Brownfield Site Sales Transactions: Buyer and Seller Considerations, Environmental Risks, Financial Incentives

Description

With continued public interest in urban living within walking distance to working, shopping, entertainment, and public transportation, brownfield development may be an attractive option for real estate developers and investors, especially given certain federal and state incentives. However, along with the opportunities come certain risks and challenges of which counsel should be aware so they can best guide their clients through the purchase and sales process.

A brownfield site is typically a commercial or industrial property of which the reuse or redevelopment may be complicated by the presence or potential presence of hazardous substances, pollutants, or contaminants. Under CERCLA as well as state and local laws, purchasers may be exempt from environmental liability if they meet certain criteria. In addition to limiting liability, federal and state laws also provide certain financial incentives, such as tax credits and grants, to purchasers of brownfield properties.

Counsel should understand the opportunities and risks involved with brownfield transactions as well as the pre-purchasing negotiations required on behalf of their clients whether buyers or sellers. Counsel should also know what key terms to include in the purchase and sale agreement (PSA) to best protect their clients' interests.

Listen as our expert panel provides a comprehensive overview of brownfield sales transactions. The panel will discuss the impact of federal and state laws on these transactions, particularly as they pertain to environmental liability, and provide pre-purchase considerations and best practices for drafting the PSA.