I know this is largely a place to discuss minerals and everything associated with minerals. Has anyone leased their surface to any green energy companies or renewable energy companies like wind or solar? If so, was there a change in how your land was appraised from agriculture to commercial? Was the increase significant?
Thank you for your help.
Solar leases are very complex and you should get legal advice from an attorney experienced with these kinds of specialty leases. They include a clause requiring the solar company to pay all additional real estate taxes relating to the land an all their panels. Often you will lose your agriculture exemption. In Texas, this often means going back for 3-5 years and paying additional taxes. Other states will vary in tax treatments.
Tennisdaze’s advice is excellent. Commercial land is assessed at a higher rate even when the tax rate per $100 stays the same. You lose your agriculture exemption and probably a homestead exemption.
All the more reason to have an attorney experienced in the alternative energy field represent you if you are contemplating a lease.
Great Post and advice, very informative! The App. Districts in Texas are going to have to change their methods for the upcoming tax year most likely if the new tax bill is passed in the upcoming Nov. Elections.
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