|
Southwest Illinois | So the pipeline is purchasing the ground? Or are they getting a pipeline easement?
I have not seen in our area that a pipeline purchases the ground, except for cases when they need above ground structures. If they are buying it you lose all control and if the tract they purchase divides the tract you are left with you can make a case that the pipeline purchase detracts from the value of the parcels you are left with. This has been a somewhat common argument when new roads or highways are built. There are cases when interstates are built that a large tract is divided into two smaller ones and while they lay across the highway from each other sometimes there is 10 or more miles of roadway separating them.
If it is an easement then it becomes more challenging. The court will uphold the valuation for the highest and best use. So if it is currently in corn and bean country and you have been using it for such it is kind of hard to argue a price based on a vineyard or vegetable farm. If you could, you could say it may have a hotel on it someday 100 years from now. So you have to be realistic. If your farm is adjacent to or near a development or is in an area where vineyards or veggies are increasing you may have some claim that the best use is in transition.
Railroad, pipeline and highway easements suck plain and simple. About 20 years ago our local county took thousands of acres to create an airport. They took lots of land that at the time was selling for $2500 an acre. Some fought tooth and nail and spent a load of money in court and in the end they did get a little more money, but most of that was wasted on attorneys fees and in the end when they finally did get their money prices had increased by at least $1000 or more per acre. Some of them probably came out less ahead than those who negotiated in good faith from the beginning. My advice is communicate with them in fair manner, as soon as you become unrealistic they will dig in with corporate lawyers and start playing local politics against you and the ending will not go well. I am not suggesting to roll over, but if you are just trying to milk old Bessie for more than it's worth you may be disappointed. | |
|
most valuable land use
