5 Benefits to the Recipients of Florida Conservation Easements

A conservation easement is a voluntary legal agreement between a landowner and a government agency or qualified conservation organization that restricts specific uses or development on the land. This is a landowner’s way to protect his land for now and in the future. One of the significant benefits of a conservation easement is the protection of wildlife habitats, natural lands, and resources for generations to come.

The seller of a conservation easement is a landowner who desired to restrict development or land use through this option, but still holds on to ownership of the land.

The buyer or recipient of a conservation easement is typically a government conservation program or a private conservation organization. While the landowner seller has specific benefits that make a conservation easement desirable, the buyer or recipient too reaps benefits from this type of transaction.

• Five Benefits to Buyers or Recipients of Conservation Easements


• The buyer or recipient can protect more land resources with fewer dollars by buying rights to the land and not the land itself.


• The buyer or recipient obtains land by way of the conservation easement that might otherwise be unavailable (for example, the landowner isn’t selling the land outright, but is interested in a conservation easement).


• The land continues to provide economic activity.


• The land stays on the tax roll.

Conservation easements benefit all involved. The landowner controls the land, the conservation buyer or recipient is assured that the land will not be developed, and often, the public is the greatest benefactor through preserved recreation areas and enjoyment of natural lands.

For more information on conservation easements, land, commercial, industrial properties, and land and resource management, please visit http://www.saundersrealestate.com/ or call Dean Saunders at 1-877-518-LAND.

~Dean Saunders, ALC (Accredited Land Consultant), is considered in the industry as an expert on process of conservation easements, understanding the needs and processes of the government agencies involved. The company, Coldwell Banker Commercial Saunders Real Estate, is located in Lakeland, FL and offers real estate services for land, commercial, industrial and conservation properties, as well as land and resource management.

Tax Advantages for Landowners Who Sell a Florida Conservation Easement

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The pathway to conservation easements
is not always a straight linebut,
more often than not,
is worth the trip.
[Dean Saunders, ALC]

Most landowners are interested in tax advantages when considering a conservation easement. Landowners may receive income tax advantages that include gifting, tax deferred exchanges, and gains used against the basis value. Tax advantages can also assist in the transfer of property from generation to generation and can lower estate taxes for heirs by maintaining the agricultural classification of the land.

A Generational Transfer may benefit a landowner by lowering the value of the property for estate tax purposes. This happens because after the rights to develop it are sold, the highest and best use of the land is usually agricultural.

Gifting is a using the conservation easement as a donation to the government or to a qualified conservation organization. Gifting is treated as a charitable contribution and results in lower Federal income tax.

A Tax-deferred Exchange is an option allowed by the IRS for landowners who owe capital gains taxes because of the sale of property. This defers paying the tax by purchasing another piece of property instead of paying the tax. Known by several terms, a tax-deferred exchange is often referred to as a Like-kind Exchange or a 1031 Exchange.

The IRS allows a tax exchange for owners who have a capital gain because of the sale of a conservation easement. In my award-winning booklet, “We Create Solutions for Landowners: A Primer on Conservation Easements,” see case study #1 for an example of how this might work for you.

Gains Used Against Basis includes basis as the amount you paid for the property, plus the value of any capital improvements, less any depreciation claimed. If you sell a conservation easement, the IRS will allow you to reduce your basis by the amount of the conservation easement, which may result in you not paying any capital gains taxes. In my award-winning booklet, “We Create Solutions for Landowners: A Primer on Conservation Easements,” see case study #2 that uses this tax advantage.

To take advantage of a Federal income tax deduction, a conservation easement must be perpetual and given to a specific division of the government or a qualified conservation organization. Annually, the division or organization monitors the property to assure that the easement is not being violated.

For more information on conservation easements, land, commercial, and industrial properties; and land and resource management, please visit www.saundersrealestate.com or call Dean Saunders at 1-877-518-LAND.

~Dean Saunders, ALC (Accredited Land Consultant), is considered in the industry as an expert on process of conservation easements and understands the needs and processes of the government agencies involved. The company, Coldwell Banker Commercial Saunders Real Estate, is located in Lakeland, FL and offers real estate services for land, commercial, industrial and conservation properties, as well as land and resource management.

8 Benefits for Landowners Who Sell a Florida Conservation Easement

This article may also be found in its entirety here:

CBCMarketConnect.com
LandThink.com

The pathway to conservation easements

is not always a straight line but,

more often than not, is worth the trip.

[Dean Saunders, ALC]

A conservation easement is a viable solution for landowners who want to protect their land from development. Simply put, a conservation easement is a restriction on the use of property owned by an individual, similar to a deed restriction. It is recorded in public records and generally is in perpetuity. Landowners who sell conservation easements can control the ownership of the property, while receiving money for the easement. The government receives assurance that valuable land will be protected from future development.

What are the specific benefits to the landowner? Below is a list of eight of the general benefits for considering a conservation easement:

• The landowner maintains control and ownership of the property.
  
• Each conservation easement is individually structured to meet the needs of the landowner, along with the conservation criteria and can be structured broadly or specifically.
  
• The landowner keeps the land and receives payment for the appreciated value caused by development pressure.
  
• The landowner assures the property is protected for future generations.


• The landowner continues to receive income from his land.


• The property may be sold and the restriction travels with the property.


• Future generations are assisted in the transfer of the land by favorable estate tax treatment.


• Landowners may gain income tax advantages. Tax advantages can assist in the transfer of property from generation to generation and can lower estate taxes for heirs by maintaining the agricultural classification of the land.

For more information on conservation easements, land, commercial, industrial properties, and land and resource management, please visit http://www.saundersrealestate.com/ or call Dean Saunders at 1-877-518-LAND.

~Dean Saunders, ALC (Accredited Land Consultant), is considered in the industry as an expert on process of conservation easements, understanding the needs and processes of the government agencies involved. The company, Coldwell Banker Commercial Saunders Real Estate, is located in Lakeland, FL and offers real estate services for land, commercial, industrial and conservation properties, as well as land and resource management.

Florida Conservation Easements: the Essence of Landowner’s Property Rights

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CBCMarketConnect.com

LandThink.com
~~~~

The pathway to conservation easements
is not always a straight line
but, more often than not,
is worth the trip.
[Dean Saunders, ALC]

Conservation easements are powerful, effective tools available to landowners for the permanent conservation of private lands in the United States. The use of conservation easement options has successfully protected millions of acres of wildlife habitat and open space, keeping land in private hands and generating significant public benefits.

The primary purpose of a conservation easement is to give a landowner the right to protect his land from certain types of development or land use.

This opportunity appeals to property owners who hold undeveloped land that is agricultural and/or has timberland, wildlife habitats, natural open space, and those with natural resources. Simply, a conservation easement is a restriction on the use of property similar to a deed restriction. It is recorded in public records and generally is in perpetuity. The government receives assurance that this valuable land will be protected from future development.

When you purchase land, you also purchase a bundle of rights. These rights include, among others, the right to develop, and the right to minerals and water. Collectively this bundle of rights is called “fee title.”

As a landowner, you also have the ability to sell some of these rights while maintaining ownership to the land. This is generally known as selling a “less-than-fee” interest. A conservation easement is a form of “less-than fee” interest and is a voluntary agreement that allows a landowner to limit the type or amount of development on their property while retaining private ownership of the land.

When you choose to give up some of these rights, by either donation or sale, you are compensated. The more rights you relinquish to the recipient, the more compensation you’ll receive, by either tax benefits or direct dollars, or both.

As a Florida native, born and raised in Central Florida, I have a strong heritage that appreciates the “old Florida” lands with their natural beauty and habitats. With progress and development of the past years comes the destruction of these lands in favor of buildings, roads, homes, and communities. Progress is needed to support our communities; however, today we find too few acres of “old Florida” and too few habitats for Florida’s unique wildlife.

My life’s work, first in the Florida legislature and now in real estate, has been closely tied to conserving Florida’s landscape through work in the legislative process and guidance to landowners for conserving their land. One opportunity we consider is a conservation easement. A conservation easement is recommended to my real estate clients when the property is right, meets qualifications, and the landowner desires a way to keep the property from major development.

As a member of the Florida Legislature from 1992 to 1996, I led the establishment of the Green Swamp Land Authority that resulted in the first Florida state agency ever created to purchase development rights from landowners. This work was instrumental in the passing of the law requiring Florida state agencies to purchase a specific number of conservation easements each year. Today, not only is the number of conservation easements being bought by the federal, state, and local governments growing, but also we see a demand from private conservation organizations.

Florida tourism and population boom have made land more valuable than ever. Some landowners would like to profit from the increased value, as well as preserve the beauty and function of their land. Others want their land to stay in the family, but worry that estate taxes will force their heirs to sell.

While many conservation easements are donated, others are also sold. If your land qualifies as a conservation easement, it is worth your time to research how this can benefit you and your family for generations to come.

For more information on conservation easements; land, commercial, and industrial properties; and land and resource management, please visit http://www.saundersrealestate.com/ or call Dean Saunders at 1-877-518-LAND.

~Dean Saunders, ALC (Accredited Land Consultant), is a leader in conservation who understands the needs and processes of government agencies and private conservation organizations. The company, Coldwell Banker Commercial Saunders Real Estate, is located in Lakeland, FL and offers real estate services for land, commercial, industrial and conservation properties, as well as land and resource management.

All You Need to Know About Florida Conservation Easements

And Then Some.............

Welcome the second publishing of the award-winning booklet, We Create Solutions for Landowners: A Primer on Conservation Easements!

The update and additional information on conservation easements is now available to you to guide you when considering the selling of your land. It is a “must read” for anyone who would consider a conservation easement as an option.

Originally published in 2002, the booklet offers a wealth of information and advice on one of real estate’s most specialty options – the conservation easement. It was created to provide insight and answers to questions about conservation easements, property rights, and landowner rights - simply stated and easy to understand.

As a former Florida legislator who assisted in creating and passing important conservation legislation, I worked to further property rights of landowners, and served with Florida US Senator, then Florida Governor, Lawton Chiles. You may download your complementary copy of this booklet here.

~Dean