The Southern California Water Solution Maybe in the Desert, Which Could Increase the Price of your Investment Land

The original article was reported by Noaki Schwartz and Garance Burke of the Associated Press.

In the Mojave Desert east of Needles, Ca. in San Bernardo County is a place called Cadiz, Ca. It seems more like a location for a Clint Eastwood western as it is a desolate dry hot desert, but there maybe an oasis of water here just south of route 66. According to reports this oasis has tall green trees with lemons, and grape vines awaiting harvest.

A private water company indicates beneath the 35,000 acres Cadiz ranch is an aquifer with enough water for 400,000 homes. They indicate that this water comes originally from springs above in the Desert Mountains and settles in Cadiz and eventually resurfaces in dusty lake beds dozens of miles away where it evaporates in the hot desert.
A proposal to tap this water supply was rejected several years ago, but their new plan is to drill thirty four wells, and then pipe the water along the railroad line that currently exits.

Environmentalists say that this will impact the desert tortoise, bighorn sheep, Joshua trees and other plants and animals. Conversationalists say the aquifer is not as large as the company indicates, and even others say removing so much water annually will not allow the aquifer to recharge itself with limited annual rainfall. The debate will continue, but to us if the water is simply evaporating then a balance between man and nature maybe able to be made. Former Gov. Arnold Schwarzenegger has called the proposal "a path-breaking, new, sustainable groundwater conservation and storage project," when the prior proposal was made years ago.

According to the Associated Press, since 2010, the Santa Margarita Water District, Three Valleys Water District, Golden State Water Company, Suburban Water Systems and Jurupa Community Services District entered into agreements with Cadiz to receive water. These agencies supply water to parts of Los Angeles County, Orange County, Riverside County and eastern San Gabriel Valley.

Now 400,000 homes will only serve a fraction of the water needs of Southern California, but it is enough to serve Lancaster and Palmdale, Ca. or Victorville’s current populations. We will see if the recent proposal will gather enough steam to flow water down to the Antelope Valley and onto farmland and homes instead of evaporating into dry air. Certainly, a future water solution will allow the High Desert areas to grow much like Arizona has.

General Probate Procedure for Real Property in California

An estate of less than $100,000 which doesn’t include real property (real estate) can be done as a mini-probate. According to attorney’s we are familiar with, it simply needs an affidavit of death, and a declaration with a description of the assets.

A Probate proceeding is necessary whenever a decease person has left assets which have not been placed in a trust or a joint tenancy before death. An estate value of less than $100,000 doesn’t have to go through a full probate proceeding. Also if the real estate is under $100,000 there is a special "small estates" procedure that heirs can use under California probate code section 13151. A full probate can take seven months or more and use up capital in legal fees, and court costs. A small probate would take two months and can be done for $1500 to $2500 with most attorneys in California. It can be a little different when assets include real estate.
In Real Estate Probate, If the property is appraised as having a value of less than $20,000 it can be taken by affidavit, which can even be done without an attorney. However, as recommended by attorneys, if the estate is worth less than $100,000 and the real property is worth more than $20,000, you will need to petition the court. If you choose to tackle a probate on your own in order to save the $1500 to $2500 legal and court fees then you may need to get into some reading such as How to Probate an Estate in California by Julia Nissley. It does come recommended via online book stores. Typically asking questions of court clerks will likely get a reply of “I can’t tell you, I am not the Judge”. Also, forget about seeing the judge.
You can likely save yourself anguish and heartache by seeking the advice of an attorney, so you essentially get a third party to handle your family affairs. We do recommend that you handle the probate as soon as possible. If you wait until you get an offer on your property it will takes months to complete the probate and the buyer may move onto other opportunities.

Reverse 1031 Exchange: To Buy Before you Sell

n a standard 1031 Exchange a property is sold and then replacement property is acquired. If you locate a property you want but have not sold a property you currently own then a reverse 1031 could be advantageous. This is not a common in practice but has been done by investors. Some common reasons to do a reverse exchange is you have located a property you want based on price, location, zoning or other reason, but you need to act now in order to buy this property. Not a problem simple purchase this new property and begin the process of a reverse 1031 exchange.

Another reason is that many investors have been caught in the middle by not locating an exchange property in the 45 days to identify and 180 days to close timeframe. Locking up that exchange property in advance solve this dilemma for investors, and it may be easier for you to sell your current property than to locate a replacement property. In a slow real estate market it actually maybe harder to sell your current property and easier to get the replacement, especially, if the replacement property is at a low price and ideal location.

Acquiring replacement property first in a Reverse 1031 Exchange can cause some difficulties though. Since you have not sold your current property then you need the deposit funds for the new property. The biggest obstacle is that the two properties can’t be owned at the same time. In theory, an exchange is going from one property to another, so title to the new property and the old property can not be held at the same time. You will need to get a Reverse Exchange Asset Company to act as a straw buyer for the replacement property. You still must adhere to the 45 and 180 day rule as well.
So in a Reverse Exchange the property that will be sold to complete the exchange must be named by day 45 and it must close escrow on or before day 180.

Locating a reputable 1031 exchange company is the key in this manner, as they will act as the straw buyer. We at vacantlanddeals.com have a number of low priced properties that will be ideal buying opportunities. You can buy one of our industrial or residential low priced properties and sell your agricultural land parcels that you may have bought at the height of the market. It is an ideal time to take advantage of lower price Lancaster and Palmdale land, and we have inventory currently that can fit a reverse 1031 exchange.

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.

Buying Low and Selling High in the California Land Market

Our headline is common knowledge on how to be profitable in any trading business from stocks, bonds, real estate and even pawn shops. We think it is not common enough in real estate. The recently burst real estate bubble was the highest percentage wise drop in value the last twenty years. Nobody knows where the top or the bottom of any market will be, but the clear signs are when demand outstrips supply. Essentially when it is a sellers market it is not conducive for long term profits for the buyer, especially when there are ten or more offers on the same property. We recall back in 2006 when one fairly modest home had thirty offers within the first week. Housing wasn’t necessarily scarce, but loans were too abundant. It is easy to see the bubble after it pops, but how can you buy at the lower end of the market? When it is the right time to buy? Most people shop for consumer goods when there is a sale. The merchant has too much inventory and they need to make room for new products. You can look at it the same way in buying land or a home.

Ideal ways to buy low priced California land is via a probate sale, bankruptcy, foreclosure, or even short sales. Many of these types of sales are found on the MLS (multiple listing services) as it is the main way for lenders, banks, courts, lawyers and brokers to broadly promote the property. By law government agencies and licensed professionals must market property to the widest public. You can also locate these court filings at your local court house. They are all within the public record. It will take some research and time, but it can be fruitful. The time and effort to research and buy at these court ordered sales maybe too time consuming, so you can look for firms that resell these properties. We at vacantlanddeals.com also buy land via probate and bankruptcy sales. We buy as low as possible, and resell at low retail costs. We currently have a number of properties that are priced at the low end of the market on our website www.vacantlanddeals.com The land prices today are some of the lowest prices in the last fifteen years. Real Estate is very cyclical, so be prudent and buy at the low end of the cycle.

First Solar’s AVSolarRanchOne to begin Construction near Lancaster, Ca. Albeit some Objections

Excerpts from Patric Hedlund The Mountain Enterprise

Forbes Magazine has named First Solar the fastest growing technology company for two years running. First Solar is an $11 billion corporation, and it has a large operation proposed in Antelope Valley’s Fairmount Butte. They have a $215 federal incentive to commence building AVSolarRanchOne by September 1. It will be a 230 megawatt system on 2100 acres and employ 300 during the construction faze.

According to the Mountain Enterprise news reports as of August 1st First Solar’s AV RanchOne has received final discretionary permits which allow them to mobilize for construction. Mobilization primarily consists of bringing temporary facilities and infrastructure onto the site (temporary construction offices and utilities) to support the start of construction. With this permitting approval, they are released to begin mobilization at any time. They expect to commence construction activities by the September decline.

Yet, there is resistance and obstruction from residences and government agencies. The resistance from local residents in Antelope Valley is primarily that they have not been fully informed. There was even a threat to file a restraining order to stop construction, but that was tabled. There is similar objection in Tehachapi, Ca to the Alta Wind Energy Center in Tehachapi, Ca. as there will be thousands of wind towers going up in the next year. There are approximately 2000 residents in Fairmount Butt area which is about 15 mile west of Lancaster, Ca. yet they have a voice to in this large solar facility construction. Additionally, there is a proposal by Riverside County Supervisor John Benoit to introduce a two percent franchise fee for First Solar installation planned in Riverside County and that motion is pending. It could produce revenues of $3.5 million a year for Riverside County. There are indications from First Solar that they would not agree to pay that fee.

Most Californian’s would agree that alternative energy is essential for the State’s future growth and energy needs, but nobody wants a facility in their neighborhood. We think the project will prevail despite objections, and potential additional government taxes. This will invariably increase vacant land property values in the long term, as solar site assume a large amount of property. Buying low in this current market and holding long term for future growth is still a sound business and personal investment. Go to vacantlanddeals.com for land opportunities.

Tehachapi California Wind Energy Explosion and Conflict with Property Owners

Wind Turbines are multiplying at an immense pace as wind developers expand, because of the high winds that thrust through the Tehachapi Mountain range. Kern County has the highest concentration of wind farms in the nation at this point eclipsing the Altamont pass in Northern California.

Terra-Gen Power is planning hundreds and maybe thousands of wind turbines for its Alta Wind Energy Center, while, Helo Energy is planning to build 450 wind turbines. This green energy expansion is creating resistance from local residents. There are thousands of wind turbines today in the Tehachapi Valley already. They currently dominate the landscape, so thousands of additional towers will continue to change the views.

There are a number of activist groups galvanizing to try to halt the expansion. They complain of the issues with potential land erosion because of the removal of trees, the environmental impact to bird life. It is the never ending loss of beautiful views that the area is known for. It is a similar complaint of any rural destruction; we want development, but not here. According to the LA Times article by year’s end $2.2 billion will be put into the Kern County economy and the Alta Project will inject $30 million in taxes. Those are jobs the area does want, and revenues for the county and state governments.

We feel for the local residents as there community has changed and will continue to do so. There home prices may also be affected, as less people will want to live in the area. This area is full of rolling hills and mountains, with ranches and livestock grazing. It certainly is an ideal area for wind energy productions as the terrain creates a natural and continual gust of free energy. Land owners have benefited greatly as they can lease their ranch land and it still allows cattle to graze. Most of this area has been unused rural and vacant land, but no more.

There is a give and take with development, and in this case green development. We don’t think the locals will win, as the California’s State government is fully behind it. Governor Schwarzenegger signed executive order S-21-09 under AB32 giving authority to the bill to enforce 33% of the States energy to come from renewable sources. Senate Bill X1-2 signed by Governor Brown codified 33% by 2020.

This infusion of over 2 billion in development, jobs and Kern County tax revenue is a green boom to the area. It also shows that buying land and waiting for development even in rural areas like Tehachapi can be a profitable venture.