Land Leases

Land Leases

The recent development of solar technology has provided an unexpected source of revenue for landowners across the U.S. Land Leases provide landowners the opportunity to generate profit from land that previously did not provide direct financial benefits. An example of this would be the vast farmlands across the U.S., which could potentially provide an unexpected cash flow to owners of land which is not efficiently generating profit.

A Land Lease differs from a Power Purchase Agreement (PPA) in that the Owner of the land is not required to purchase power from the system. A Land Lease simply provides land owners with the option of utilizing land that is currently not generating positive cash flow. A Land Lease is also beneficial to land owners in that they are not responsible in providing labor to upkeep the land or system, although the terms of the situation are negotiable and can be unique to each Owner’s preference.