Projected Pipeline

[txdon]

^^^^......and, figure in the cost of a good attorney into the cost of the property or easement.

Most Attorneys will add stipulations to the ROW and get you more money. However they will take the extra money for their fee and if you go by the checklist in my previous post you can save the fee. Many do hire lawyers and many ROWs are amended willingly by the pipeline. The First ROW agreement you get from them has only the basic terms. You must request all your terms and a higher payment for the ROW than offered.

The first land man to approach me, well lets just say he turned me in as too hard to deal with, so I was transferred to a "special group". The ones that don't fold quickly. I got more money and better terms for Mom. In the middle of the negations they sent a letter to mom and told her they would just pay the value of the land which was less than the original offer. That lead to a heated discussion. As you can tell it is a hassle.

 

[ruffdog]

Pipe lines run pretty much everywhere. They are pretty darn safe (not perfect) and the company has to take care of them. We all drive things that flows in them. I worked on them for years so of course I'm in favor of them.

Um.....35 leaks in the first year?

Oil spill casts doubt safety of proposed Keystone XL

 

[oosik]

Too many unknowns right now. You want peace & quiet - you will always be worrying about exactly what they will do. I'd look elsewhere.

BTW - here in the USA - eminent domain refers to the unique powers of the State or Federal Gov ONLY. It is not a power given to private people or private companies.

 

[hosspuller]

Too many unknowns right now. You want peace & quiet - you will always be worrying about exactly what they will do. I'd look elsewhere.

BTW - here in the USA - eminent domain refers to the unique powers of the State or Federal Gov ONLY. It is not a power given to private people or private companies.

Technically yes … But look up SCOTUS and Kelo. And look at which justices sided with the city. Remember that when you vote in 2020.

 

[Jlblake]

I just finished negotiating a pipeline agreement for my mom's property. 110 miles from Houston. The pipeline people will make several offers do not take the first one. The working area will be double the width of the right way. You will loose all trees and roads must cross the pipeline perpendicular. No ponds or buildings can be built on the right of way. Airplanes will monitor the pipeline - one caught me pulling up an old fence post and within an hour a pipeline representative was questioning me to make sure I was not putting a fence post in the ground near the pipeline. If you buy the land make sure you get paid the price of the devaluation of your land - of course they can just take it if you are unreasonable and pay you what they want.

This property is about 100 miles from Houston. At this point, looks like the seller doesn't think the price should be impacted by the uncertainty. The thread got a little sideways by focusing more on the easement. At this point I'm not worried about the easement, I'm worried about the worst case scenario...that I spend $500k and don't have peace and quiet.

If all that happens is that a pipeline gets installed, no problem. If anything obstructs my ability to get away and enjoy peaceful country life then it isn't worth the money. I just don't know what will happen. I thought a contingency contract would make sense...either I pay them full cost and they return part if property is not suitable or I pay them less and settle up in 4 years after the line is complete. These guys want their price and they don't care what the buyer has to deal with. I don't know if any of this will ultimately matter or not. Just a bad situation but like many properties, this is a one of a kind property. Buying a different property, building the home and the lake...just to find out that the same thing could happen there...tough choice I have to make by Tuesday.

 

[Jlblake]

They can pay what they want with their justification. The state of Texas has given them the right of eminent domain. As I said correctly they will pay you what they want. They can take a strip out - several thousand feet long and 30' wide - figure how many acres and give you the going rate per acre (if you were selling) for the ROW with no ending date. You have to try to get more from them because the ROW has now decreased the total value of all your attached acres. Just the plan of a pipeline the OP wants to devalue the entire land by 15%, and probably correctly so. If he can do that and then negotiate the 15% back on the ROW, plus the actual sales value of acres the ROW takes up, he would be making money.

You need to add an ending date before signing usually when the pipeline is abandoned. Also define abandoned. And add that they are responsible for removal of the line and all accidental spills. You also need to add that the ROW is for one line only or they will sell their ROW and another pipeline can be added without any compensation given to you.

We did have one landowner who wanted more than what the pipeline wanted to offer and went to court with a jury and won. But it was a short lived victory because the judge turned it around. He did end up getting a bit more than the going rate but the lawyer's fee had to be paid out of that.

this was my thought exactly...reduce price by 15% to protect myself. Between that and the easement, I can avoid losing $100k or more.

 

[Jlblake]

Most Attorneys will add stipulations to the ROW and get you more money. However they will take the extra money for their fee and if you go by the checklist in my previous post you can save the fee. Many do hire lawyers and many ROWs are amended willingly by the pipeline. The First ROW agreement you get from them has only the basic terms. You must request all your terms and a higher payment for the ROW than offered.

The first land man to approach me, well lets just say he turned me in as too hard to deal with, so I was transferred to a "special group". The ones that don't fold quickly. I got more money and better terms for Mom. In the middle of the negations they sent a letter to mom and told her they would just pay the value of the land which was less than the original offer. That lead to a heated discussion. As you can tell it is a hassle.

it is going to be a hassle. The question is, should the cost of the property before news of the pipeline be the same as the price after news of it? That's what I'm arguing with the seller. Ultimately it's their choice but there is a lot of risk and uncertainty if I proceed. I agreed to a set price based on the expectation that it was turn key. Now it's anything but turn key. I'm going ahead and getting the inspections done for the home, septic, wells and lake Friday. If that comes back with any problems, it should be easier for me. I can handle the landman later and I think the checklist is a good start. I'm ready for them. Just don't know if they'll stick a noisemaking station near my property if I buy it.

 

[Jlblake]

So what is your real purpose in owning the land?
I have a feeling that there is more to the story.
You mention your intent and add several comments about future selling.
It doesn't sound like a home site motive, so walk away.

Rest and relaxation. That's it. The selling comment is simply due to the fact that nobody gets out alive and all property is eventually sold. My kids may appreciate me putting some effort into protecting my legacy. Walking away sounds easy. Have you shopped for property in southeast Texas lately? This is a nice property. If I knew what would happen with the pipeline, the decision would be simple. I just don't know and that's uncomfortable. Nothing more to the story.

 

[txdon]

Just a thought: How are the roads to this property? If they are in poor shape it might disqualify for a pumping station. The pumping station here is on state highway 77.

 

[Jlblake]

Just a thought: How are the roads to this property? If they are in poor shape it might disqualify for a pumping station. The pumping station here is on state highway 77.

good point. Roads are good though. This is in Leon County, probably east of you. Are you being impacted by the Permian Global Access Pipeline?