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§ 1240.430.Sale, Lease Or Exchange of Property Taken

Title 7. Eminent Domain Law · Chapter 3. The Right to Take · Article 5. Excess Condemnation · Enacted 1975 · no amendments on record · Last verified July 29, 2026

In one sentenceSection 1240.430 lets a public entity sell, lease, exchange, or otherwise dispose of property it acquired through excess condemnation and credit the proceeds to the fund used for the underlying public project, without excusing the entity from any statutory procedures that normally govern disposing of public property.

Full Text of § 1240.430

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A public entity may sell, lease, exchange, or otherwise dispose of property taken under this article and may credit the proceeds to the fund or funds available for acquisition of the property being acquired for the public work or improvement. Nothing in this section relieves a public entity from complying with any applicable statutory procedures governing the disposition of property.

Plain-English Summary

Once a public entity has condemned a remnant under this article, it isn't stuck holding onto property it doesn't need for the project itself. Section 1240.430 lets the entity sell, lease, exchange, or otherwise dispose of that property, and credit whatever proceeds result to the fund or funds financing the acquisition of the property needed for the public work.

That flexibility comes with a check: nothing in this section relieves the public entity of any statutory procedure that otherwise governs how it disposes of property. Competitive bidding rules, public notice requirements, or other disposal statutes that would apply to any other surplus public property still apply here.

Frequently Asked Questions

Can a public entity resell a remnant it condemned under this article?

Yes. Section 1240.430 lets it sell, lease, exchange, or otherwise dispose of the property.

What happens to the proceeds of that sale?

They may be credited to the fund or funds used to acquire the property needed for the underlying public work or improvement.

Does this section exempt the entity from normal property-disposal rules?

No. It doesn't relieve the public entity from any statutory procedures that otherwise govern disposing of public property.

Amendment History

Added by Stats. 1975, Ch. 1275.

Source & verification. Section text is reproduced verbatim from the Deering's California Codes Annotated / vLex. Enacted by the California Legislature. Last verified July 29, 2026. · Official source
Also known as: disposing of remnant property californiaselling excess condemned property california