Office of the President
                                             December 14, 1993




                                             FCR aL

Members, Board of Trustees:


                       AUTHORIZATION TO ACQUIRE
               410 COLUMBIA AVENUE. LEXINGTON. KENTUCKY
                           BY EMINENT DOMAIN

Recommendation: that the Board, acting pursuant to its statutory
authority as stated in Section 164.260 of the Kentucky Revised
Statutes and the Eminent Domain Act of Kentucky, authorize and direct
the acquisition through condemnation proceedings of 410 Columbia
Avenue, Lexington, Kentucky with the improvements thereon, currently
owned by Mr. and Mrs. Emery Gordon.

Background: The property is crucial to the construction of the
Commonwealth Library and to the development of the site plan for the
extension of the academic core of the campus to the Clifton area.
University officials have, over a period of months, attempted in every
way to negotiate with the owners for the purchase of this property.

Correspondence was sent on June 16, 1992 and February 3, 1993
indicating the University's need for the property.   The owners
speaking through their attorney in a letter dated November 30, 1993
have indicated they "... will consent to a private sale on the
following terms: a purchase price of $95,000.00, and the right to
continue residing in the home rent-free until March 31, 1994." This
exceeds the maximum appraised value of $80,000.00 which is the amount
the University has presented in its offer to the owners. The owners
have previously indicated their willingness to sell the property to
the University, but they have not been willing to sell at the
appraised value. Despite the fact that the owners have been offered
the maximum permitted by law, the University has been unsuccessful in
contracting for a voluntary sale. The statute (KRS 164A.575(6))
provides that "The amount paid shall not exceed the appraised value as
determined by a qualified appraiser or the value set by the eminent
domain procedure."

The owners were notified that, if a contract could not be negotiated
prior to today's meeting, the Board would be asked to authorize
condemnation.

In view of (1) the fact that this property is crucial to construction
and site development and (2) the proposed schedule for site work, it
is felt that further delay would not be advisable.


Action taken:  Approved    /      Disapproved          Other   _    _

Date:  December 14, 1993



8658



D C