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.
Sunday, September 6, 2009
Saturday, August 15, 2009
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.
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.
Wednesday, July 29, 2009
Centennial Development Forms Agreement with Local School District
Centennial Founders have formed an agreement with the Gorman School District.
Centennial development is planning a self reliant community on the far-west side of Antelope Valley neat 300th street West, and just a few miles east of the community of Gorman. The development is proposed to include up to 20,000 homes, a business district, medical facilities, as well as, cultural recreation services and schools. The agreement with the Gorman School District goes a long way to create this oasis in the valley. Centennial Development will be situated about thirty miles west of Lancaster, Ca. and just east of Hwy 5 with easy access to Burbank and Los Angeles and Bakersfield in Kern County. It is a privately funded self supported community with a specific plan for growth, and housing. Their master plan will include single family homes, condominiums, town homes and thousands of rental properties.
The agreement with the school district, according to their recent press release will include $233 million in investment to complete the educational facilities for Kindergarten through 8th grade. This master plan for the initial school is set to be completed by 2013. Centennial already has an agreement with Antelope Valley Union High School District to provide two high schools with an estimate cost of $254 million.
This private development appears to be on track, and it will positively transform the area near Gorman. This area is primarily vacant unused land or farmland situated at the border with Kern County, and overlooking the San Gabriel Mountains. There is access via Hwy 138 which runs from Hwy 5 east to Lancaster and Palmdale. Los Angeles County’s future growth will be in Antelope Valley, as this remains the most abundant available undeveloped land in the county. The plan by Centennial has already been approved by the county and by an earlier agreement with environmentalist. We will keep you informed with this development and other positive developments for Antelope Valley’s growth.
Centennial development is planning a self reliant community on the far-west side of Antelope Valley neat 300th street West, and just a few miles east of the community of Gorman. The development is proposed to include up to 20,000 homes, a business district, medical facilities, as well as, cultural recreation services and schools. The agreement with the Gorman School District goes a long way to create this oasis in the valley. Centennial Development will be situated about thirty miles west of Lancaster, Ca. and just east of Hwy 5 with easy access to Burbank and Los Angeles and Bakersfield in Kern County. It is a privately funded self supported community with a specific plan for growth, and housing. Their master plan will include single family homes, condominiums, town homes and thousands of rental properties.
The agreement with the school district, according to their recent press release will include $233 million in investment to complete the educational facilities for Kindergarten through 8th grade. This master plan for the initial school is set to be completed by 2013. Centennial already has an agreement with Antelope Valley Union High School District to provide two high schools with an estimate cost of $254 million.
This private development appears to be on track, and it will positively transform the area near Gorman. This area is primarily vacant unused land or farmland situated at the border with Kern County, and overlooking the San Gabriel Mountains. There is access via Hwy 138 which runs from Hwy 5 east to Lancaster and Palmdale. Los Angeles County’s future growth will be in Antelope Valley, as this remains the most abundant available undeveloped land in the county. The plan by Centennial has already been approved by the county and by an earlier agreement with environmentalist. We will keep you informed with this development and other positive developments for Antelope Valley’s growth.
Tuesday, July 14, 2009
City of Lancaster and Solar Company in joint agreement to develop Recycle Recharge Station in Fox Field Industrial Corridor
The Antelope Valley Press recently reported an agreement with the City Council of Lancaster and E-Solar, a producer of modular solar thermal power plants. The plan is to develop a means to recycle city water, which E-Solar uses for cooling their solar towers. E-Solar has plans to develop a prototype plant in the city of Lancaster, and a larger one on county land on the far west side near Neenach. Press reports indicate that under the terms of the agreement E-Solar will support some major expenses on behalf of the city.
The company will forward $500k to the design and environmental impact documents for the Lancaster Recycled Water Recharge Pilot Project, at 60th Street West and Avenue F. They will also contribute up to $1.5 million for construction of a pump and for extending the existing pipelines. This pipeline will provide recycled water service for the city. Los Angeles County owns one hundred acres in Fox Field at 60th West at Ave F to F-4 which is the target area for development. The recycled water will be treated to a high degree of cleansing called tertiary treatment which will then be used to recharge the aquifer beneath the Antelope Valley for nature’s further purification. E-Solar will be instrumental in design and construction of the transmission pipelines and a pumping station which will then be dedicated to the city once completed.
The agreement has been initially approved by the city council and Mayor Parris. The Mayor indicated agreements and permits have been achieved to initiate the process.
E-Solar has a pilot solar power plant in Lancaster at Avenue G and Division Street and it is expected to go online this year. In addition, they are proposing to build a larger plant in Antelope Valley that will rival the energy output of Hoover Dam.
Solar companies have selected Antelope Valley recently due to a willing City like Lancaster, and available low priced land that has been primarily vacant near the metropolis of Los Angeles County. The solar growth is in line with the State of California's mandate to produce 33% of power from non-fossil fuel sources.
Vacantlanddeals owns a property for sale which may be part of or at minimum next to this proposed water recycling and irrigation area. Our parcel is 5 acres at 62nd West at Ave F-4, just south of the 100 acres owned by Los Angeles County. This property is for sale at the lowest price range of Fox Field, and it is clearly in the path of near term development. Contact us for more details on this industrial zone parcel, or other properties we have. info@vacantlanddeals.com
The company will forward $500k to the design and environmental impact documents for the Lancaster Recycled Water Recharge Pilot Project, at 60th Street West and Avenue F. They will also contribute up to $1.5 million for construction of a pump and for extending the existing pipelines. This pipeline will provide recycled water service for the city. Los Angeles County owns one hundred acres in Fox Field at 60th West at Ave F to F-4 which is the target area for development. The recycled water will be treated to a high degree of cleansing called tertiary treatment which will then be used to recharge the aquifer beneath the Antelope Valley for nature’s further purification. E-Solar will be instrumental in design and construction of the transmission pipelines and a pumping station which will then be dedicated to the city once completed.
The agreement has been initially approved by the city council and Mayor Parris. The Mayor indicated agreements and permits have been achieved to initiate the process.
E-Solar has a pilot solar power plant in Lancaster at Avenue G and Division Street and it is expected to go online this year. In addition, they are proposing to build a larger plant in Antelope Valley that will rival the energy output of Hoover Dam.
Solar companies have selected Antelope Valley recently due to a willing City like Lancaster, and available low priced land that has been primarily vacant near the metropolis of Los Angeles County. The solar growth is in line with the State of California's mandate to produce 33% of power from non-fossil fuel sources.
Vacantlanddeals owns a property for sale which may be part of or at minimum next to this proposed water recycling and irrigation area. Our parcel is 5 acres at 62nd West at Ave F-4, just south of the 100 acres owned by Los Angeles County. This property is for sale at the lowest price range of Fox Field, and it is clearly in the path of near term development. Contact us for more details on this industrial zone parcel, or other properties we have. info@vacantlanddeals.com
Wednesday, July 1, 2009
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.
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.
Tuesday, June 23, 2009
Biden says California is Prime Target for High Speed Rail Project
Although California is in a budget crisis, Vice President Joe Biden said that the state's high-speed rail project is well positioned to compete for a large share of the $8 billion that the Obama administration set aside in the American Recovery and Reinvestment Act for rail lines.
The planned high-speed rail system would commute passengers between Los Angeles and San Francisco in 2 hours and 40 minutes. The train would stop in Palmdale, Ca as a major stop, and it would be a major boost for the local economy, making access to the Antelope Valley even easier. California voters approved $9 billion in bonds for the project in the recent November election. The state hopes federal funding and the private sector will complete the expected $34 billion estimated budget, which is only the first phase, which would connect San Francisco to Anaheim. The second phase would further connect a total 800 miles from Sacramento to San Diego traveling primarily down the center of the State via Fresno and Bakersfield. Construction between Anaheim and San Francisco would take at least a decade, according to planners.
Reports indicate that the portion that initially applies to the Recovery Act criteria for high-speed rail would be the rail line between San Francisco to San Jose and Los Angeles to Anaheim. The administration is looking for “shovel ready” opportunities which entail having contracts awarded by 2012 and work completed by 2017.
The potential real estate impact for the Antelope Valley is years away, but it bodes well for towns just outside of major metropolitan areas. There will be vacant land opportunities up and down the State, and this is another example for buying land within the path of growth, and getting there before development creates the greatest percentage of growth. We will see how this all transpires, but the focus of California and the current administration is mass transit and near term employment opportunities.
The planned high-speed rail system would commute passengers between Los Angeles and San Francisco in 2 hours and 40 minutes. The train would stop in Palmdale, Ca as a major stop, and it would be a major boost for the local economy, making access to the Antelope Valley even easier. California voters approved $9 billion in bonds for the project in the recent November election. The state hopes federal funding and the private sector will complete the expected $34 billion estimated budget, which is only the first phase, which would connect San Francisco to Anaheim. The second phase would further connect a total 800 miles from Sacramento to San Diego traveling primarily down the center of the State via Fresno and Bakersfield. Construction between Anaheim and San Francisco would take at least a decade, according to planners.
Reports indicate that the portion that initially applies to the Recovery Act criteria for high-speed rail would be the rail line between San Francisco to San Jose and Los Angeles to Anaheim. The administration is looking for “shovel ready” opportunities which entail having contracts awarded by 2012 and work completed by 2017.
The potential real estate impact for the Antelope Valley is years away, but it bodes well for towns just outside of major metropolitan areas. There will be vacant land opportunities up and down the State, and this is another example for buying land within the path of growth, and getting there before development creates the greatest percentage of growth. We will see how this all transpires, but the focus of California and the current administration is mass transit and near term employment opportunities.
Tuesday, June 2, 2009
The Auction Option
There are a number of ways to buy land, and sell land at a good price range. The MLS (multiple listing services) is the most common means via a broker. A broker can guide the buyer and seller through the process. A new more risky means is buying via an auction. There are many private auctions and county auctions where land is sold. We have found in both private and public auctions the selling prices can be favorable and unfavorable. A buyer needs to be well informed regarding land before potentially losing capital in a bad purchase.
Several years ago during market highs we witnessed a County auction where prices raised twenty to fifty percent above retail. Buyers were overbidding land for greater prices then they could have negotiated from the local MLS. These auctions can create a price frenzy to buy a property that a purchaser feels is the best property on the list. The reality is there are many decent properties available at auctions if you have performed your due diligence. A buyer should have a specific maximum price range and stick to it. We have also found where auctions list parcels which are street easements, ally's, mountain sides, and flood zones. An uninformed buyer will overbid and they are left holding a useless property in many cases.
The professional auction bidders have aerial maps, plat maps, real estate software, and historical information on properties and have viewed the property. The professional investor has typically "walked the property", so they know what they are investing in.
Beware the auction option, since you should know what you are investing in. In many cases you can hire a professional to buy for you at the auction. You pay a small commission and they can do the research and bid for you in you name. You could own a well priced investment, or own an unsellable piece of land. Buyers beware the auction.
Several years ago during market highs we witnessed a County auction where prices raised twenty to fifty percent above retail. Buyers were overbidding land for greater prices then they could have negotiated from the local MLS. These auctions can create a price frenzy to buy a property that a purchaser feels is the best property on the list. The reality is there are many decent properties available at auctions if you have performed your due diligence. A buyer should have a specific maximum price range and stick to it. We have also found where auctions list parcels which are street easements, ally's, mountain sides, and flood zones. An uninformed buyer will overbid and they are left holding a useless property in many cases.
The professional auction bidders have aerial maps, plat maps, real estate software, and historical information on properties and have viewed the property. The professional investor has typically "walked the property", so they know what they are investing in.
Beware the auction option, since you should know what you are investing in. In many cases you can hire a professional to buy for you at the auction. You pay a small commission and they can do the research and bid for you in you name. You could own a well priced investment, or own an unsellable piece of land. Buyers beware the auction.
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