Happy Monday BP Community,
I wanted to see if anyone had an experience rehabbing a property with an in ground oil tank. I am looking at a house that most investors are scared to touch because it has an in ground oil tank in the backyard.
I've done some preliminary research and seems like people are scared for good reason. No idea if the tank has leaked and then it seems like the EPA would get involved. The entire removal could be a nightmare.
I was considering asking a couple companies to try to go on site and give me a hard max quote of removing it. Not sure if they will do that because I guess you don't know until you dig and see whats going on underground.
Any recommendations or feedback would be great.
The comps are extremely good for this property but need to make sure I don't rush into something like this and then spend $50,000 to remove it and treat the soil, etc.
You need to read more on the EPA website. It's not just the tank. If it's been leaking for years it could go down way in the soil.
You would have to them keep cleaning out the soil until no further contaminants were found. So it can be a small problem or a massive one. You won't give a company to give you an absolute quote.
That's like telling you it will be only XX to fix your car without looking under the hood. They could give you a worse case scenario range but you couldn't hold them to that.
No legal advice.
Thats major and expensive work. Definitely not worth it. @Joel Owens is right. Its a lot more than just the tank, it will also require getting rid of a lot of the soil. And the EPA will be a major pain to deal with. Plus it could be a lot more difficult to see once your done since you'll most like have to inform the purchaser that there had been a tank in the ground.
And even if you do get it the tank out, clean the soil out, and get epa passed. Years down the road, if oil is detected in the ground, they could come back and seek damages against you.
NOT legal advice but I definitely wouldn't touch it.
@Account Closed Oh and so you know, thats a $10,000 + fix.
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