It is no secret that land is at a premium here in California. For this reason, it may work to a developer’s benefit to consider purchasing a piece of abandoned property that requires revitalization. Doing so could result in an ultimately profitable development.
The Environmental Protection Agency’s Land Revitalization Program encourages developers, local government and the public to take on abandoned sites and make them useful again. The documentation on these sites helps eliminate any surprises in the future and let’s a developer know what the issues currently are. Some of the locations provide access to nearby communities and already have infrastructure, which makes them good candidates for development.
The cost could be a deterrent for many, but it may be possible to receive government funding, tools and information to prepare the site for development. Grants, loans and other incentives could offset the additional costs associated with taking on an abandoned site. It would certainly be necessary to gain an understanding of the future potential of the property to see the swan that could come from such an ugly duckling. Such imagination has led to some of the most popular developments here in California and across the country over the years.
Another aspect of planning a development on abandoned property is the legalities. While many business decisions need addressing, a number of legal issues do as well. An ordinary project involves legal matters to address, but when deciding to purchase an abandoned and contaminated property, the legal issues may increase. Leaving these legal matters in the hands of an experienced real estate attorney could make the process go more smoothly while protecting important rights and interests.