They can’t take your house and give it to the mayor’s mistress, even if they pay you for it. But they can, apparently, take your house and tear it down to make room for a development of trendy shops and restaurants, a hotel and so on.
Michael Kinsley Quotes
One answer is that the town's elected officials thought that the project served a public purpose and that the various subsidies and favors were worth the price. But they may or may not have thought this.
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