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What's a Brownfield? ◊FAQs and Terms ◊Useful Information |
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Brownfields is a technical term that is often used to describe abandoned, vacant or underutilized industrial, commercial, or other properties where redevelopment is complicated by actual and/or suspected environmental contamination.
Other challenges to development include the additional and less predictable time required to complete the development process, the greater potential for “surprises” to occur during the development process (such as uncovering of buried tanks or pockets of contamination not found during environmental testing/due diligence activities), and uncertain and potentially significant liabilities that may be unknowingly transferred to the new owner of the property.
This last concern has largely been addressed through changes in regulations, which now define a process whereby buyers of these properties can become certified as “bona fide prospective purchasers” with protection from liability for previously existing conditions that they did not cause (assuming they follow the required due diligence and assessment procedures). The challenges associated with the additional costs for environmental cleanup can often be addressed through various State or Federal grants, low-interest loans, or other programs established to encourage redevelopment of brownfields. There are many benefits for communities that take on the challenges associated with brownfields properties. Redevelopment of these sites can provide an alternative to urban sprawl. Most sites are well served by existing transportation, sewer, and other infrastructure, reducing the cost for the community to provide these services. There are many benefits for developers of these sites as well, which may include financial incentives and tax breaks, significantly lower land costs (assuming that funding is available to partially or entirely offset any additional environmental costs). In addition, the Brownfields properties are frequently located in areas having higher unemployment levels (providing better access to a motivated work force) or which are underserved by existing commercial developments. |
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