Renting land to build solar energy

Can I rent land for a solar farm?

Renting land for a solar farm is a commercial lease and is not an agricultural use, so Agricultural Property Relief from inheritance tax may be lost. Transferring ownership of the land to another individual or trading entity before any development starts may be worth considering, to minimise the tax implications, but seek professional advice.

Should you lease land for solar power?

Here’s the essentials: leasing land for solar power is a mutually beneficial deal between landowners and solar energy developers. While developers gain a new solar plant, the landowners gain a stable, long-term revenue stream from unused or underused plots. There’s a third beneficiary – the UK itself, which gains increased clean energy capacity.

How much does a solar farm land lease cost?

With solar farm land lease rents ranging from £850-£1100 (depending on variables such as development size and location) per acre per annum, rental rates compare favourably with other income streams such as agricultural and livestock farming, event hosting and storage services.

Can I lease a solar acreage?

Since most solar leases are paid on a per acre per year basis, the larger your parcel is, the more you could make when you lease your land to a solar developer. Not all of your acreage may be suitable for solar panels. Exclusion zones can be thought of as land that solar equipment cannot be placed on for one reason or another.

How does solar land lease work?

Land rental is paid per acre and compares favourably with other uses (including agricultural leasing). Solar land lease revenue streams provide financial certainty and can play a vital role in ensuring families maintain ownership of their farms and estates into the future.

Does a landowner have to maintain a solar farm?

The landowner receives annual lease payments and has no obligations to maintain the solar farm. The team at OYA believes in long-term, trusted partnerships with landowners that are built on integrity and reliability. Our knowledgeable project developers will guide you through each step ensuring that any questions or concerns are addressed.