Conservation Easements

Conservation easements – increasingly popular in recent years – allowlandowners to permanently preserve property from development. Theyallow continued private ownership with certain tax benefits with thecomforting knowledge that a beneficial usage will continue for futuregenerations.

For agencies or governments representing the public, they provide away to preserve open spaces, provide water conservation and protect wildlands at a much-reduced cost as compared to outright purchase.

Conservation easements come in several flavors according to theirpurpose. A landowner may grant an easement for the protection of habitatfor endangered plants and/or animals, for the protection of water, orfor the protection of farmland. A multi-generational farmer may desirethat his farmland never be turned into a neighborhood and so may grantan agricultural easement. A bird lover may desire to establish a birdrefuge and observation area. One might even be specific enough toprotect a milkweed meadow known to host migrating monarch butterflies.

A conservation easement can be granted now with the proviso that itbe made effective at death. Years ago, our firm, Johnson & Johnson,represented a generous, public-spirited family that made arrangement soon their deaths their large wetlands south of Western Reserve Roadpassed to Mill Creek Park. As a result, today there is a magnificentviewing area overlooking the Mill Creek wetlands that is maintained bythe park on Calla Road, just off New Buffalo Road.

Qualifying easements may be given to the Ohio Department of NaturalResources, to a public park, a soil and water conservation district, to atownship, city or county, or to a qualified charity. Real estate taxestypically are reduced on a parcel of land over which an easement hasbeen granted. Additionally, a landowner receives a charitable deductionagainst state and federal income taxes.

The easiest way to accomplish a conservation goal is to work with alocal conservation district. We are fortunate in northeastern Ohio, aswe have many active, reputable charitable organizations that havesuccessfully preserved huge amounts of ground. A simple internet searchfor “land conservation” will return dozens of local options. The key tochoosing the right one depends on one’s goals.

Each institution has its own rules, regulations and processes fordetermining whether a particular property meets its needs. Distance fromheadquarters, cost and difficulty of maintenance, necessary precautionsagainst trespassers, outstanding environmental issues, ease of insuringthe property and potential use of the property are all considerations.The process is similar to interviewing a prospective employee – theremust be a proper fit.

The vast majority of conservancy districts take title via permanenteasements. As suggested, easements also allow the granting party to havean ongoing relationship with the property.

Of particular note are farming conservation easements, which allowfarmers to continue living on and farming land, but which also prohibitfuture division or development. Similarly, a landowner may rest easyselling the homestead with the knowledge that a beloved forest at theback end of the property will never be cut.

Conservation easements have become popular with corporate America aswell. TJX Companies, for instance, is openly discussing its desire todedicate a large portion of its potentially-acquired property inLordstown to a conservation district. TJX proposes to build a $160million warehouse and distribution center at the site.

In sum, properly drawn conservation easements provide a win-win for both environmentally-minded, landowners and the public.