- Keep your land and the income stream
- Sell the land and keep the energy income
- Sell the energy income and keep the land
Lease Land for Renewable Energy Income
by
James Whitney
|
Uncategorized
Over the last 10–15 years, landowners have had more chances than ever to use their land for renewable energy projects. Before you sell your land, consider leasing it for solar or wind energy. Many properties have potential for these kinds of projects, and they can create long-term income.
Several factors help determine if your land is a good fit for solar or wind energy. These factors include how near your land is to power lines, the slope of the land, and the number of sunny days. They also consider wind patterns and historical or archaeological importance.
One of the most important choices you’ll make is who to lease your land to. As a landowner, you may already be getting letters or cards from solar or wind companies. Not all companies are alike. Some are experienced and trustworthy, while others may lack the resources to finish a project.
Be careful of companies that want to sign a long-term lease but don’t have a strong plan or funding in place. Often, they’re just trying to tie up your land and then figure things out later.
Leasing land for renewable energy is a good idea. Choose a company that can pay for and build a solar or wind project. These kinds of projects take time—often 5 to 7 years from start to finish—but if successful, they can generate income for generations.
Our team at Whitney Land Company has worked in farm and ranch real estate for over 50 years. We have helped many landowners with wind and solar lease talks. We also often speak with those who already have energy leases. We understand how to guide landowners through these opportunities and connect them with experienced energy developers.
Instead of selling your land outright, you can lease land for renewable energy. This means you keep ownership of the land while earning income from the lease. If you build the project and it starts generating income, you have a few different options. You can: