A farmer on the edge of a city owns agricultural land worth $3 million in its current use. The value of the land for residential land uses would be $10 million if they sold it on the market. In order to stop the loss of agricultural land, the local government enters into an agreement to pay the farmer $7 million dollars, in exchange for city acquisition of the farmer's ability to subdivide the land for non-agricultural uses. What has just taken place? The use of eminent domain and public "taking" Public acquisition of land ownership through fair market value Creation of a PDR agreement Creation of a TDR agreement