We get sued for stuff like this all the time. The problem for the city and this lame report, is that cities don't have sovereign immunity. Also sovereign immunity is NOT sometimes called "qualified immunity." Those are two completely different things that are unrelated (i.e., an officer working for a department that doesn't have sovereign immunity can still have qualified immunity and a city can never have qualified immunity). Also, claiming the destruction of your property was a "taking" usually fails because the government has to have taken your property for the purpose of converting it to public property for public use, to be a "taking."
In short, any time you watch/read news about law you are getting nonsense from people who don't have a clue what they are talking about. Prison inmates can explain law better than reporters.
For example, what the video describes them actually winning on is an argument that the homeowner's was denied due process, not an argument under the "takings" clause of the constitution, and if cities had "sovereign immunity" that decision wouldn't have been made at all. This same lawsuit, if it had been filed against the county, rather than the city, would have been instantly dismissed, because counties do have sovereign immunity.
Her attorney. Redfern, explains it with a mishmash of legal words that don't fit together, which is pretty typical for plaintiff's attorneys. He even refers to 5th Amendment due process, which only applies if the feds broke your house - it is 14th Amendment due process when a city does it. Plaintiffs' attorneys bumble through life throwing out everything they can think of to see if somebody who knows more than them can find a part that sticks - in most cases they go broke and have to get real jobs.