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By letter dated October 15, 1990, Mr. Johnson informed Mr.
Royster that he (i.e., Mr. Johnson) was withdrawing from the
agreement to relocate his motor vehicle business to the Palmdale
Auto Mall. This letter was hand delivered to Mr. Royster.
After terminating discussions with Palmdale in mid-October
1990, Mr. Johnson intended to remain at the 23d Street property
or to sell the motor vehicle dealerships to a third party.
In October 1990, shortly after Mr. Johnson terminated
discussions with Palmdale, Lancaster city officials learned that
Mr. Johnson had withdrawn from his agreement with Palmdale and
that the withdrawal upset Palmdale city officials.
After learning that Mr. Johnson's negotiations with Palmdale
had terminated, Mr. McEwen advised the LCC and the LRA that they
possessed the power and the authority to condemn, and to threaten
condemnation of, the 23d Street property.
The LCC and the LRA approved the use of threats of
condemnation against petitioners. The LRA directed its staff to
notify Mr. Johnson that the LRA would condemn the 23d Street
property.
Lancaster Officials Tell Mr. Johnson That Lancaster Is Going To
Condemn the 23d Street Property
On or about October 16, 1990, while visiting Mr. Johnson at
the 23d Street property, Mr. Theophanis told Mr. Johnson that
Lancaster would condemn the 23d Street property unless
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