It happened almost exactly as above to my wife's elderly mother, only the proposed "taking" was even a worse insult to her property rights. The city had engaged a real estate developer to pretty up a "blighted" area but when the parcel proved to be too small for the proposed development, it was only natural that the "blighted area" was expanded until it was large enough. This meant having to take dozens of well-maintainted homes.
Happily, the deal all fell apart because it turned out a city official had not really followed due process. But nothing says these homes are still safe. Do you think any of them are maketable for anywhere near what they used to be worth? Who wants to buy a home that could be Soutered-away at any moment?
This madeness must be stopped, and soon.
I see this organized theft as another step to the frivolous lawsuits (not all lawsuits) that are nothing more than legalized extortion, taking from the innocent and redistributing the wealth to the greedy and the demented.