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THIRTEEN TIPS TO NEGOTIATING PIPELINE EASEMENTS:Limit the term of the easement.Be sure to limit the pipeline to one line and one line only.Insert language that restricts the easement to the company you lease to.Determine if there are to be any pipes above the ground.More items...
The pipeline company typically pays the landowner in price per foot or per acre for farm land of the property that the pipeline passes. The price is based on the length of the easement.
Pipelines can reduce property values by 5 to 40 percent by making them less attractive to potential buyers, according to local Realtors.
These distances are based on fire modeling and development requirements set to meet fire safety standards. For example, the ordinance bans new buildings within 25 feet of a hazardous liquids pipeline and increases construction and building standards on most structures within 200 feet of a pipeline.
Generally, payment is based per foot, per acre, or per rod (a rod is 16.5 feet) of the pipeline, but may also be a set sum rather than tied to a measurement.