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Oil or Gas Pipeline -Impact the Value of Property

Will an Oil or Gas Pipeline Impact the Value of Your Property?

New Pipeline projects in PA have the potential to impact the value of your property and the  comfort of hundreds of thousands of property owners.  There are numerous pipeline projects in development and the start up phases.  It is more important than ever to know what is coming before it comes.  Here are a few tips on the topic and a list of the current major projects.  (Note:  Even minor projects can be disruptive).

TIPS

  • First of all, the time for steering a pipeline away from your property is in the very early stages.  Often the engineers are not able to understand the nature of the ground along the entire proposed line.  In one case we met with the designers and engineers before the route was finalized, because we learned the line was proposed to go through the farm of a long time client. During the meeting we walked the property and showed the pipeline reps the nature of the ground under the surface.  2 feet down was a   solid layer of quartz rock (can you spell blasting?)  We were able to steer the line 1/2 mile away from the farm.
  • The pipeline is coming.  If you think you can stop it, you are fooling yourself.  What you need to do is minimize its impact and maximize your payment.  We have found that most of the landmen (men and women) are decent reasonable people who simply want to get their job done.  If you think hiring a lawyer who yells and scream at them, and threatens court, will help you….. you have a lot to learn.  We find we get more from honey than vinegar. When negotiating does not work we have significant deep experience in court.  The fact that we are willing to go to court (and in fact  enjoy it) makes pipeline companies want to settle with us to avoid certain litigation.
  • You cannot negotiate this yourself.  Have you ever heard of brain surgery–self taught???   You need a real estate lawyer with a proven track record.
  • The sooner you see a lawyer, the better.  It is good to negotiate at the same time as neighbors, but every property is unique and ever easement is negotiated individually.  You cannot cross pollinate negotiations.  We do not discuss two  clients issues in the same phone call unless they are in different locations.
  • If the pipeline company involuntarily takes your property, under the law, they have to pay your legal and appraisal fees, but only up to $4,000.
  • In almost all cases, we negotiate for payment of our full fee from the pipeline company.

Let’s talk about the 7 major new pipelines.  We will give you a link to enable you to go right to the horse’s mouth as to each pipeline.

 

Our team at Tupitza & Associates stands ready to consult with impacted property owners.  We handle these issues across the state—- in all 67 counties.  We travel for meetings with groups of clients and also meet by phone or WebEx sessions.

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Sunoco Logistics Mariner East Pipeline

PIPELINE TO IMPACT PENNSYLVANIA PROPERTY OWNERS

This past year, 2015, has been a trying year for property owners living near the existing Sunoco pipeline.  The line goes from Marcus Hook, Delaware County, PA to Washington County, PA.    The existing pipeline  carried products from the former oil refinery in Marcus Hook  to markets in the west.  It is being refurbished, as the Mariner East Project, to carry natural gas liquids to Marcus Hook.  The gas will be  for both domestic distribution and export from Washington County, PA.  It will cross the entire width of the state.

There are several problems.  The pipeline goes along existing easements or rights of way.  Sunoco needs more room for additional pipes. They need room for doing the work.  They need room for valves and safety equipment.  You will be offered a conservative payment to simply sign.  Of course the money will not be the big issue.  You should be concerned that they will take down trees and landscaping.  Historic features, such as stone walls and out buildings will have to go……….  You need to consult with an attorney to CONTROL the issue.  You will never stop the pipeline.  You may be able to control.

ACTION PLAN  Tupitza & Associates represents landowners

The company provides notice to property owners of work to be done on their properties to refurbish the  line, add a new line and/or add valves.  Attorney M. Bobbie Kalia, of this office has represented numerous property owners in negotiating additional compensation, and terms protecting property.  It does not matter where in Pennsylvania your impacted property may be, Ms. Kalia can help you.

If you have received a notice related to your property, sign nothing until you have consulted with an attorney experienced in dealing with pipelines. In most cases Ms. Kalia is able to increase the payment offered to you, secure terms to protect trees, landscaping, stone walls, etc. and have Sunoco pay her fee.   M. Bobbie Kalia 610-696-2600

Here are a few links to stories about the pipeline:       https://www.sstwp.org/DocumentCenter/Home/View/5442

https://stateimpact.npr.org/pennsylvania/2015/08/12/sunoco-launches-eminent-domain-proceedings-for-mariner-east-2-pipeline/

http://www.marcellus-shale.us/Sunoco-Mariner-East.htm

 

 

Mariner East MapPipeline Map-  Mariner East Sunoco