Golf Course Lot or Not?

Question:  At the time that we purchased our lot in the Tucson foothills, both the developer’s marketing brochure and the developer’s sales agent represented that our lot was a “golf course lot.” We have started construction of a new home on our lot. Last week we saw construction starting on the vacant land between our lot and the golf course fairway. When we contacted the developer’s sales agent he said that a golf course maintenance building will be built on this vacant land. We have now stopped construction of our new home because we don’t want to have a view from our backyard of a golf course maintenance building. We want to have a view of a golf course! Do we have any claim against the developer?

Answer:  Probably. The lot was represented by the developer’s marketing brochure and by the developer’s sales agent as a “golf course lot,” not a lot with a view obstructed by a golf course maintenance building. Your claim against the developer would be for damages based on the difference between the fair market value of a lot with a view of the golf course, and the fair market value of a lot with a view of the golf course maintenance building.

Note:  A real estate appraiser could be hired to furnish you with a diminution in value (“DIV”) appraisal of your lot because of your obstructed view. This DIV appraisal would determine your damages based on the value of similar lots in the community with obstructed views versus lots with non-obstructed views.