Investor · Pacific Northwest · Member since 2018 · 71 posts · 19 votes
Hello,
I just found out that our local electricity provider runs a cable in our ground behind a commercial building we own without and easement in place. The cable connects two vaults and is part of a bigger electricity grid servicing private and public infrastructure. The provider does not even know where exactly the cable runs, we only know the start and end point (the two vaults).
We bought the building about two years ago and have no knowledge of history how this situation came together.
What are issues to consider at this point and how would you proceed in a situation like this?
Do you only care because you want the $$ from an easement payment? Or is it interfering with the operation of your establishment? If that was the case it would be easier to get a case going.
Depending on how long this has been in place and what the local municipality says, they could be grandfathered in. A lot of times, utilities get special treatment because they are considered necessary to a community.
Thank you Gentlemen for you input. No party knows where the cable runs exactly - we just know it is connected to two vaults left and right of the building. Checked on recorded easements last week, nothing to be found in title report. Removal would heavily impact the entire grid serving no only our building but also other private and public infrastructure.
How do you establish the worth of an easement? And how do you bring a big energy provider to the table to talk about it?
In any case, as a first step they will have to do the utility location service to be in a position to draft a legal description for the new easement.
Do you only care because you want the $$ from an easement payment? Or is it interfering with the operation of your establishment? If that was the case it would be easier to get a case going.
Depending on how long this has been in place and what the local municipality says, they could be grandfathered in. A lot of times, utilities get special treatment because they are considered necessary to a community.
We had two similar issues on one property. They were grandfathered in. One private sewer connection. Other small gas line connection. Unless you’re tearing your building down and rebuilding, you might have them move, if there is a place to move over to.
Thank you guys, in the meantime I found out that there is a gas line and a telecommunication line also without easement agreement. I should have seen all of this during due diligence - steep learning curve on my end.
I will engage with the utility providers to work on an easement with specific legal description, not just a template covering the entire land of the property.
Thank you again for helping me understand how to navigate this situation.
Thank you guys, in the meantime I found out that there is a gas line and a telecommunication line also without easement agreement. I should have seen all of this during due diligence - steep learning curve on my end.
I will engage with the utility providers to work on an easement with specific legal description, not just a template covering the entire land of the property.
This is absolutely necessary. The complete legal description (as it appears on your tax bill) should be included and modified to show the easement location...
It's entirely possible the easement(s) exists but wasn't found in the title search because a full title search only goes back X years (with X being dependent upon the customs of the state).
For 3 utilities to be in the same location I highly doubt the use is without permission.
I just found out that our local electricity provider runs a cable in our ground behind a commercial building we own without and easement in place. The cable connects two vaults and is part of a bigger electricity grid servicing private and public infrastructure. The provider does not even know where exactly the cable runs, we only know the start and end point (the two vaults).
We bought the building about two years ago and have no knowledge of history how this situation came together.
What are issues to consider at this point and how would you proceed in a situation like this?
Thank you for your response!
I'm a b2b commercial electrical contractor in nor cal, can't speak to easement issue.
But I've worked with our notorious utility for over 30 yrs, youd be amazed at how little documentation & organization they possess. Its so shoot from the hip its crazy, sometimes underground services are found by backhoes only.
@Nikolas Engel also at least by us the easement was per utility. So we had an easement for electricity but they needed a new one for gas which they abandoned trying to get. Probably need to get an idea when they were added. Telecommunications has to be most recent, might start with them.
I appreciate your support and advice. There is so much to learn here - especially what to look for during due diligence!!
This all came to light by an easement request from a neighboring developer. They will do a survey to locate all conduits in the ground.
I am very surprised by the attitude of the electric utility provider who does not think that this mess has anything to do with them.
I am waiting for a response from the public locate service, thank you @Ronald Rohde, I did not even know that office exists.
What you might find is the 811 locate will only do on public property or your right of ways. Locates "in" your property you may need to contract with a locate service.
Thank you guys, in the meantime I found out that there is a gas line and a telecommunication line also without easement agreement. I should have seen all of this during due diligence - steep learning curve on my end.
I will engage with the utility providers to work on an easement with specific legal description, not just a template covering the entire land of the property.
Thank you again for helping me understand how to navigate this situation.
Exactly. They currently likely have a prescriptive easement (your state might call it something different) which is an easement by right since they've been in the ground for so long. You should be able to get them to agree to their standard widths which should range in the 5-10' width.
If it's impacting your proposed project there are other scenarios to look into but if just getting official easements on title is your goal you're likely fine with the steps you're taking.
One division of my company does dry utility consulting (mostly in CA and the west coast) so I'm open to chat if you want to discuss the options.