American Institute of Certified Planners (AICP) Practice Exam

In the case of Penn Central Transportation Co. v. The City of New York, what was a primary factor considered by the court regarding takings?

1. The character of government use

2. The aesthetic value of the property

3. The extent of property ownership

4. The historical significance of the property

The correct answer is: The character of government use

In the case of Penn Central Transportation Co. v. The City of New York, a primary factor considered by the court regarding takings was the character of government use. The court examined how the regulation imposed by the government, specifically the designation of the Grand Central Terminal as a landmark, affected the property owner's rights. The ruling emphasized that the government’s action was for the public good, aiming to preserve the historical and architectural significance of the terminal, which is aligned with the broader societal benefit of protecting infrastructure. This context of public purpose informs the assessment of whether a taking has occurred under the Fifth Amendment. The court ultimately decided that the character of the government's purpose in regulating the use of the property weighed heavily in their consideration, thereby supporting the legitimacy of the regulation without constituting a taking. In this context, while the other aspects such as aesthetic considerations or historical significance could play a role in the overall analysis, it was specifically the nature of the government use that acted as a pivotal factor in the court's determination.