Federal Court Blocks Rhode Island Town’s Eminent Domain for NIMBY Motives

August 1, 2026

Municipal authorities aimed to wield eminent-domain powers to halt a housing development, drawing opposition from nearby NIMBY residents.

Rhode Island parcel slated for condemnation to block the development of affordable housing on the site. (PLF).

 

Last year, I wrote about SCLS Realty v. Town of Johnston, a case in which landowners challenged a Rhode Island town’s plan to employ eminent domain as a means to block a housing project opposed by local NIMBYs. A few days ago, a federal district court struck down the use of eminent domain there. Yet the ruling did not hinge on the “public use” theory discussed in my 2025 post. Instead, the court held that the town never received the authority to seize property for such a purpose in the first place. In Rhode Island, as in many states, the power of eminent domain resides with the state government, and municipalities may exercise it only to the extent that the state legislature authorizes them to do so.

Robert Thomas of the Pacific Legal Foundation (the public-interest law firm representing the landowners) offers a concise and more detailed summary of the court’s decision on his Inverse Condemnation blog.

NOTE: PLF is also the author’s spouse’s employer. However, she has no involvement in this matter and does not work on property-rights issues.

Natalie Foster

I’m a political writer focused on making complex issues clear, accessible, and worth engaging with. From local dynamics to national debates, I aim to connect facts with context so readers can form their own informed views. I believe strong journalism should challenge, question, and open space for thoughtful discussion rather than amplify noise.