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Question
Doug Dillard owns a house that he presently rents out to a family. Dillard would like to convert the house into commercial space (for a store or offices), because the rent he could charge for the property as commercial space would exceed what he is realistically able to charge for the house as a dwelling. The house is located, however, in an area zoned by the city for residential uses only. This means that Dillard cannot convert the house to commercial space unless the city grants him a zoning variance, something the city has refused to do. Dillard has therefore sued the city on the theory that the zoning ordinance and the refusal to grant a variance amount to a taking of his property and entitle him to just compensation under the Fifth Amendment. Will Dillard win his case? Why or why not?
Answer
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