Monday, October 22, 2012

Blowing In The Wind Part 2

  Further to my last post, the issue of wind farms continues to blow increasingly across our region with seemingly more opponents to this form of energy than fans. Just this past week, while showing rural property, more than once I was asked, "...where or are there any wind farms proposed for the area.?" This speaks not so much to the pricing of properties in close proximity to wind turbine installations but more so to the very desirability or salability of such properties.
  Understandably many potential buyers for a rural property are expecting just that. A pastoral, "rural" view absent of any man-made, industrial pieces of equipment on an otherwise pristine landscape. In addition and thanks to their opponents, many consumers are becoming increasingly concerned about alleged health risks living so close to wind farm installations. Once published, the completion of a study by Health Canada will hopefully shed some light on this matter one way or another.
  Given the impact on real estate values and the very salability of a property located next or in close to a wind farm either currently in place or proposed, the Ontario Real estate Association has drafted a clause regarding this contentious subject. This clause when inserted into an Agreement of Purchase and Sale by a REALTOR® acting on behalf of a Buyer(s) is meant to protect a Buyer(s) from unknowingly purchasing a property that could be impacted by a proposed wind farm application and reads as follows:
"The Seller represents and warrants to the Buyer that to the best of the Seller's knowledge and belief there are no wind turbine(s) installed or proposed to be installed within _______of the boundaries of the subject property. The parties agree that this representation and warranty shall survive and not merge on completion of this transaction."

  Obviously this clause is intended to shift the issue of disclosure pertaining to a proposed wind farm onto the Seller. The Seller(s) may elect to delete such as clause from the Agreement or may simply claim ignorance to the matter. Either way, the Buyer is not protected. Personally, if I was acting for a Buyer(s) client I would go one step further and insert a condition into the Agreement of Purchase and Sale making the offer conditional upon the Buyer determining for themselves as to whether there are any wind farms existing or otherwise proposed within a specific distance to the subject property as specified by the Buyer. The Buyer and their respective REALTOR® can then perform their own due diligence with respect to the matter of any wind farm installations in the area resulting in the best possible protection for the Buyer’s interests.
  If you have any questions with respect to the issue of wind farms and real estate or would like an opinion on similar issues affecting a property purchase or ownership, please feel free to Contact Me.

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Royal LePAGE Locations North (Brokerage)

330 First Street, Collingwood, ON L9Y 1B4



Email:
rickcrouch@propertycollingwood.com



Direct: 705-443-1037



Office: 705-445-5520 ext 230




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Rick relocated to Collingwood from Toronto in 1985 through a transfer with Goodyear Canada. In 1987 Rick was recruited by a major client of Goodyear’s, managing their Canadian business based in Barrie before moving to Chicago in 1992 as Vice President of Sales & Marketing. Upon returning to Canada in 1996, Rick ran an industrial products manufacturing company in Stratford, Ontario. In 1998 Rick returned to Collingwood with his two children. Rick is a licensed real estate Broker with Royal LePAGE Locations North in Collingwood and holds his MVA designation (Market Value Appraiser-Residential). He is an active volunteer in the community serving several years on the Board of Directors with the Collingwood Chamber of Commerce as Treasurer, 6 years on the Board of Directors for the Southern Georgian Bay Association of REALTORS® of which he is the Past President (2008) and currently serves on a committee with the Ontario Real Estate Association. Rick is a diverse executive manager with extensive experience in strategic planning, manufacturing, finance, human resources and quality assurance management.