JUDE G. GRAVOIS, Judge.
This case concerns review of an expropriation compensation award to Orleans Shoring, LLC ("Orleans Shoring"), the lessee of a parcel of land in Jefferson Parish on the corner of Powerline Drive and Riverside Drive (a/k/a the River Road) near the City of Harahan, a portion of which parcel was expropriated by the Parish of Jefferson ("the Parish") for improvements necessary for implementation of the Southeast Louisiana Urban Flood Control Jefferson Parish East Bank Project ("the SELA Project"). After a one-day bench trial on the issue of compensation, the owner of the land, Powerline, LLC ("Powerline"), was awarded $15,216.36 in compensation for the taking, and the lessee of the land, Orleans Shoring, was awarded $65,474.50 in compensation for the taking.
For the reasons that follow, we affirm.
Christian Cancienne testified at trial that he is the sole owner of Powerline, the owner of the expropriated property, and of Orleans Shoring, the lessee of the expropriated property. The record shows that in June of 2012, the Parish filed this expropriation proceeding against Powerline, expropriating a portion of "Parcel B," the land upon which Orleans Shoring's business operations are located, asserting that the expropriated portion of Parcel B was required for improvements necessary for an aspect of the SELA Project. A stipulation entered at trial shows that the total area of Parcel B is 43,412 square feet, and that the expropriated portion of Parcel B totaled approximately 1,348 square feet. The Parish obtained an appraisal from Wayne Sandoz, a certified appraiser, who calculated Powerline's total damages for
Orleans Shoring intervened in the suit in November of 2012, claiming that it was the lessee of the property expropriated. It claimed that it used the leased property as a storage and marshaling yard in the operation of its business, which was primarily the elevation, leveling, and foundation repair of houses and other buildings in the greater New Orleans area. It claimed that as a result of the expropriation, it would lose at least five parking spaces necessary to the conduct of its business, as well as storage space for one of its 40-foot trailers, and space for a large storage container, a pipe rack, and a work shed, among other things, and would lose the ability to load and rotate its trailers efficiently. It asserted that as lessee of the expropriated land, it was entitled to compensation from the expropriating authority.
In its petition of intervention, Orleans Shoring also alleged that it was attempting to purchase adjacent unimproved property, which was larger in area than the expropriated portion of Parcel B (but which could not be subdivided), and upon which it could relocate that portion of its business affected by the taking, at a total cost (including required improvements) of approximately $200,000.00.
At trial, Orleans Shoring proposed a second mitigation scenario. It presented a letter from the mayor of the City of Harahan, offering to rent Orleans Shoring six parking spaces from the City for employee parking at $10.00 per day per space, which parking spaces were located approximately three blocks away from the subject property, for the remainder of the mayor's term (or about three years).
Orleans Shoring did not present any evidence relating to relocation costs of its business as a whole, as its owner testified that he did not wish to relocate the business. Nor did Orleans Shoring present any evidence of what it would cost to relocate the equipment (other than the vehicles) that was situated on the portion of taken land.
The trial court awarded Orleans Shoring $65,474.50, representing approximately one-fourth of the amount it claimed under its land purchase compensation scenario. Orleans Shoring now appeals, claiming
In an expropriation proceeding, a factfinder's factual determinations as to the value of property and entitlement to other types of damages are subject to the manifest error standard of review, while the amount of damages awarded is subject to the abuse of discretion standard of review. State, Dep't of Transp. & Dev. v. Monteleone, 11-1013 (La.App. 5 Cir. 11/13/12), 106 So.3d 153, 158, reh'g denied, writ denied, 13-0118 (La.3/1/13), 108 So.3d 1179.
The law is clear that under the Louisiana Constitution of 1974, the framers had the intent of expanding the right to compensation in expropriation proceedings to include not only property owners, but also those other persons who have legal status to require compensation, such as lessees. State, Dept. of Transp. & Dev. v. Clark, 548 So.2d 365, 367 (La.App. 2 Cir.1989). A lessee's damages may consist of loss of business profits and other business losses, and the expense of relocating, if proven and applicable. Clark, supra; Huckabay v. Red River Waterway Com'n, 27,113 (La.App. 2 Cir. 10/12/95), 663 So.2d 414; Holland v. State, Dept. of Transp., 554 So.2d 727 (La.App. 2 Cir. 1990), writ denied, 559 So.2d 125 (La.1990); Packard's Western Store, Inc. v. State, Dept. of Transp., 618 So.2d 1166 (La.App. 2 Cir. 1993).
The burden of proving damages in an expropriation proceeding rests on the party seeking them, who must prove such damages with legal certainty by a preponderance of the evidence. Huckabay v. Red River Waterway Com'n, supra, at 421. Speculation, conjecture, mere possibility or the unsupported probability are not sufficient to support such an award. Id.
The trial court awarded Orleans Shoring compensation in the amount of $65,747.50 for the taking. On appeal, Orleans Shoring asks for compensation in the amount of $261,898.00, which consists of the total cost of Orleans Shoring to purchase the adjacent tract of land and to make the required improvements thereon. As noted above, the trial court awarded Orleans Shoring approximately one-fourth of the amount it claimed, finding that it proved that it would be damaged by the loss of the expropriated portion of Parcel B, but reasoned that as a lessee, the law did not require that it be made the owner of new property as just compensation for the partial taking of its leased premises. As such, the trial court awarded Orleans Shoring only an amount representing approximately one-fourth of the amount it claimed was the purchase price of the adjacent property (plus necessary improvements), reasoning that the new property was approximately four times larger than the expropriated portion of the leased property.
In brief, Orleans Shoring cites State Through Dept. of Highways v. Constant, 369 So.2d 699 (La.1979), for the proposition that it is to be compensated to the full extent of its loss, which it alleges on appeal is $261,898.00. However, Constant discussed the compensation due to an owner of expropriated property, which therefore makes that case distinguishable from the instant case and accordingly not applicable to the facts herein.
The jurisprudence noted above establishes that while lessees are entitled to compensation for certain losses they may have suffered from the expropriation when their leased premises are taken, a lessee is not entitled to be made the owner of other
Clark, supra, 548 So.2d at 367-368.
Owners and lessees of expropriated property have different and separable interests in the property, even when the owner of the land also owns the corporation that is the lessee of the land, and a lessee's reliance on cases that determined the compensation due owners, such as Constant, supra, upon which Orleans Shoring relies in brief, is inappropriate. Clark, supra. It is apparent that Orleans Shoring proceeded as if it holds an ownership interest in the subject property, which it clearly does not, or perhaps lost sight of the fact that it is a distinct legal entity from either Powerline or Mr. Cancienne, though he is the sole owner of both.
Orleans Shoring, as lessee of this property, had the burden of proof to establish both the type(s) of damages due to a lessee of expropriated property, such as business losses, lost profits, and/or relocation costs, and the amount(s) thereof, with reasonable legal certainty, contrary to its assertion in brief that the burden of proof lay with the Parish. Orleans Shoring met its burden regarding establishing that the taking would require it to relocate certain vehicles and equipment and would cause it to lose between five and ten parking spaces integral to its business, but the record is void of particular evidence regarding the amount of those costs (other than the proposed lease from the City of Harahan).
In support of its claim for the amount of compensation due it, Orleans Shoring introduced into evidence an "Option to Purchase Agreement" between Mr. Cancienne, in his individual capacity, and George Stringer, III, the owner of the adjacent property. The Option to Purchase Agreement fails to mention Orleans Shoring or Powerline, though it states that Mr. Cancienne is allowed to assign the agreement during the 90-day option period to "any limited liability company of his choice." Thus, there was no requirement that Mr. Cancienne exercise the agreement, assign it, or assign it to Orleans Shoring in particular. The Option to Purchase Agreement, accordingly, does not meet Orleans Shoring's burden of proof regarding the amount of any damages it might have suffered due to the taking as a lessee rather than as an owner.
Further, and importantly, we note that the Parish did not appeal the award granted to Orleans Shoring, nor answer Orleans Shoring's appeal.
Accordingly, under the particular and somewhat unique facts and circumstances involved in this case, and also particularly considering the fact that the Parish did not appeal the amount of the award in Orleans Shoring's favor nor answer Orleans Shoring's appeal, we find the trial court did not err in awarding Orleans Shoring compensation for the taking in the amount of $65,474.50. As such, Orleans Shoring's assignment of error is without merit.
Accordingly, for the reasons assigned above, the trial court's judgment in the amount of $65,474.50 in favor of Orleans Shoring is hereby affirmed.