property, a
tree nursery, for a lake. Arp Nursery, 451 S.W.2d at 810. The court found, and the City
conceded, that because some of the trees on the property were seedlings and graftwood trees,
planted and carefully cultivated for use in the existing nursery tree business, it could take into
account the separate value of those trees in determining the market value of the land. Id. This
was not the issue on appeal; rather, the issue on appeal was whether the seedlings and graftwood
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tress were personalty or realty. Id. at 811. The court held they were realty and thus to be
considered in the market value determination. Id. at 811–12.
In this case, the condemned property was not operating as a nursery with trees and
seedlings cultivated for sale as part of the business. In fact, the trial court specifically found in
finding of fact 17 that Hanford-Southport never operated a nursery or sold trees as a business.
Hanford-Southport does not actually contest this finding. 2 Thus, Arp Nursery Co. is
inapplicable.
Next, Hanford-Southport cites Lamar Cnty. Elec. Co-op Ass’n v. Bryant, 770 S.W.2d 921
(Tex. App.—Texarkana 1989, no writ), for the proposition that when trees are permanently
removed without necessity, the intrinsic value rule, rather than the fair market value of the land
rule, applies. First, Bryant is not a condemnation case. Rather, in Bryant, the electric
cooperative cut down trees on the landowner’s property pursuant to its prescriptive easement for
purposes of power line maintenance. Id. at 922. The landowner sued for negligence and gross
negligence, seeking to recover the intrinsic value of the trees. Id. After the jury found removal
of the trees was unnecessary, judgment was entered in favor of the landowner. Id. at 922–23.
On appeal, the parties stipulated that the cutting of the trees did not diminish the value of
the property. Id. at 923. Accordingly, the court determined and the parties agreed that the
proper measure of damages was the intrinsic value of the trees. Id.; see also Porras v. Craig,
675 S.W.2d 503, 506 (Tex. 1984) (holding that in trespass case there is no reduction in market
value of property due to loss of trees, and measure of damages is intrinsic value of trees).
2
Hanford-Southport states its brief should be read to include a sufficiency challenge to finding of fact 17. Hanford-
Southport, however, concedes this finding is irrelevant to this appeal. More importantly, Hanford-Southport
misreads the court’s finding. Hanford-Southport states in its reply brief that “it was not in the landscape or nursery
business as stated in the trial court’s finding of fact number 17.” The trial court did not find Hanford-Southport was
in the landscape or nursery business; rather, it found Hanford-Southport had never been in the landscape or nursery
business and had never sold trees or plants as a business.
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In this case, however, Hanford-Southport vehemently argued, and still contends in this
appeal, that the loss of the trees and flora diminished the market value of the condemned
property as well as the remaining property. There was no stipulation or other agreement that the
value of the property was undiminished by the condemnation. Accordingly, the intrinsic value
rule of Porras, as stated in Bryant, is inapplicable. Moreover, this is a condemnation case, not a
negligence case, and the proper valuation method in condemnation cases is the loss in fair market
value of the property because of the condemnation. See White, 444 S.W.2d at 301.
Hanford-Southport also cites Cummer-Graham Co. v. Maddox in support of its position,
specifically the court’s statement that “[i]f the thing is destroyed or removed from real property,
although a part thereof, has a value which can be accurately measured or ascertained without
reference to the soil on which it stands, the recovery is the value of the thing thus destroyed or
removed and not the difference in the value of the land.” 155 Tex. 284, 285 S.W.2d 932 (1956).
However, like Bryant and Porras, Maddox does not involve a condemnation. Id. at 932. Rather,
in Maddox, Cummer-Graham acquired title to some timber from the owner of the land. Id.
When it cut down the timber, it cut down timber not included in its deed, not just the timber
covered by the deed. Id. The appellate court permitted the landowner to recover the value of the
manufactured timber on the ground that Cummer-Graham was a willful trespasser, despite the
existence of the deed. Id.
On review in the supreme court, the supreme court held the appellate court erred in the
amount it permitted the landowner to recover, holding he was only entitled to “stumpage value,”
as this was a longstanding rule in a case of someone who mistakenly removes timber from the
property of another. Id. at 935. The statement quoted by Hanford-Southport in support of its
position is clearly limited to that situation. This is especially clear given that right after the quote
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relied upon by Hanford-Southport, the supreme court specifically stated that if the trees had only
value with reference to the land “such as for the purpose of shade or ornamentation” then the
proper measure of damages would be the difference in the value of the land before and after the
trees were removed. Id. at 936. Accordingly, rather than supporting Hanford-Southport’s
position, Maddox actually supports the trial court’s conclusion that the trees could not be valued
separately from the land as land.
Hanford-Southport next relies on a case out of this court, City of San Antonio v.
Michalec, 418 S.W.2d 358 (Tex. Civ. App.—San Antonio 1967, writ ref’d n.r.e.). In that case,
the City sought to condemn a piece of residential property for a public road. Id. at 359. At trial,
an expert testified for the landowner as to the market value of the property before and after the
condemnation. Id. at 359–60. The jury awarded the landowner $3,000.00, and judgment was
rendered in that amount. Id. at 359. On appeal, the City complained that the landowner’s expert
had testified not simply to market value, but to “market value plus unique features.” Id. at 360.
After examining the entirety of the expert’s testimony, this court held the City was incorrect. Id.
at 360–61. We held the expert simply testified about the unusual features of the property that
made it ideal for family use, thereby enhancing the value of the property, and that taking into
account the unusual features of the property was part of determining market value. Id. The
expert specifically testified that his opinion was based purely on market value. Id. at 360.
We noted that in State v. Carpenter, the supreme court agreed that in determining market
value, it is appropriate to take into consideration those things pertaining to the land that a
purchaser might consider. Id. (citing State v. Carpenter, 126 Tex. 604, 89 S.W.2d 194, 199–200,
disapproved of on other grounds, State v. Meyer, 403 S.W.2d 366, 371 (Tex. 1966)). Neither
this court nor Carpenter held, however, that the unique or unusual features on the property
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should be valued separately in determining the amount of the condemnation award. To the
contrary, this court made it clear that any unusual features on the land simply went into the
consideration of the market value of the land as land. Accordingly, Michalec does not support
Hanford-Southport’s position, but supports the trial court’s judgment.
Hanford-Southport cites Bexar County v. Falbo for the proposition that if it is possible to
remove valuable improvements on condemned property, the award to the owner should include
the cost of relocation. 210 S.W.2d 658 (Tex. Civ. App.—Eastland 1948, writ dism’d).
However, Hanford-Southport’s position is not supported by the decision in Falbo for two
reasons. First, the court of appeals specifically held that such recovery was permitted only
because the case was tried on the theory that the landowner was going to remove the
improvements from the condemned property to the remainder of the tract. Id. at 659. Second, in
affirming the judgment, the court recognized that based on supreme court precedent the case was
not submitted in the form generally recommended by the supreme court, but could “not see how
[Bexar County] could have been injured by the manner in which it was submitted.” Id.
Falbo is clearly distinguishable. The case before us was not tried on the theory that the
trees and shrubs would be removed and replanted. Moreover, the City would clearly be injured
if the cost of the trees and shrubs were considered separately–the condemnation award would
increase from a little over half a million dollars to over five million dollars, constituting a boon
for Hanford-Southport and exceeding the objective of making the landowner whole. See
Enbridge Pipelines, 2012 WL 3800234, at *4 (citing TEX. CONST. art. I, § 17).
Hanford-Southport also relies on the court of appeals decision in Enbridge Pipeline (East
Tex.) L.P. v. Avinger Timber, L.L.C., 326 S.W.3d 390 (Tex. App.—Texarkana 2010), rev’d, 2012
WL 3800234, at *1. The court of appeals decision in Enbridge Pipeline, which held the
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landowner’s expert could take into account the existence on the property of a gas processing
plant that would inure to the benefit of the condemnor, was reversed by the Texas Supreme
Court after Hanford-Southport filed its brief. The supreme court reversed, holding the expert’s
testimony violated the value-to-the-taker rule, which prohibits measuring a land’s value by its
unique value to the condemnor in determining the proper condemnation award. Enbridge
Pipeline, 2012 WL 3800234, at *1. Clearly, Enbridge Pipeline, as determined by the supreme
court, does not provide support by Hanford-Southport’s contention that the unique and historical
trees and flora on the condemned easement should be valued separately to increase the amount of
the award.
The other cases cited by Hanford-Southport throughout its briefs are similarly
inapplicable or distinguishable. They do not support Hanford-Southport’s position that it was
entitled to recover, as part of the condemnation award, not only the value of the land, but the
intrinsic value of the trees and flora separate and apart from the land.
Evidence of Market Value
With regard to the evidence of actual market value of the land at the time of the taking,
which is the proper valuation method, the City presented evidence from an appraiser, Lynn
Eckmann, as well as the Bexar County Appraisal District tax records. Eckmann, taking into
account applicable factors and using comparable sales, testified the land was worth $21,000.00
per acre. The appraisal district records showed Hanford-Southport has paid taxes on the property
based on an appraisal rate of $25,000.00 per acre. In addition to presenting evidence of the
intrinsic value of the trees and flora, Hanford-Southport presented evidence that the value of the
property was $28,500.00 per acre. The evidence was disputed as to whether the trees and other
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flora enhanced the value of the land as land. There was also disputed evidence about the value
of the remainder of the property after the condemnation.
It was within the domain of the trial court, as trier of fact, to determine the credibility of
the witnesses and resolve any conflicts in the evidence. City of Keller, 168 S.W.3d at 819.
Based on our review of the evidence, we hold there was evidence to support the trial court’s
determinations regarding the value of the condemned property as well as the remainder.
Accordingly, we hold the trial court’s findings of fact with regard to market value were
supported by sufficient evidence.
CONCLUSION
Based on the foregoing, we hold the trial court did not err in disregarding Hanford-
Southport’s methods of valuation and its results based thereon because Hanford-Southport was
not entitled to value the trees and other flora separately from the land. Rather, precedent states
that although trees and other improvements on the land can be considered as possible
enhancements to the value of the land (if they actually enhance the value), they cannot be valued
separately, and the market value of the land as land is the proper method by which a
condemnation award is determined.
The evidence was disputed as to the market value of the land and the remainder, and
whether the trees and flora pointed to by Hanford-Southport enhanced its value to the degree
claimed by Hanford-Southport. It was the trial court’s role, as trier of fact, to determine what
evidence and which witness on value and possible enhancement value was credible. Clearly, the
trial court found the City’s evidence more persuasive.
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Accordingly, we overrule Hanford-Southport’s issues and affirm the trial court’s
judgment.
Marialyn Barnard, Justice
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