Forming an ECODistrict

The movement behind ECODistricts is gaining momentum. Around the country and, most notably, in the Pacific Northwest, civic leaders, sustainability experts and leadingedge property developers are exploring the concept of ECODistricts. ECODistricts take the most successful elements of sustainable practices in the environmental, social and economic fields, and combine them into a single neighborhood to achieve a new level of sustainability.

Land Grab: Take Action When the Government Comes Calling

Consider the following: You own property in the area with a growing population, and you plan to build a new residential community. You have prepared initial design documents and have begun the process of obtaining necessary government approvals. You may have even begun the work of providing necessary infrastructure for the project.

Making Green Easy for Your Tenants

New state and federal laws, policies and executive orders have the building industry crying for mercy. While the politics of Green can be overwhelming at times, let’s face it: Green is the new black, and it’s here to stay. Even if you don’t believe the world is warming, there are plenty of good reasons to embrace Green building principles. It’s been shown, for example, that Green building practices provide a safer and healthier interior environment, which translates into increased productivity. What’s more, it’s not hard being Green. Here are a few easy steps any business or property owner can take.

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This article appeared in BUILDERnews magazine.

ECODistricts Take Shape

The newest planning tool being talked about in the world of sustainability is the ECODistrict. It’s a unique Green building concept that takes the most successful elements of sustainable practices in the environmental, social and economic fields and combines them into a single neighborhood to achieve a new level of sustainability. View full article (PDF).

This article appeared in BUILDERnews magazine.

U.S. Treasury Department Issues Guidance for Cash Grants in Lieu of Energy Tax Credits

On July 9, 2009, the U.S. Treasury Department issued guidance for the award of cash grants by the federal government (“Grants”) in lieu of energy tax credits under Section 1603 of the American Recovery and Reinvestment Act of 2009 (“ARRA”). When ARRA was enacted in February 2009, Congress recognized that current economic conditions have reduced investors’ taxable income, and the attractiveness of the production tax credit (“PTC”) and the investment tax credit (“ITC”) as incentives for development of renewable energy projects has diminished. The goal in providing cash grants for a limited period is to spur renewable energy development, even in the absence of taxable income, and to further the goals of job creation and expansion of renewable energy sources.

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No Easy Path For Renewable Energy

Federal and state governments have been encouraging more renewable energy generation amid growing U.S. electricity demand and concerns about security and climate change due to our reliance on fossil fuels. View full article (PDF).

This article first appeared on Law360.

Seizing the Opportunity – Economic Crisis Brings Real Increment Financing to Washington

The Chinese evidently understood the meaning of the word “crisis” when they used the characters for “danger” and “opportunity” to create the written form of the word. As just one more example of their prescience, it appears current financial conditions may prompt our legislators to authorize local government to use increment financing to enhance strategies for economic development. We can only hope they seize this opportunity. Major infrastructure projects throughout the state, including a new Alaskan Way Viaduct (in whatever form it takes), may depend on it. View full article (PDF).

This article first appeared in Seattle Business magazine.

Green Leasing: Implementing Sustainability Concepts in Commercial Leases

Everyone wants to own or occupy a green building. Unfortunately, traditional full service and net leases are seriously deficient in fostering sustainability practices. Current commercial leasing practices and documents can have numerous undesirable consequences when used in a green project. Traditional full service and net leases result in inappropriate allocation of the costs and benefits of going green, are deficient in describing the ongoing responsibilities of landlord and tenant in maintaining green certifications and fail to create a relationship between landlord and tenant that will foster compliance with sustainability goals. Green leasing demands new approaches to meet the needs of both landlord and tenant. View full article (PDF).

This article first appeared in the February 2009 Portland State University Center for Real Estate Quarterly & Urban Development Journal.

Governor’s ‘green’ agenda will also impact real estate – Proposals include mandating improved energy efficiency

By many accounts, nearly 40 percent of the world’s carbon emissions are a byproduct of the power produced for residential and commercial consumption. In an effort to curtail these carbon emissions, significant efforts are ongoing to create clean sources of power. View full article (PDF).

This article first appeared in the Portland Business Journal.

Washington Supreme Court Gives Green Light to State Approval of Wind Farms Over Local Objections

A unanimous Washington Supreme Court ruling on November 20 should give backers of large-scale wind projects a major boost in their efforts to build wind farms in this state. In Residents Opposed to Kittitas Turbines v. Energy Facility Site Evaluation Council (“ROKT”), the court ruled that the Governor and the state Energy Facility Site Evaluation Council (“EFSEC”) have the power to override local zoning ordinances that might hinder development of wind projects. View full article (PDF).

Reduce carrying costs – Monitoring property tax assessments can save money in the long run

Carrying costs are a significant consideration for any development project. For residential developers in particular, the issue escalates when you consider a nationwide decline in the housing market, the increased time on market for new homes and rising construction costs. Understanding and planning for variable costs, such as property taxes, is critical to determining a development project’s profitability and maintaining sufficient cash flow to ensure the project’s survival. View full article (PDF).

This article first appeared in BUILDERnews magazine.

States Step Up to Address Global Warming and Climate Change

Hardly a day goes by that a news program on television or a newspaper or periodical does not mention climate change and global warming. Climate change may appear to be a flavor-of-the-moment issue in the popular press, but for the last several years, state and local governments have viewed climate change as a serious problem that needs prompt attention. Today, some 30 states have either developed, or are in the process of developing, a wide range of strategies to respond to climate change, and are using those strategies to draft legislation and regulations affecting diverse sectors such as electricity generation, transportation, land use and construction. The real estate industry in particular is likely to see many impacts.

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This article first appeared in The Real Estate Finance Journal.

Domestic Partnership Expansion Act: Legislative Update

Washington’s Domestic Partnership Registration Act has undergone a number of important changes that dramatically expand the rights and responsibilities of registered domestic partners in Washington. View full article (PDF).

Tax Pitfalls for Canadian Buyers of U.S. Recreational Property

With the waning value of the U.S. dollar, an emerging trend among foreign investors is to acquire U.S. real estate. Consistent with this inbound investment trend, a number of Canadians are purchasing U.S. recreational property.

Various ownership arrangements are available for acquiring and holding U.S. real estate. Since each investor is unique, selecting the optimal ownership arrangement will depend on a number of factors, including the owner’s intended use of the property, duration of intended ownership, plans for future disposition to family members, etc. View full article (PDF).

Seattle landmarks rules come with built-in bias

In Seattle, landmark designation is prescribed by the Landmarks Preservation Ordinance, which is essentially unchanged since its enactment in 1977. View full article (PDF).

Withholding of Oregon Tax on Out-of-State Sellers of Oregon Real Estate

In the 2007 regular session, the Oregon Legislature adopted ORS 314.258, requiring any person that is an “authorized agent” to withhold and pay to the Oregon Department of Revenue (the “Department”) a portion of the consideration received in a “conveyance” of an Oregon “real property interest” when the transferor is an out-of-state individual or corporation (the “2007 Act”). View full article (PDF).

Land-use law will spark some old-fashioned horse trading

Oregon is well known for its statewide land-use planning program, heralded by many as protecting agricultural and environmental interests from against urban sprawl. View full article (PDF).

This article first appeared in Portland Business Journal.

Metro Area Urban and Rural Reserves: Senate Bill 1011 (2007)

Senate Bill 1011, passed by the 2007 Oregon Legislature (codified as Chapter 723, Oregon Laws 2007), addresses deficiencies in the growth management and urban growth boundary (“UGB”) expansion processes in the Portland metropolitan area. Existing state laws governing UGBs are based on a land hierarchy protecting farm and forest land. As a result, urban growth boundary additions have sometimes been pushed into areas where development is not cost-effective because of lack of proximity to other urbanized areas and the high cost of providing infrastructure, and this system has not always protected the most important farm and forest land. SB 1011 addresses this problem by establishing a system to designate where urban expansion will and will not occur on land outside UGBs over a 40-50 year period. View full article (PDF).

Measure 49 Synopsis

On November 6, 2007, Oregon voters approved Measure 49, a legislatively crafted revision of Measure 37. Adopted in 2004, Measure 37 gave certain landowners the right to make a claim for just compensation against state or local governments if land use regulations imposed, after they acquired their properties, reduced their value. Public entities facing Measure 37 claims had the option of avoiding compensation by allowing claimants to use their property free of the subsequently enacted regulation — and such “waivers” were the most common governmental response. In many cases, however, there were disputes about the date on which “ownership” was established for purposes of Measure 37 and other issues relating to the scope or transferability of the waiver. View full article (PDF).

Greenhouse Gas Inventory – State and Local Governments Want to Know Your Project’s Carbon Footprint

A June 2007 Executive Order issued by King County Executive Ron Sims requiring all public and private development projects to quantify greenhouse gas (“GHG”) emissions during project review under Washington’s State Environmental Policy Act (“SEPA”) became effective on October 15, 2007. As part of the implementation of this new requirement, King County released a revised SEPA checklist and new SEPA GHG Emissions Worksheet to assist developers in calculating their projects’ GHG emissions. Currently, King County does not expressly require mitigation of GHG emissions as part of the SEPA process, but such requirements are not far behind. Representatives from the County have suggested they will be using the Comprehensive Plan update process to develop mitigation requirements, which is anticipated to be released in late 2008. View full article (PDF).