REAL ESTATE

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Conservation Easements

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Employment/
Fair Housing Act

Environmental

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Public Law

Real Estate: Conservation Easements

A conservation easement is a contract between a landowner and a government entity or nonprofit such as a land trust. The recorded easement permanently restricts use of specific land to protect its conservation values.

Conservation easements are individually tailored to specific land and objectives of the landowner. Based on circumstances, for example, an easement may permit continued farm and agricultural use in general or in specific ways, may designate and protect “forever wild” areas, and may permit or provide for activities anticipated for the future concurrently with stated restrictions.

When dealing with conservation easements, you need a legal team with broad and deep experience within the real estate industry—a legal team that knows the law and knows your business. At McDonough Holland & Allen PC, we can be your sole legal source for advice, planning, transactions and disputes involving conservation easements.

Conservation easements achieve a variety of goals including:

• Land conservation and preservation or to prohibit specified development
• Mitigation of environmental harm occurring at another location
• A tax-deductible donation and cash value through a bargain or partial sale of the property
• A tax-deductible charitable donation resulting in income tax and estate tax benefits
• Lower market value, which lowers estate tax

Our attorneys have years of experience with all aspects of conservation easements including:

• Working with land trusts or other potential recipients of donated conservation easements
• Assessing potential consequences of the sale of a conservation easement
• Understanding the complexities of negotiating and drafting complex easement documents
• Analyzing IRS and Franchise Tax Board requirements for tax deductibility
• Mitigating easement requirements imposed by government entities
• Interpreting and enforcing conservation easements
• Representing landowners, land trusts and public agencies
• Developing habitat and agricultural easement mitigation programs
• Drafting implementation ordinances for public agencies
• Assisting in determining appropriate long term financing of conservation easement monitoring
• Advising public agencies and private landowners on Williamson Act issues

Representative Experience

Land Trust Representation:  Ann Taylor Schwing, Of Counsel to McDonough, is one of fifteen commissioners of the national Land Trust Accreditation Commission, an independent program of the Land Trust Alliance. She is past president of The Land Trust of Napa County, and has served on its board of trustees for more than thirteen years. Ann has experience in all aspects of conservation easement negotiation, drafting, monitoring and enforcement.

Real Estate Representation:  Our real estate transaction attorneys negotiate conservation easements on behalf of owners, recipients and mitigation bank developers. Our litigators offer more than thirty years experience with easement disputes. Key contacts Patricia Elliott, Jeff Jones, and Tod Fogarty are supported by a diversified group of real estate attorneys that ranks 16th among California major real estate law firms.

Tax-Related Representation:  Our tax attorneys advise property owners and tax-exempt organizations regarding the tax consequences of creating conservation easements.  Shareholder Jim Leet, a frequent speaker and writer on this topic, is one of Northern California's leading tax lawyers. He was recently honored by the State Bar of California Board of Legal Specialization for his 20 years of service as a Certified Specialist in taxation law, and has been recognized in 2006, 2007 and 2008 as one of The Best Lawyers in America® in the area of tax law.

Estate Planning Representation:  Our Probate and Estate Planning attorneys draft wills, trusts and similar documents that contain conservation easements or rely on easements as part of the underlying estate planning.  With the overarching goal of minimizing taxes while preserving family assets, shareholders Kent Silvester and Stuart List have developed a reputation for effectively handling very complex tax matters.

Public Agency Representation:  The attorneys in our Public Law practice group draft agricultural and habitat ordinances, conservation easements, and mitigation easements on behalf of cities, districts and other public entities.  They have participated in negotiations with state and federal agencies and developed alternative financing programs for conservation stewardship and enforcement.  Key contacts are Harriet Steiner, Kara Ueda, and Seth Merewitz (in Sacramento) and Wynne Furth (in Oakland) collaborate with attorneys from McDonough's Public Law practice group.