Clean Energy Firm SunEdison files for Bankruptcy

SunEdison is a solar and wind company that was worth almost $10 billion less than a year ago. It has a mountain of debt to deal with. It has filed for Chapter 11 reorganization in the hopes to keep it afloat. It has $300 million in new financing to continue current projects, pay wages and keep things afloat. Recently its stock SUNE was at $33 a share but it has dropped under 30 cents a share. The company had made some solar plans in the Antelope Valley, but they have done more solar and wind in South Korea and Germany. They also have two subsidiaries TerraForm Power and Terra Global with inroads in Brazil, India and China. The bankruptcy doesn’t involve these two spinoffs. There have been other solar energy bankruptcies and one a few years ago in the Antelope Valley on the far-east side in High Vista Area. First Solar operates several solar farms in Antelope Valley and it is publically traded, but a number of other solar firms are private enterprises.

San Francisco based Silverado Power Plans to build Six Solar Sites in parts of Lancaster and Los Angeles County

Silverado Solar plans to build six solar energy fields within almost 1,000 acres in unincorporated Los Angeles County. The projects are on the west side of Hwy 14 and they all have been partially approved by Lancaster Planning Department and Los Angeles Regional Planning. They run between 30th Street West and 120th streets West. Lancaster planning’s website indicates that two of them will be above Ave D near Hwy 14, while the other four will be south of Hwy 138. Silverado is currently buying the land and negotiating prices with realtors and sellers. What seems unique is that some of the parcels are 2.5 acres in size such as the area at 100th West at Ave K. Most of the time we have found that solar firms target large parcels. This causes the solar firm to negotiate with numerous sellers while getting approval from LA Regional Planning. According to AV Press, the six projects will generate a combined 172 megawatts of energy with the largest one being a 52 megawatt facility on 256 acres, running from avenues J to H-8 between 85th and 97th streets west. There are a lot of individual parcels in this area as well. Officials have yet to fully approve the plans and are still receiving public comments as part of the environmental impact review process. Dust and the availability of water seems to be a hurdle. Silverado claims to have a solution to use water outside of the area or reclaimed water. There have been a lot of solar projects and this dust issue was not addressed with the other projects now run by First Solar. Silverado came late to the game and now they have to implement dust control guidelines as part of the environmental report. It is very likely they will have a number of other mitigation procedures because of the impact on the burrowing owl, ground squirrel and other plant and animal species that maybe affected. The west side of Antelope Valley has seem an increase in land sales because of all of the solar projects in the area. Many local homeowners don’t like this alternative energy growth so close to home, but the land owners who live elsewhere have been happy to unload their land. Stay tuned here with vacantlanddeals.com and we will provide current updates on this project and others as they affect real estate in Lancaster and Palmdale, Ca

US Topco Energy Inc. of Taiwan Furthers Solar Relationship with the City of Lancaster

The city of Lancaster press release earlier this summer regarding the Topco partnership where Mayor R. Rex Parris remarked “Great partnerships such as these are vital as Lancaster strives to further our goal of becoming the solar energy capital of the world.”

According the city of Lancaster press releases and AVPress earlier this year, Lancaster residents consume an estimated 200 million kilowatt-hours of electrical power a year. City Council members approved an original memorandum of understanding with TopCo Energy for a photovoltaic solar power plant on April 12. That original agreement was aimed at developing one or more photovoltaic solar power plants "capable of generating at least 50 megawatts of electrical power," city officials reported.
The amended agreement signed in July increases the size from 50 megawatts "to a total aggregate of up to 200 megawatts of electrical power." The goal of Lancaster is to become a net-zero energy city, so partnerships like this with Topco will further enable that goal. Through agreements like this the city of Lancaster will generate more power than they need and so can resell excess power to Southern California Edison for regional consumption.

According to Us Topco Energy Inc. website they produce a line of service that includes the planning and establishment of solar power plants ranging from 500kW to 50mW to various new and retrofit commercial and residential constructions. Topco is at least one of twelve solar companies that are using the power of the sun in Lancaster and Antelope Valley to establish solar facilities for the production of energy for the region and state.

In our opinion this is all good news to the land investor as the cities of Lancaster and Palmdale will not only grow with urban growth with the continual population explosion in this region. They can also continue to grow economically with the power of the sun and wind in the region. The city of Lancaster should be commended for taking advantage of new solar technology and the large amount of vacant land and open space. Investors should take advantage of this growth and invest in Antelope Valley land as its future is on the rise, while the stock market is on the wane. Contact VacantLandDeals.com today and invest if low risk land banking.

Sunlight Partners Gets Initial Approval for Photovoltaic Solar Site at 40th Street East at K8

The Lancaster Planning Commission minutes from their recent meeting indicate that Sunlight Partners is requesting a conditional use permit for the construction and operation of a photovoltaic solar electric energy generating facility in the Rural Residential Zone. The proposed project consists of rows of PV panels on single axis trackers which would generate approximately 1.5 megawatts (MW) of electricity. The City of Lancaster has determined that the development and use of alternative energy is beneficial to the community, and this determination is evident in the decisions made by the City Council. The City Council has implemented several solar and wind energy programs thus far and they are working to install solar panels on City facilities. Additionally, the City’s General Plan has several policies pertaining to alternative energy. These objectives address the need to develop new sources of energy, as well as reduce energy consumption, and it is consistent with the City’s goals according to the Commission.

The project site is currently vacant and zoned SRR (Semi Rural Residential). However, the City’s zoning code does not permit the development of commercial-style solar energy facilities under the current SRR zoning; therefore, rezoning of the site to RR-2.5(rural residential) is necessary to allow the project to move forward. The proposed project would operate year-round, producing a total of 1.5 MW of renewable electric power during daytime hours. Power generated by the proposed project would be sold to Southern California Edison. The proposed project consists of rows of photovoltaic panels on single axis trackers with three inverters in the middle of the project site. These photovoltaic panels would convert sunlight directly into electrical energy without the use of heat transfer fluid or cooling water. The project would tie into the transmission lines that run along 40th Street East. A chain-link fence would surround the project site and a 10-foot landscaped planter would be provided between the fence and property line to screen the development from the surrounding uses. Access to the project site would be provided via a gate on 40th Street East. Irrevocable offers of dedication would be provided for both Avenue K-8 and 37th Street East. Avenue K-8 would be dedicated at 42 feet from the centerline, and 37th Street East would be dedicated at 32 feet from the centerline.
The proposed project has the potential to impact views from the surrounding roads and nearby residences. The photovoltaic panels are low profile with a maximum height of approximately eight (8) feet. While the views of the project site would change, the development would not impede long range views. Additionally, the project site would be fenced and landscaped around the entire perimeter.
Construction of the proposed project would generate noise, which has the potential to impact surrounding land uses. Mitigation measures are required which would reduce noise impacts to a less than significant level. Minimal amounts of noise would be generated by the operation of the proposed project and only during routine maintenance as the panels and tracking system are silent. Most of the time the facility would be remotely operated and no noise would be generated. Additional environmental impacts could be generated during construction of the proposed project with respect to biological resources and geology soils. The construction of the proposed project has the potential to impact burrowing owls during vegetation removal and grading operations. The applicant is required to conduct a pre-construction burrowing owl survey prior to the issuance of any permits. In the event burrowing owls are encountered on the project site during the survey, the applicant shall coordinate with the California Department of Fish and Game to determine the appropriate procedures/mitigation. Therefore, potential impacts would be less than significant. The applicant is also required to prepare and implement a dust control plan in accordance with AVAQMD Rule 403 which would ensure that impacts from dust during construction are minimal. Therefore, staff is recommending that the Commission approve the zone change and conditional use permit subject to the proposed conditions, based on the site having sufficient area to accommodate the proposed development, adequate access and services being available for the use, and the lack of significant adverse effects on the surrounding area.

AV Solar Ranch One Project gets Unanimous Approval against Northrop Grumman's Protest

L.A. County supervisors refuse to put the brakes on the 230-megawatt project despite the military contractor's contention that it would interfere with its radar testing operations.
The Los Angeles County Board of Supervisors denied a request from Northrop Grumman Corp. to delay final approval of a major solar project in the Antelope Valley near the military contractor's facility for testing radar evading stealth aircraft.
On a voice vote, supervisors rejected Northrop's appeal Tuesday, opting to let plans for the 2,100-acre complex of photovoltaic solar panels proceed. Final approval was expected Dec. 7, 2010.
Grumman argued that the project would "adversely impact the military mission" of the sensitive, 1970s-era testing center, just south of the Tehachapi Mountains in Kern County.
Antonovich noted that the project, AV Solar Ranch One, already has received a conditional use permit from the county regional planning commission.
The renewable energy developer, First Solar Inc. of Tempe, Ariz., has solid backing from area business, civic and government leaders, including Gov. Arnold Schwarzenegger, Sen. Dianne Feinstein (D-Calif.) and the mayors of Lancaster and Palmdale.
The 230-megawatt project would provide 400 construction jobs in an economically depressed part of the county, said Frank De Rosa, a senior vice president. Once completed in 2013, it would generate enough electricity to power 75,000 homes.
A solar energy generating plant is "the highest and best use for this particular property," said Mel Layne, president of the Greater Antelope Valley Economic Alliance.

The Daily News wire also reported on the story stating that a representative from Northrop Grumman said the 10 foot high photovoltaic panels would interfere with the contractor's testing of stealth aircraft. Northrop tests the B-2 bomber in the high desert and manages "several fully classified programs" aimed at creating the "next generation of stealth aircraft" in Palmdale, which would be adversely affected, said Leonard Figueroa, a director of engineering for Northrop. He said the projects at risk are secret and could not be publicly discussed.
The county's Regional Planning Commission approved the project on Sept. 15. Attorneys for Northrop Grumman did not file documents in objection until Friday. Attorneys for Northrop from Sheppard Mullin Richter and Hampton "just dropped off a stack of materials Friday afternoon," said Supervisor Michael Antonovich, adding that he found the last-minute timing "unprofessional."
Jack Rubens of Sheppard Mullin said experts needed time to review the Environmental Impact Report for the project, which they didn't receive
"The goal is to allow this project and others to go forward," said Rubens. But his client sought to delay the project until they could work out alternatives with the county.
Antonovich said he understood that the company was positioning itself to ask for payments from the county to mitigate the cost of making operational changes. The supervisor noted that public hearings were held in June and September and detailed the long history of the permitting process more than once during the discussion, trying to refute Rubens' allegation that the defense contractor learned of the project only after it was approved.
The supervisor added that he had no advance warning of Northrop's decision last January to move its headquarters and 300 to 360 jobs to northern Virginia. He learned of the move on the morning of the company's announcement to the press, he said.
The affected Northrop facility "directly supports programs employing 15,000 people in Los Angeles County," but only 15 employees work at the site, according to Figueroa.
The board's vote to allow First Solar Inc. to proceed with the project was unanimous.

Solar Power Company Gets Approval to Implement Its Development Plan on Rural Residential Los Angeles County Land

A rectangular shaped parcel of just over 200 acres at 100th Street West and Ave H has won preliminary approval for solar development by the City of Lancaster planning commission. TA High Desert LLC (Tuusso Energy) plans to construct of a 20 megawatt solar photovoltaic electric generation facility on rural residential zoned land in Los Angeles County. This land has been typically vacant land or farm land, but the green energy economy has changed the future for rural Los Angeles land.
The location is designated NU (Non-Urban Residential) by the General Plan and is zoned RR 2.5 (Rural Residential 2.5 one dwelling unit per 2.5 acres), and this site is currently unused. This proposed project would operate year round with a production of up to 20 megawatts of renewable electric power during daytime hours. Tuusso Energy has a 20 year agreement with Southern California Edison to supply electricity generated by the proposed project. The project needs to clear a few environmental, biological, and mitigation steps.
The environmental review documents have disclosed no significant adverse impacts resulting from the proposed project after mitigation measures have been applied.
The photovoltaic panels and trackers are silent and low profile of six feet to eight feet depending on the position of the sun, so visual impact would be minimal. In order to further reduce any impacts, Tuusso Energy would install a line of trees along Avenue I and H, 100th Street West, and 97th Street West that would provide additional screening of the site. Additionally, two biological resource surveys were conducted for the location which found approximately 160 acres of potential foraging habitat within 10 miles of a hawk’s nest, thus the removal of the 200 acres of potential foraging habitat would be minimal. Also, mitigation measures are required to ensure that impacts to biological resources remain less than significant. Once these mitigation measures are taken the board found that the potential impacts to any special status species would be reduced. They also indicated that the projects construction and materials will not pose any environmental hazard to the local community.
This project appears to have met all the necessary requirements for implementation, and it was done in under a year. The landscape of Antelope Valley has been rapidly changing, and this exercise shows the potential for profits outside of typically residential building can be found in the valley as the State moves to green energy.

How Mitigation Can Benefit the Vacant land Investor and the Environment

Environmental mitigation describes projects or programs which are intended to offset development impacts to an existing natural resource like wetlands, endangered species, rivers and streams. Environmental mitigation is typically a part of an environmental crediting system established by governing bodies like the BLM (Bureau of Land Management) which allocates debits and credits. It is similar to the government proposed cap and trade system to offset global warming. A debit to the environment would occur when a housing developer, or Wind and Solar Company plans to develop land for commercial purposes. A debit occurs when a natural resource has been destroyed or severely impaired, while a credit is given when a natural resource has been deemed to be improved or preserved. So, when a business or individual has a debit to the environment then they are required to purchase a credit. There is also mitigation banking which is typically created in advance for multiple commercial parties when compensation credits cannot be achieved at the development site. Mitigation is a friendlier alternative to restrictive environmental laws, since development can proceed in exchange for compensation to preserve or repair a natural environment. Mitigation can also be beneficial to land owners, since some land like wash land or mountain land is not developable, but it is more suitable for mitigation. This increases the value of some non-developable land miles from development.
In Northern Los Angeles County and San Bernardino County some renewable energy companies may be required to purchase mitigation land if their projects are on BLM or other undisturbed land, which may encroach within prime desert tortoise and Mojave ground squirrel territories. The desert tortoise roams much of the desert in San Bernardino County, which will curtail any development within their habitat. Much of this land is privately owned, and may be designated as mitigation land by the government. The Solar Farm developers may be forced to buy endangered species land before a building permit is issued. This is another example where land banking is beneficial to the long term investor. Many investors think that their property will primarily increase in value due to urban development upon their property, but in this case virtually worthless desert land becomes a needed commodity to the technological advances of solar energy companies. The new growth in Antelope Valley and San Bernardino Counties is increasingly becoming green energy development, and the wise patient land investor can benefit and preserve the environment at the same time.

The City of Lancaster Planning Department is Proposing Zoning Changes to Further Wind and Solar Projects Expansion in Antelope Valley

Just this past December the City of Lancaster Planning Commission reviewed a proposal to amend the zoning ordinance to allow for wind energy uses in commercial and industrial zones, and expand solar outside of these zones. The planning department is recommending to Adopt Resolution No. 09-37 for the City Councils approval which would amend the Zoning Ordinance (Title 17 of the Lancaster Municipal Code). The order would provide regulations for co-location of small wind energy systems in commercial and industrial zones with the addition of Sections 17.12.070.W, 17.16.060.A.14, and Section 17.40.690, and Section 17.08.070.Z would allow solar electrical generating plants in rural residential zones subject to a conditional use permit. Currently, the Zoning Ordinance allows solar electrical generating plants only in heavy industrial zones with a director’s review application. In order to address the increasing demand for alternative energy, the planning staff is recommending this addition to Section 17.08.070.Z.

The City’s Zoning Ordinance is intended as a regulatory document to implement the goals, policies and objectives contained within the City’s General Plan. By approving the proposed amendments to the current Zoning Ordinance, it would further implement the policies set forth in the General Plan by allowing alternative small energy systems in the commercial and industrial zones, as well as utilizing rural residential areas to further the development of solar power plants.

This proposal and a number of other proposals shows the City of Lancaster’s increasing interest and demand to expand alternative energy projects within the city limits. There are a number of solar projects taking place outside the city limits on unincorporated Los Angeles County land. This proposal by the planning department would provide the first wind energy project within the city limits. Most of the wind energy projects are in Tehachapi, in Kern County north of Los Angeles. The proposal would also create tax revenue for the City of Lancaster, which the city doesn’t receive with County projects. Currently, the City of Lancaster has very limited heavy industrial zoning, so expanding solar projects to operate in rural residential zones expands a much wider net for solar companies. Owners of vacant unused land within the city limits of Lancaster should see a price increase for their property in the coming years if this plan gets final approval. We will keep you posted with the progress.

Rural Land as an Alternative Investment in the New Green Energy Economy

There has been a number of development proposals for the vacant land near the Antelope Valley Poppy Reserve. In 2005 there was a proposal from Scottish Power to develop Wind Energy, but the neighborhood disliked the idea of large Wind Towers on the horizon. That enterprise appears to be long dead. In addition, there has been a proposal working its way through LA County Planning Commission for a NASCAR Style Race Track at 150th Street West and Ave D. The neighbors have been fighting that proposal as well due to noise and other issues, but it has been the hottest ticket on the west side until now.

A new plan is shedding light on the poppy reserve. Nextlight Renewable Power of San Francisco is planning a solar sight called AV Solar Ranch One. This proposed development is targeted for 170th West at Ave D. The company uses photovoltaic panels which turn sunlight into electricity. They operate on a track so the panels move with the sun, and the energy produced will connect to Southern California Edison. This consigns with California law which mandates up to 33% of the States Energy to be from alternative sources. Edison is already expanding their power-lines that run through the region, and the proposal appears to be on track with residents as the Antelope Acres Town Council unanimously approved the plan. Nextlight’s news release targets the environment impact studies to be approved by April of next year. They hope for construction to begin by October of 2010 and energy production by 2011. This project will certainly change the landscape of the area, which has been primarily vacant unused land. It shouldn’t affect the poppy reserve though, since the site is north of Fairmount Butte. Also, it is not part of the counties ecological reserve where Joshua Trees and other plant and animal life is protected.

At least two solar energy companies are now taking advantage of the suns consistent output in the Antelope Valley, and the availability of low priced land.We have been telling our clients and prospective investors that they need to buy land near a large metropolitan area in the path of growth,Northern Los Angeles County certainly fits that model. The proposed solar development and the continued focus of the State and Federal governments to support alternative energy sources will create a new economy. Historically, new economies have taken us out of recessions, like the recent Dotcom and Real Estate booms which both eventually went bust. The new “Green Energy Economy” looks like it will be the next boom but with lasting implications. It will change the way we use energy and resources, and the Obama Administration is intent on its implementation with Cap and Trade regulation. The green boom ground zero is in the Antelope Valley, so stay tuned for future developments.

Land Zoning Targets for Solar Companies in Los Angeles County

There are at least two solar companies (Nextlight and E-Solar) planning operations of large solar plants in Antelope Valley in Northern Los Angeles County. NextLight is planning a large project at 170th West at Ave D (AV Solar Ranch One).
Most of the area outside of the city limits of Lancaster and Palmdale is zoned rural residential and agricultural land. This allows a single family residence within a parcel of 2 acres or more. It also allows for agricultural uses such as livestock, and crop farming. Agricultural zoning is further broken down into A1 and A2. A1 allows for light agricultural and A2 is heavy agriculture. Heavy agriculture zoning requires at least 5 acres minimum.
So how are these Solar Enterprises rapidly and economically getting around constructing an energy facility on rural agricultural land? Typically there would be an environment impact report needed with permits, community forums and the list goes on. These solar companies have targeted previously disturbed land, or land that has been farmed. Farmers have already tilled the land for years, so any endangered wildlife have found new homes and the land has been partially developed. In Nextlights case they use photovoltaic technology, so they use very little water, and the panels are only a few feet above the ground. In E-Solar’s case they use mirrors to reflect the suns raze on a water tower. E-Solar is attempting to solve their water needs by working an agreement with the City of Lancaster to use recycled water.
Both companies have solved a portion of their environment impact by buying A2 zoned land on the western portion of the valley. There are also two solar projects currently in the city of Lancaster at Division and G and an upcoming one at Sierra Hwy and avenue M.
This scenario is a great example of what we have been saying about landbanking. Rural residential land owned by farmers or investors overtime turns into needed space for a growing metropolis. Landbanking is a long term and sometimes short term investment for wealth. Land if purchased near growth and at a reasonable price can be a low risk investment as a retirement vehicle and diversified investment.

Solar LA

There have been various news reports and press releases regarding an expansion of Solar Energy production in the Southwest and primarily in Los Angeles County. The Mayor of Los Angeles Antonio Villaraigosa in his recent State of LA speech called
The “Solar L.A.” plan “a commitment to Angelenos that the Department of Water and Power will install over 1200 megawatts of solar power over the next five years, ensuring that we become a solar powerhouse.”

Simultaneously, Reuters reported that the U.S. Interior Department this past Monday designated about 670,000 acres of land as potential areas for solar energy production.
"This environmentally sensitive plan will identify appropriate Interior-managed lands that have excellent solar energy potential and limited conflicts with wildlife, other natural resources or land users," Interior Secretary Ken Salazar said.

The land is divided into 24 solar energy zones spread across six western states and could generate nearly 100,000 megawatts of solar electricity. The department will evaluate the possible environmental impacts of solar production in these areas as well as their energy resources. This energy zone will encompass the States of Colorado, Arizona, Nevada, California and New Mexico.

Pasadena Based E-solar announced earlier this week that they have a Solar Project which is projected to produce 192 gigawatt hours of electricity yearly in an agreement with PG&E and NRG Energy's subsidiary AlpineSunTower. Their project will be near Lancaster, California and it is projected to handle the consumption of thirty thousand homes. The plant is scheduled for completion in 2012 according to E-Solar’s website.

In an earlier release, the California Public Utilities Commission approved a twenty year contract between Rosemead based Edison and E-Solar Inc. late last year. The agreement calls for Edison to purchase up to 245 megawatts of electricity from solar power plants built by E-Solar in the northern Antelope Valley.

The power plants will use mirrors to focus sunlight on towers containing water. The water is heated and turned into steam, which powers turbines and generates electricity. These solar power plants are set to come online in early 2012.

There is a significant amount of Wind Energy being produced in the Antelope Valley currently, and now a number of Solar Energy producers are breaking ground in Lancaster and Mojave Ca. Many of these Solar Power companies have been buying land outside Lancaster and Palmdale, Ca. turning this area into a potential thriving Green Energy Zone. This news bodes well for the future economy of Antelope Valley, and for current and future land owners. Stay tuned here for more news on this green energy front.