Lease Land For Solar Farm

Solar farm land lease rates in the right locations solar is one of the most profitable uses of rural land.

Lease land for solar farm.

What annual payment will i receive in exchange for granting the option to use this land for a solar farm what payments will be made prior to the start of any solar project. Depending on field access one of those smaller fields may no longer be accessible if a solar project is constructed in the middle of the existing large field. On average 1 acre solar farm cost about 500 per month to lease in the united states. However pinning down an exact figure of what land should rent for can be a challenge for landowners because of the wide range of data found on the internet.

A landowner who enters into a solar lease should expect to have solar panels on his or her farm for 40 to 50 years. Installing a solar farm on farmland could cause the land to lose its current agricultural use value status since. For example the solar farm land requirements for a 1 megawatt solar plant is around 5 acres. The above cost is non inclusive of the license fees and value of the land.

Solar developers pay anywhere from a few hundred dollars up to a few thousand dollars per acre leased. Solar leases are long term usually at least 20 years initially with an option to renew for another 20 to 25 years. Lease your land to a solar company. It varies considerably by the developer the size of the project the state the land is in market competition in the area from other solar developers as well as companies interested in your land for other uses and several other factors.

It is a great opportunity for landowners to generate stable income for 25 years at a premium. With a local solar project the community also benefits from more local jobs discounted energy and a healthier cleaner environment. Lease land for solar farm whether landowners are interested in increasing the revenue your land generates land banking your property until more lucrative future development opportunities are available or being part of the paradigm shift to renewable energy a solar ground lease is a fantastic option for landowners. Solar ground leases can last between 15 and 30 years with most lasting around 20 to 25 years which coincides with the useful life expectancy of solar pv panels.

The solar company may only end up leasing a portion of the property and then as a land owner you could be left with two small fields with a solar farm in the middle. The short answer is it depends but solar lease rates also called rents typically range from 250 to 2 000 per acre per year this article looks at the factors that influence the rates a solar developer may offer for your land. The cost of land for 1 mw plant will therefore translate to 2 500 per month on average. First even though solar farms typically require less maintenance than other forms of energy generation they can still have a dramatic effect on the local surroundings.