Advice on Contaminated land

[bbcustoms]

Just wondering if anyone has dealt with or knows the legality's regarding contaminated land and ownership.

I am looking at a piece of industrial land that has Creosote contamination. Creosote does not evaporate it just gets pushed further into the ground and bedrock year after year, I have all the reports, I know what has to be done in order to build on it. My question is if I purchase the land and do nothing but sit on it can I be held responsible for costs associated if the contamination leeches into an adjacent property, or city property, city sewers? Additionally is it something that could come back on me after I sell the property if it was deemed to have leeched further or into other areas while the property was in my possession?

Thanks in advance

[Feruk]

Why would you buy this parcel?!

[tsi_neal]

Originally posted by bbcustoms
Just wondering if anyone has dealt with or knows the legality's regarding contaminated land and ownership.

I am looking at a piece of industrial land that has Creosote contamination. Creosote does not evaporate it just gets pushed further into the ground and bedrock year after year, I have all the reports, I know what has to be done in order to build on it. My question is if I purchase the land and do nothing but sit on it can I be held responsible for costs associated if the contamination leeches into an adjacent property, or city property, city sewers? Additionally is it something that could come back on me after I sell the property if it was deemed to have leeched further or into other areas while the property was in my possession?

Thanks in advance

Without knowing all the details, typically the generator of the contamination will be held liable for any cleanup costs. But often that ship sails and being an owner while contaminants are migrating offsite will pretty much leave you responsible for the cleanup bill.

[bbcustoms]

Originally posted by Feruk
Why would you buy this parcel?!

Storage yard

[bbcustoms]

Originally posted by tsi_neal



Without knowing all the details, typically the generator of the contamination will be held liable for any cleanup costs. But often that ship sails and being an owner while contaminants are migrating offsite will pretty much leave you responsible for the cleanup bill.

The generator of it is long gone.
Is it for sure my responsibility even if I do not develop the land at all?

[ExtraSlow]

The Government has some pretty extrodinary powers to force people to clean up contamination if the generator is not able.
It doesn't matter if you produce the waste, the government could force you to clean it up, regardless.

[muse017]

If any form of underground water sources are closer by....I wouldn't even touch the land at all unless you will be performing a proper clean ups which can easily cost you $100,000 depending on the size of property. Once creosote migrates into the underground water body and starts to contaminate adjacent properties, you will pretty much get sued from every land owners around you.

[ExtraSlow]

Originally posted by muse017
..... a proper clean ups which can easily cost you $100,000 . . . .

Could be a hell of a lot more than that. I've worked with oil and gas companies who have had to clean up small leaks from underground condensate tanks. Clean up from small leaks can be over $100,000. If this site was anything industrial that used creosote and it was leaking for several years, it could run into the millions pretty fast.
Alberta has lots of land, why would you deliberately take this risk?

[Feruk]

Originally posted by bbcustoms


The generator of it is long gone.
Is it for sure my responsibility even if I do not develop the land at all?

To re-iterate what's been said and hopefully convince you... The responsibility will fall onto you. I can only speak from oil & gas experience, but if one company buys the assets of another, they take the environmental clean up responsibility with them. I'd imagine it'd be the same for individuals. Clean up would cost you in the millions likely. Even something like a minor oil spill will often go into the hundreds of thousands, and that doesn't involve digging up and disposing of all the soil, not to mention the trouble you'll have if contaminant gets into the water table.

Stay far far away!

[Cash Money Hoes]

Where is the property located? If the site is contaminated you will likely be unable to get financing from a traditional lender and when you go to sell the property your buyers will not be able to get traditional financing. This will decrease property value and the pool of buyers. PM me for information related to the legalities and liabilities associated with contaminated land.

[Canadian 2.5RS]

Only on beyond does a guy named Cash Money Hoes and drives "Pipe" offer some of the most sound advice in this thread.

I'll join in with the mob and tell you to stay away. Is is worth the hassle/stress? Not even counting the costly clean up that you may, or may not, be responsible for, do you really want to be the owner of contaminated land? That's not typically a selling feature.

Picture this scenario...
Hey I got this land I bought a few years ago. The market has gone up. I should sell this land and make some quick cash. Here's my kijiji/ebay/whatever the fuck ad.

FS: Contaminated land OMGWTFBBQ MEDIUM$$$

Your 1st email: I'll give you SMALL$$$ but only if you will deliver to my house. Sell to me or I will come to your house and rape your pets.

Your second email: This is the federal/provincial/municipal government...UR FUCKED! Clean it up! Lol pwned!

Your last email: This is your mom. What do you mean you are broke...The land didn't sell...Couldn't find another sucker huh?...Take the gun out of your mouth...Oh, I'm leaving your dad to become a Chicago street walker. It is the windy city you know. Sorry for your luck. hugs, Mom

It could happen to you.

Seriously though...don't do it. It's not worth it.

[dawerks]

Open a LLC, or corporation. Buy it through there to limit your loses.

If you are forced to clean up, you have outs. Buying it under your name with such a huge liability is stupid.

[Cash Money Hoes]

Canadian 2.5RS, I don’t know whether to be insulted by or complemented by your assessment of my advise.

[bbcustoms]

Thanks everyone for all the advice, I already had a gut instinct on it and just wanted to see if there was any different opinions before I spent money on a lawyer.

It would for sure be a purchase through a separate ltd. corporation away from my other companies but I am thinking it might be safer just to stay away altogether.

The area is almost 2 acres, required cleanup would probably be well into the millions if I was forced to do it. From what I can tell in the reports it has already been found in the bedrock and ground water within the property.

The reason I have been considering is because of location and lack of available land in the area but I think I will just steer clear on this one to be safe.

Thanks again