Money will be the focus of a three-day eminent domain trial this week in Roanoke Circuit Court.

Thousands of taxpayer dollars have been spent so far to win the battle. And more than a million will likely be added to that before the case concludes.

At the heart of the fight is the city's hope to propel economic rebirth centered on Carilion Clinic and medical sciences at a flood-prone site once deemed blighted.

In January the court cleared the way for Roanoke's housing authority to condemn a 3-acre tract of land in the 200 block of Reserve Avenue owned by B&B Holdings LLC. Jay and Stephanie Burkholder are the principals behind B&B and have vowed to continue to fight the condemnation of their property.

But the law dictates that a fair price for the property must be established before the Burkholders can appeal the housing authority's right to take the land. Roanoke Circuit Court Judge William Broadhurst has repeatedly ruled that the Roanoke Redevelopment and Housing Authority has the legal standing to condemn the property.

The Burkholders already have rejected two offers from Roanoke's housing authority -- one for $1.02 million and the other for $1.53 million. Those offers were based on written appraisals done for the housing authority.

"The value, they believe, was not fair," said Joe Waldo, the Burkholders' attorney.

Total legal expense to condemn the land won't be known until the conflict is resolved, but through December, taxpayers have paid nearly $365,000 in fees and expenses to the law firm Woods Rogers.

While the costs associated with the case have been accumulating since November 2006, the vast majority of the expenses came last year when the bills totaled $246,600.

"I think certainly we're mindful of the cost, and that's why its been the approach from the beginning with the redevelopment area to negotiate with the property owners," said Glenda Edwards, executive director of the housing authority.

Edwards said while the housing authority hasn't exceeded the budget for acquiring the land, there is concern about the rising litigation costs.

"Everybody involved has reason to be concerned," she said. "But we have not exceeded the budget that has been authorized at this point for the implementation of the plan."

Any money needed beyond the budgeted amount would require city council's approval, she said.

Case may not end here

The trial, scheduled to begin Tuesday, will center on the appraisal of the property. Both the housing authority and the Burkholders will call on experts to testify that their dollar amount is the most accurate.

Ultimately a jury of five property owners will be charged with determining the worth of the property. A simple majority must agree on the sum.

Waldo didn't say what his clients are seeking in compensation. The housing authority hasn't revealed its thoughts on a fair price beyond its previous offers.

"I can say that we look forward to completing the trial, and trust that the jury in the case will carefully consider the evidence presented and return a fair verdict providing for just compensation to the property owner as required by law," said Mark Loftis, the housing authority's attorney, in an e-mail.

The area has changed significantly since the Burkholders purchased their land in 1999. That's because most of the other property owners in the flood-prone redevelopment area agreed to sell their land to the city, which in turn sold it to Carilion.

Carilion will honor its agreement with the city to purchase the Burkholder land, but the health care giant doesn't need the property for its medical park, Carilion spokesman Eric Earnhart said.

In its Riverside Center, Carilion already has built a new clinic building for doctors, a business building and a parking garage. The health system joined with Virginia Tech to build a $59 million medical school in Riverside. The school building will also house a biomedical research institute and is slated to open in August.

Carilion sold another nearby property in the redevelopment area to developers who are building a hotel.

Besides being surrounded by change, the Burkholders said they have also improved their property, which houses the flooring business Surfaces Inc. on what is actually two separate parcels of land. The 2010 tax assessments for the adjacent parcels are for $1 million and $409,500.

Even after the jury has determined what the housing authority must pay for the land, the case will not be concluded. No matter the price, the Burkholders intend to appeal the condemnation.

"Stephanie's position all along was, 'This is not right' and 'My property was not for sale,' " Waldo said.

For one thing, an appeal means the housing authority's legal expenses will continue to mount. Plus, the Burkholders have filed a lawsuit against the housing authority charging they have been harmed by the authority's actions. That case has been dormant while the other is ongoing.

Separate case pending

Still, the housing authority's legal expenses don't stop with the Burkholders. They are one of two property owners who have refused to sell their land for the redevelopment project. William and Maeona Stegall also have fought the housing authority.

And taxpayers have again paid the legal bills. Through October the housing authority paid its attorneys at Woods Rogers $177,391 in fees and expenses associated with the Stegall property.

The legal expenses for both the Stegall and B&B properties involve costs for two lawsuits each, Edwards said.

In September Roanoke Circuit Court ruled in the housing authority's favor. Broadhurst rejected the Stegalls' claim that they suffered financially when the housing authority adopted plans to condemn their Williamson Road property in 2001.

The legal battle with the Stegalls is also ongoing as the housing authority has filed court papers to condemn the property.