The rug and carpet industry may be blossoming in many U.S. states and cities, but a Glendale commercial building where an Oriental rug shop is located has been labeled as “blight” by the city. Because of this, the owners of the rug store have sued the city in order to counter the blight label on the said property, as reported in a news item.

Authentic Persian & Oriental Rugs, owned by the Kholghy family, is currently sitting on a commercial property that the city of Glendale has declared part of a development project called Glendale 180. As a result of the city council’s vote in May 2015 to use eminent domain on the commercial property in question, the location was declared blight. After several discussions and negotiations of the council with the property owner MAK Investment Group LLC, both parties failed to reach an agreement. The council then decided to push through with the development project without the inclusion of the property, but the blight label was not removed.

Prior to Glendale 180, a project called Riverwalk was being planned out to include the MAK property, but the site owners said they were not briefed about the details of the plan, as well as the condemnation notice. “The Riverwalk Urban Renewal Plan Notice also did not include any explanation of the significance of the hearing for MAK in challenging the future possible condemnation of the property, any indication that the hearing was related to the opportunity to challenge condemnations judicially, or any mention of the time sensitivity of the right to challenge,” according to the lawsuit filed by the Kholghys.

The situation has affected the shop owner’s plans to grow their business. “Our development plans and ability to improve our property are impaired because the city of Glendale unfairly blighted our property, gave us insufficient notice and no ability to remedy the blight designation on our property, much of which is out of our control,” said Nasrin Kholghy.

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