Conservation Easements
What is a Conservation Easement?
A “conservation easement” is the most traditional tool for conserving private land. It is a voluntary legal agreement between a landowner and a conservation organization, such as the Heritage Trust, that permanently limits uses of the land in order to protect the special features of the property, such as wildlife habitat, forests, wetlands, agricultural land, or scenic vistas. A conservation easement allows you to continue to own and use your land, and also sell it or pass it on to your heirs.
With a conservation easement, you place restrictions on how your land is used, both now and in the future. You then donate (or, in rare circumstances, sell) that easement to a conservation organization such as the Heritage Trust, which agrees to enforce the restrictions forever.
A conservation easement is tailored to satisfy your needs and to ensure that the special conservation values of the land are protected. The restrictions set forth in a conservation easement run with the title to your property forever. The property remains in your private ownership and can be used as usual, sold or bequeathed.
A conservation easement protects the special, natural qualities of your land. It in no way grants public access to the property, unless you specifically desire to grant public access.
Lummi Island Heritage Trust has received conservation easements on open farmland, forested hillsides, wildlife habitat, and natural shoreline. The Heritage Trust does not own these lands, however it assumes the long-term responsibility to see that the restrictions on the land are observed. Heritage Trust staff will work carefully with you through all the steps to create your conservation easement.
To learn more about protecting your land with a conservation easement, contact us.
A “conservation easement” is the most traditional tool for conserving private land. It is a voluntary legal agreement between a landowner and a conservation organization, such as the Heritage Trust, that permanently limits uses of the land in order to protect the special features of the property, such as wildlife habitat, forests, wetlands, agricultural land, or scenic vistas. A conservation easement allows you to continue to own and use your land, and also sell it or pass it on to your heirs.
With a conservation easement, you place restrictions on how your land is used, both now and in the future. You then donate (or, in rare circumstances, sell) that easement to a conservation organization such as the Heritage Trust, which agrees to enforce the restrictions forever.
A conservation easement is tailored to satisfy your needs and to ensure that the special conservation values of the land are protected. The restrictions set forth in a conservation easement run with the title to your property forever. The property remains in your private ownership and can be used as usual, sold or bequeathed.
A conservation easement protects the special, natural qualities of your land. It in no way grants public access to the property, unless you specifically desire to grant public access.
Lummi Island Heritage Trust has received conservation easements on open farmland, forested hillsides, wildlife habitat, and natural shoreline. The Heritage Trust does not own these lands, however it assumes the long-term responsibility to see that the restrictions on the land are observed. Heritage Trust staff will work carefully with you through all the steps to create your conservation easement.
To learn more about protecting your land with a conservation easement, contact us.
Tax Benefits of Qualified Conservation Easements. Besides permanently protecting your property's important conservation values without giving up ownership, your conservation easement may have the additional benefit of qualifying for a tax deduction. If your conservation easement donation benefits the public by permanently protecting important conservation resources, and meets other federal tax code requirements, it can qualify as a tax-deductible charitable donation. To establish the value of your conservation easement, an appraiser determines what the property is worth (its market value) without the easement restrictions and then the value of the property after it is restricted by the easement. The difference is the value of your easement and may qualify as a charitable donation. For example, if a property is appraised at $500,000 before any conservation easement restrictions are in place, and then appraised at $300,000 after the easement is in effect, the value of the conservation easement is $200,000. Lummi Island Heritage Trust is a non-profit, tax-exempt corporation under 501(c)3 of the Internal Revenue Code. If it qualifies under IRS rules, a conservation easement donation that is accepted by the Heritage Trust may be deducted from your adjusted gross income as a charitable contribution, thereby reducing your taxable income. Donating a conservation easement may also reduce other kinds of taxes. Estate taxes are the most significant of these. By reducing the value of your estate through the donation of an easement, you may reduce the eventual estate tax that will be incurred by your heirs. Whether your easement is donated during your life or by will, it can make a critical difference in your heirs’ ability to keep your land intact. |
A conservation easement may also result in a reduction of your property taxes. Property taxes are typically calculated based on the market value of the property. Your property may be assessed at a lower value for property tax purposes after your easement is in place.
Conservation easement values vary greatly. In general, the highest easement values result from very restrictive conservation easements on land with high conservation values. Because the rules governing tax deductions affect each donor differently, you should consult with your tax advisor about all tax implications for your conservation easement donation.
To learn more about the tax benefits of protecting your land with a conservation easement, call the contact us.
Conservation easement values vary greatly. In general, the highest easement values result from very restrictive conservation easements on land with high conservation values. Because the rules governing tax deductions affect each donor differently, you should consult with your tax advisor about all tax implications for your conservation easement donation.
To learn more about the tax benefits of protecting your land with a conservation easement, call the contact us.