ST. JAMES, N.Y., Feb. 21, 2012 /PRNewswire/ -- Gyrodyne Company of America, Inc. (NASDAQ:GYRO) announced today that the Appellate Division of the Supreme Court, Second Department, of the State of New York, issued a unanimous Decision and Order in Gyrodyne's condemnation litigation denying the State's motion seeking leave to reargue or, alternatively, leave to appeal to the Court of Appeals, the decision and order of the Appellate Division decided on November 22, 2011. This represents the second unanimous decision of the Appellate Division in favor of Gyrodyne and upholds the two prior decisions of the Court of Claims, also issued in favor of the company. The November 2011 Appellate Division decision affirmed the judgment of the Court of Claims in June 2010 requiring the State to pay Gyrodyne an additional $98,685,000 plus statutory interest of nine percent from the date of taking on November 2, 2005 to the date of payment. The November 2011 Appellate Division decision had also affirmed a related judgment in favor of Gyrodyne entered by the Court of Claims in February 2011 for costs, disbursements and expenses in the amount of $1,474,940.
The Decision and Order was issued in connection with Gyrodyne's claim brought in April 2006 for just compensation for the 245.5 acres of its Flowerfield property in St. James and Stony Brook, New York (the "Property"), taken by the State. The State had paid Gyrodyne $26,315,000 for the Property at the time of the taking, which Gyrodyne elected, under New York's eminent domain law, to treat as an advance payment while it pursued its claim for just compensation. The Court of Claims ruled in Gyrodyne's favor in June 2010 when it awarded the company $125,000,000, thereby requiring the State to pay an additional $98,685,000 plus statutory interest of nine percent from the date of taking on November 2, 2005 to the date of payment.
Commenting on the Decision and Order, Stephen V. Maroney, Gyrodyne's President and Chief Executive Officer, stated that "[w]e are pleased with the Appellate Division's decision, and are hopeful that the process is nearing an end so that we can collect the award to which Gyrodyne and its shareholders are entitled."