ST. JAMES, N.Y., June 5, 2012 /PRNewswire/ -- Gyrodyne Company of America, Inc. (NASDAQ:GYRO) announced today that the Court of Appeals of the State of New York denied the State's motion seeking leave to appeal the decision and order of the Appellate Division decided on November 22, 2011, in Gyrodyne's condemnation litigation. This denial follows two unanimous decisions 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. In addition to this amount for costs, disbursements and expenses, the total amount of the judgment, including statutory interest, is approximately $164,000,000 as of today.
The Court of Appeals' denial of the State's motion
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.