Happens all the time...
In Garden Grove, CA, there was a family owned strawberry field. One of my favorite fruitstands was on the property as well.
Then, 15 or so years ago, the govt kicked them off the property using ED. They sold the property to a friggin Kaiser Permanente office building! the family had owned that field for generations, and gets the boot because they refused to sell the property to Kaiser.
Watch a few city council meetings. You'll see more and more of this crap. In Anaheim recently they shut down a building with 3 upstairs apartments, and a bunch of storefronts on the bottom that had been there since WW2. Why? To widen Lincoln Avenue. :|
I can accept ED for roads and infrastructure. So the Anaheim one, while pathetically stupid, I can live with. But shutting down a family farm to put a fscking office building in is just bad.