Control the Dirt, Control the Deal: Why Site Rights Can Make or Break Solar Project Financing

North American Clean Energy

September/October 2025

Control the Dirt, Control the Deal – How Site Rights Shape Solar Financing

Without secure, long-term site control, even the most promising projects can stall — or fail entirely.

Solar Project Financing - Control the Dirt Control the Deal

Your agreement is only as strong as its paper trail and expiration clause.

Why Site Rights Can Make or Break Solar Project Financing

Utility-scale solar developers and investors often fixate on technology, tax incentives, and PPAs, but the real deal-breaker often lies beneath their feet. Without secure, long-term site control and a clear understanding of land-related risks, even the most promising projects can stall — or fail entirely.

Land is a fundamental asset for solar projects. It is imperative to verify land control to ensure that the project rests on solid ground – literally and legally. Issues may occur if land control details are not meticulously managed, promptly addressed, or adequately considered. Land issues can delay deals, increase legal costs, and disrupt timelines just before closing. Verifying land control is a critical step that safeguards the investment and ensures that the project’s foundation is secure.

During a recent closing, it was necessary to obtain signed lease amendments from all landowners involved. Learning that one woman’s health was failing, we prioritized her signing of the amendment so it could be recorded quickly. She passed away the day after signing, just as we were recording the amendment. She had 13 heirs who would have had to sign any subsequent documents. We were grateful to our community for helping us gain this insight and react quickly. Had we waited, probate and heir identification would have delayed our closing by several weeks.

We have an issue right now with a project where the mother is incapacitated and her daughter will potentially sign in two capacities — as her successor under a trust, and under a power of attorney, each document having their own unique issues. To have the daughter sign for the trust we need the physician’s letter in compliance with HIPAA and the terms of the trust, confirming the mother’s incapacity. In such cases, the power of attorney must be durable and authorize real estate transactions.

During early development or when reviewing a project for a merger or acquisition, it is important to be aware of five common mistakes:

1. Assuming Legal Access Exists

A road shown on a map does not guarantee legal access. Easements may be missing, expired, or simply not recorded. Check to see whether there is a deeded easement. If the project relies on verbal agreements, historical arrangements, or goodwill, it is at risk. Prioritize key areas essential for project infrastructure or main access points. Confirm legal access for all parcels; identify and record necessary easements.

2. Not Verifying Ownership Across the Entire Site

Multiple individuals can share ownership. This is particularly common with large or inherited family lands. Even worse, records may not reflect recent changes like deaths, trusts, or quitclaims. If an owner is missing from a signature block, the lease or option might not be valid. Initiate curative work to identify and resolve ownership discrepancies, outdated instruments, and missing interests. Engaging land specialists can expedite this process.

3. Skipping the Title Commitment Review

The title commitment is an important document. This is where red flags hide: mineral rights carve-outs, old mortgages, utility easements, or overlapping rights from past deals. These are frequently overlooked deal breakers. Order and review title commitments, identifying exceptions related to mineral leases, water rights, environmental laws, or cultural heritage sites.   

4. Letting Land Agreements Sit Without Updates

Did you sign a letter of intent or option years ago? Expired, incorrect, or missing land parcels need renegotiation. Your agreement is only as strong as its paper trail and expiration clause. Align ALTA survey boundaries with title and landowner agreements. Cross reference leases and maps with legal descriptions in lease agreements. Ensure that all site control documents are valid, assignable, and fully executed.

5. Assuming Curative Work Can Wait

Curative work takes time. If you wait to fix gaps in ownership, access, or title, it’s often too late. Probate, corporate consents, and lien releases can take months. We’ve witnessed renewable energy projects stopped in their tracks due to unforeseen legal challenges related to the land. Title Curative is an essential part of the process when it comes to large-scale renewable energy projects. It includes securing necessary consents, subordinations, and crossing permits to achieve successful project financing. Research deed documents and conduct boundary surveys to obtain accurate title and legal description information, ensuring you can proceed confidently. Start early, everything takes longer than you think. Efficient due diligence and risk mitigation strategies identify and prioritize critical components of land control.

The following checklist keeps vital tasks top-of-mind:

Essential Due Diligence Checklist

• Deeds
• Lien Releases
• Chain of Title Reports
• ALTA Surveys
• Foreclosure Records
• Property Profile Report
• Promissory Notes
• Mortgages and Mortgage Modifications
• Trusts
• Tax Status Report
• Check Local Sources for Potential Unrecorded Interests
• Identify Encumbrances
• UCC (Uniform Commercial Code) Filing
• Determine Mineral Ownership

Creating the Climate for Success

While navigating the complexities of land control, clear communication with all stakeholders is essential. A collaborative approach guarantees that projects meet regulatory requirements and align with the overarching objectives of investors and underwriters. Effective collaboration often becomes the linchpin for achieving milestones on schedule and within budget.

Author: Kimberlee Centera

President & CEO, TerraPro Solutions

Kimberlee Centera is a leading risk management expert for the development and financing of utility-scale wind, solar, storage and transmission line projects. A pioneer in renewable energy project development, she possesses the real-world know-how to identify, manage and mitigate risk. Her expertise in engaging and leading stakeholders in the analysis and resolution of legal issues consistently delivers positive results on complex high-value projects. Under Kimberlee’s leadership, TerraPro Solutions has generated over 24 GWs in solar, wind, and energy storage. With a total financed value of over $25 billion, TerraPro Solutions is a leading development consultancy in the renewables market.

LinkedIn Profile: https://www.linkedin.com/in/kimberlee-centera/ 

Website: https://terraprosolutions.com/

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