DOWNEY—After exercising eminent domain powers to take control of a local cash advance shop, the city will pay approximately $180,000 for its relocation costs.
The City Council approved the lump sum payment this week.
The city took control of the Speedy Cash at 8850 Imperial Hwy. earlier this year as part of its Lakewood Boulevard Improvement Project. The store’s lease was not set to expire until 2010, and negotiations for the city to purchase its lease were unsuccessful, said Deputy City Manager Desi Alvarez.
“Since no agreement was reached for Speedy Cash to move, the city adopted a resolution of necessity and filed an eminent domain action to acquire Speedy Cash’s leasehold interest,” Alvarez wrote in a staff report.
Speedy Cash eventually agreed to move to a new larger location across the street. They submitted a claim of $358,287 for relocation costs.
According to the report, the city retained a relocation consultant which determined Speedy Cash was entitled to $179,653.51, which includes the store’s fixtures and equipment.
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