M&A Gabaee v. Community Redevelopment Agency

We must decide whether Younger abstention is called for when a parallel state-court proceeding has formally begun but not yet reached proceedings of substance on the merits of the case.

I

M&A Gabaee (“M&A”), a California limited partnership formed by real estate developers, holds possession of two pieces of property in Los Angeles, one at 1040 E. Slauson Ave. and one at 944-1010 E. Slau-son Ave. (the “1040 E. Slauson property” and “1010 E. Slauson property” respectively). Since acquiring these properties, M&A has sought permission from the Community Redevelopment Agency of the City of Los Angeles (the “CRA”) to develop the properties into a shopping complex.

The CRA, however, awarded the development project to another developer, Slau-son Central. In December 2003, CRA entered into a development agreement with Slauson Central and served M&A with a Notice of Intent to Acquire both properties. The subsequent condemnation process proceeded on different schedules for the two properties, and because the parties’ arguments depend heavily on the timing of the various events in this dispute, we describe them separately.

On March 4, 2004, the CRA Board of Commissioners adopted a…