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Leasing land for Solar farms #7586919
05/19/22 01:41 PM
05/19/22 01:41 PM
Joined: Jul 2016
Posts: 3,928
NY
Canvasback2 Offline OP
trapper
Canvasback2  Offline OP
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Joined: Jul 2016
Posts: 3,928
NY
Any idea how much a landowner can make, by leasing 10 acres of land to build a Solar Farm on his property ? Besides, the yearly payment for the lease, do they also get free Electric from the Solar Farm ?

Re: Leasing land for Solar farms [Re: Canvasback2] #7586936
05/19/22 02:08 PM
05/19/22 02:08 PM
Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
C
coondagger2 Offline
"Brat"
coondagger2  Offline
"Brat"
C

Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
Local farmer here leases 627 acres for a solar farm

They pay him $500 per year per acre. No free electricity.

That is $313,000 per year for the next 20 or 30 years

For a smaller farm like 10 acres the yearly rate per acre should be higher


Gotta live up to the nickname...
Re: Leasing land for Solar farms [Re: Canvasback2] #7586939
05/19/22 02:14 PM
05/19/22 02:14 PM
Joined: Dec 2006
Posts: 16,758
West Virginia,age 49
cathryn Offline
bvr-takr-upr
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Joined: Dec 2006
Posts: 16,758
West Virginia,age 49
For 313.000.00 he can afford to pay his electric bill.lol


IF IDIOTS GREW ON TREES THIS PLACE WOULD BE AN ORCHARD !

Re: Leasing land for Solar farms [Re: coondagger2] #7586945
05/19/22 02:20 PM
05/19/22 02:20 PM
Joined: Jan 2018
Posts: 4,526
MN
D
Donnersurvivor Offline
trapper
Donnersurvivor  Offline
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Joined: Jan 2018
Posts: 4,526
MN
Originally Posted by coondagger2
Local farmer here leases 627 acres for a solar farm

They pay him $500 per year per acre. No free electricity.

That is $313,000 per year for the next 20 or 30 years

For a smaller farm like 10 acres the yearly rate per acre should be higher


Hard to understand why they wouldn't just buy property if they are paying that much for rent.

Re: Leasing land for Solar farms [Re: Donnersurvivor] #7586948
05/19/22 02:26 PM
05/19/22 02:26 PM
Joined: Mar 2007
Posts: 35,127
McGrath, AK
W
white17 Offline

"General (Mr.Sunshine) Washington"
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Joined: Mar 2007
Posts: 35,127
McGrath, AK
Originally Posted by Donnersurvivor
Originally Posted by coondagger2
Local farmer here leases 627 acres for a solar farm

They pay him $500 per year per acre. No free electricity.

That is $313,000 per year for the next 20 or 30 years

For a smaller farm like 10 acres the yearly rate per acre should be higher


Hard to understand why they wouldn't just buy property if they are paying that much for rent.


My guess is they pay the rent from current revenues and don't want to tie up capital in illiquid investments like land. Also, they are then on the hook for property taxes that they can't control


Mean As Nails
Re: Leasing land for Solar farms [Re: white17] #7586962
05/19/22 02:48 PM
05/19/22 02:48 PM
Joined: Apr 2012
Posts: 2,892
new york
M
mike mason Offline
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Joined: Apr 2012
Posts: 2,892
new york
Most of the solar projects are built and then sold to investors.

Re: Leasing land for Solar farms [Re: Canvasback2] #7586969
05/19/22 03:06 PM
05/19/22 03:06 PM
Joined: Oct 2011
Posts: 2,786
Western Shore Delaware
SJA Offline
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SJA  Offline
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Joined: Oct 2011
Posts: 2,786
Western Shore Delaware
$800. per acre here.


"Humans are the hardest people to get along with."
Dr. Phillip Snow
Re: Leasing land for Solar farms [Re: Donnersurvivor] #7586972
05/19/22 03:18 PM
05/19/22 03:18 PM
Joined: Sep 2013
Posts: 18,377
Green County Wisconsin
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GREENCOUNTYPETE Online content
trapper
GREENCOUNTYPETE  Online Content
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Joined: Sep 2013
Posts: 18,377
Green County Wisconsin
Originally Posted by Donnersurvivor
Originally Posted by coondagger2
Local farmer here leases 627 acres for a solar farm

They pay him $500 per year per acre. No free electricity.

That is $313,000 per year for the next 20 or 30 years

For a smaller farm like 10 acres the yearly rate per acre should be higher


Hard to understand why they wouldn't just buy property if they are paying that much for rent.

my suspicion is they leave you with the mess when the lease is up isn't that what happens with the wind turbines you can't just pop thousands of yards of concrete out of the ground.


America only has one issue, we have a Responsibility crisis and everything else stems from it.
Re: Leasing land for Solar farms [Re: Canvasback2] #7586976
05/19/22 03:28 PM
05/19/22 03:28 PM
Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
C
coondagger2 Offline
"Brat"
coondagger2  Offline
"Brat"
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Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
No sir, the farm has to be restored to its previous conditions once the lease is up. It's in the contract

I don't know how you instantly restore 600 acres of mature white and red oak hardwoods, but that's what's in the contract


Gotta live up to the nickname...
Re: Leasing land for Solar farms [Re: Canvasback2] #7586979
05/19/22 03:32 PM
05/19/22 03:32 PM
Joined: Mar 2012
Posts: 3,852
meadowview, Virginia
E
EdP Offline
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EdP  Offline
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Joined: Mar 2012
Posts: 3,852
meadowview, Virginia
I don't see 600 acres of mature hardwoods as what is normally considered "farm ground". Any farmer in that situation needs to take the timber off prior to the lease term starting.

Re: Leasing land for Solar farms [Re: Canvasback2] #7586981
05/19/22 03:34 PM
05/19/22 03:34 PM
Joined: May 2016
Posts: 3,491
Southern Illinois
F
Foxpaw Offline
trapper
Foxpaw  Offline
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Joined: May 2016
Posts: 3,491
Southern Illinois
They bought a few thousand acres here for a huge price. They won't buy it here without the mineral rights, so they are not bothered with wells or subsidence in the future.

Re: Leasing land for Solar farms [Re: Canvasback2] #7586984
05/19/22 03:49 PM
05/19/22 03:49 PM
Joined: Jul 2016
Posts: 884
SD
T
TC1 Offline
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TC1  Offline
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T

Joined: Jul 2016
Posts: 884
SD
That’s all of our taxes subsidizing this btw fellas, just so ya know. No different than wind farms here, without out taxes to prop them up they would all fold.


Long live the MAGA King
Re: Leasing land for Solar farms [Re: EdP] #7586988
05/19/22 03:55 PM
05/19/22 03:55 PM
Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
C
coondagger2 Offline
"Brat"
coondagger2  Offline
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C

Joined: Dec 2012
Posts: 2,124
NC - Here there and everywhere
Originally Posted by EdP
I don't see 600 acres of mature hardwoods as what is normally considered "farm ground". Any farmer in that situation needs to take the timber off prior to the lease term starting.

Hi Ed, where did I say this farmer considered this "farm ground" ?

Obviously the timber was taken off but I'm not sure who received that paycheck


Gotta live up to the nickname...
Re: Leasing land for Solar farms [Re: Canvasback2] #7586999
05/19/22 04:19 PM
05/19/22 04:19 PM
Joined: Dec 2006
Posts: 2,458
ny
G
gcs Online content
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Joined: Dec 2006
Posts: 2,458
ny
I was approached to use 20 acres for a solar farm, area to be returned as it was in the contract, property tax for the land used was payed by the leasor and a yearly increase was built into the contract.I forget now the rental fees but it was very lucrative, however, the property wasn't close enough to a transfer station, or whatever it's called.
After the initial preliminary rent agreement, the engineers figure if it's feasible. Mine wasn't. ..to bad cause it would have been about a million dollars for the length of the lease.

Re: Leasing land for Solar farms [Re: coondagger2] #7587006
05/19/22 04:26 PM
05/19/22 04:26 PM
Joined: Sep 2013
Posts: 18,377
Green County Wisconsin
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GREENCOUNTYPETE Online content
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GREENCOUNTYPETE  Online Content
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Joined: Sep 2013
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Green County Wisconsin
Originally Posted by coondagger2
No sir, the farm has to be restored to its previous conditions once the lease is up. It's in the contract

I don't know how you instantly restore 600 acres of mature white and red oak hardwoods, but that's what's in the contract



does it say previous condition or farmable condition

bust up the base that sticks up above the ground put 4 feet of dirt over it and leave a massive chuck of concrete underneath

there is of course breach of contract , what is the penalty

offer a bond at installation for removal and sure they farmer can have the bond but the liability likely ends there

we see all the time how companies work to limit their liability it's like swing set manufacturers go under every 8-10 years the company that builds sells to investors the product and not the liability the instialtion company dies when the CEO retires and a VP of the old company starts a new company

when ever something doesn't seem to make sense there is a reason it is being done the way it is


i could be completely wrong but I do not see them pulling thousands of yards of concrete and rebar out

Last edited by GREENCOUNTYPETE; 05/19/22 04:41 PM.

America only has one issue, we have a Responsibility crisis and everything else stems from it.
Re: Leasing land for Solar farms [Re: Canvasback2] #7587022
05/19/22 04:57 PM
05/19/22 04:57 PM
Joined: Feb 2015
Posts: 10,468
Iowa
T
trapdog1 Offline
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Iowa
Hey Blaine County: What say you about this? I realize this may not be your area of expertise, but a lawyer's take would be interesting.

Re: Leasing land for Solar farms [Re: Canvasback2] #7587032
05/19/22 05:27 PM
05/19/22 05:27 PM
Joined: Nov 2007
Posts: 9,780
St. Cloud, MN
trapperkeck Offline
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trapperkeck  Offline
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Joined: Nov 2007
Posts: 9,780
St. Cloud, MN
Insolvency/bankruptcy would be the biggest concern. Landowner is stuck if the leasor becomes judgement proof.


"The voice of reason!"
Re: Leasing land for Solar farms [Re: Canvasback2] #7587100
05/19/22 07:41 PM
05/19/22 07:41 PM
Joined: Dec 2006
Posts: 7,475
WI>>>MN >>>WI
T-Rex Offline
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Posts: 7,475
WI>>>MN >>>WI
Things may be a bit different today, but;

Back when Trump decided that everybody should get a tax cut, at the expense of me not being able to deduct all of my property taxes; I looked into renting out 10 acres for wind or solar.

To the relief of my neighbors, it could not be justified. I don't remember the numbers, but, it was not nearly enough to offset my taxes.


Man who mistake shillelagh for fairy wand; see pixie dust, also.
Re: Leasing land for Solar farms [Re: trapdog1] #7587123
05/19/22 08:23 PM
05/19/22 08:23 PM
Joined: Mar 2010
Posts: 5,922
2A Sanctuaries-W. OK & N. NM
Blaine County Offline
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Blaine County  Offline
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2A Sanctuaries-W. OK & N. NM
Originally Posted by trapdog1
Hey Blaine County: What say you about this? I realize this may not be your area of expertise, but a lawyer's take would be interesting.


I represent energy companies, mostly oil and gas but some renewable, almost exclusively. We're seeing some solar but so far it is mostly wind. I generally know the ballpark rates for wind, but unfortunately am not up on current solar rates. We're also seeing some battery facilities coming to Oklahoma.

As for reclamation, insolvency, taxes, etc., read your lease closely and get a lawyer in your state who actually knows what he/she is doing. It is very state specific. It's also industry specific. And, if you're in oil and gas country--the renewable leases are very, very different than oil and gas leases.

If it was my client, I would say no way on free electricity. Too much liability. I defended a fair number of "house gas" cases back in the day. Some old oil and gas leases gave free gas to the lessor--who often blew up a barn or a house. One Plaintiff I recall used a garden hose to get gas to the house....

Re: Leasing land for Solar farms [Re: coondagger2] #7587249
05/19/22 11:27 PM
05/19/22 11:27 PM
Joined: Dec 2006
Posts: 3,489
Moved to Fbks, Ak.
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martentrapper Offline
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Joined: Dec 2006
Posts: 3,489
Moved to Fbks, Ak.
Originally Posted by coondagger2
Local farmer here leases 627 acres for a solar farm

They pay him $500 per year per acre. No free electricity.

That is $313,000 per year for the next 20 or 30 years

For a smaller farm like 10 acres the yearly rate per acre should be higher


At 313 thou a year just in rent, does the solar company actually make money? How many megawatts of power can an acre of solar panels produce per year in N.C.? In Alaska a watt of panel rating will produce 1 kWh of power per year. I would assume that total yearly sunlight is similar regardless of where on the planet you are with accounting for average yearly weather conditions.

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