Getting Title Right for Solar Energy
Picture this: You’re a solar energy developer who just completed a multi-year (and multi-million dollar) utility-scale solar project. Over 1,000 acres of solar panels are set to go live any day now, and to say you’re excited would be a massive understatement.
Then, the unthinkable happens.
While browsing your inbox, you notice an email from an attorney’s office. Apparently, someone has stepped forward claiming to be the mineral rights owner for a 50-acre tract—one that’s smack dab in the middle of your solar park.
Your mind races. How did this happen? What does it mean for your project? What will investors say?
Nightmare scenarios like this may seem unlikely. But, without the right due diligence, even an unlikely situation could pose a real risk. That’s why partnering with our team at New Era Land Services is a smart investment.
Gaining a Clear Picture of Title is Challenging (But Necessary)
Knowing who owns what may not be as straightforward as it seems. Several factors add complexity to the equation, such as:
Severed Mineral Rights: States like Illinois, Louisiana, Texas, Kansas, and Colorado allow for severed mineral rights. That means a parcel’s surface and mineral rights could be controlled by different parties. To further complicate matters, mineral rights often take precedent over surface rights. In other words, getting oil out of the ground may supersede surface-level projects (like your solar park).
Number of Parcels: Piecing together hundreds or thousands of acres for solar is a big project—one that likely involves dozens of land parcels. In states with severed mineral rights, you’re facing an especially complex situation with many moving parts.
History of Ownership: Many properties in the United States have exchanged hands for the better part of 200 years. Owners come and go, new heirs take possession, and boundaries keep changing. Continual change muddies an already opaque chain of title.
Local Data: No database fully catalogs the chain of title for every parcel in the United States. Rather, in many cases, someone must do the tedious work of visiting local courthouses, leafing through deed books, collecting documentation, and preparing run sheets.
Let’s Work Together to Get Title Right
Avoid nightmare scenarios by putting your solar project on solid ground. Partner with an experienced company like New Era Land Services for a comprehensive understanding of title within your area of interest. Let us handle the various aspects of title research—investigating mineral and surface rights, researching mortgages and easements, and building ownership reports—so you can stay focused on your project.
Need title insurance? New Era Title Solutions, our affiliate company, can help!
Contact us to discuss title work for solar projects.