Termination of Third Party Rights in Financing
One of the factors on a solar project is the termination of third party rights in connection with financing. We worked on a 150-megawatt project in Imperial County where we had issues revolving around the termination of third-party rights for the agricultural use of the property. This is an issue because on solar projects, all of the property is impacted for purposes of the solar improvements and the lender is going to require that all those rights be terminated.
One of the issues that we encountered was to identify all of those different holders, which rights are not necessarily recorded, and then we had to enter into termination agreements with all of the tenants in order to ensure that their rights to access the property were all properly and validly extinguished.
Termination of third party rights in connection with financing
3rd Party Rights