Developer wants access/use of my property while building

They are tearing down the house next door to put up condos. The developer would like to be able to use my adjacent alley and part of my back yard (My back yard is quite big) to use during construction. I will definitely feel the squeeze as the ground floor apartment in my 3-family house will become v renacant during construction, which will affect the ease and price of renting it out.

My question: what should I charge, what is fair, for access to my property during construction?

Thanks!

webby1000

in General Discussion 8 years and 1 month ago

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webby1000 | 8 years and 1 month ago

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Mike Stern, just curious–what did they offer?

dannyclase | 8 years and 1 month ago

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Well, my neighbour just did renovations, we tried to agree on a licence agreement. After 2-3 months negotiating he simply went to court and got a judge to grant him access to my property…. I should’ve taken what he offered but i tries ti get more and now I’ve got nothing, if the access he need is for safety and protection he can get it by going to court …

dannyclase | 8 years and 1 month ago

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dannyclase | 8 years and 1 month ago

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slopefarm | 8 years and 1 month ago

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Well, my house did look like wartime Beirut for a while during renovation.

BobMarvin | 8 years and 1 month ago

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BTW, it was a link to a website in Lebanon

BobMarvin | 8 years and 1 month ago

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It was a ghost anyway slopefarm 🙂

slopefarm | 8 years and 1 month ago

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LOL, Bob. We all end up looking like we are arguing with ghosts when you do that.

BobMarvin | 8 years and 1 month ago

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What “slopefarm” said. I’m a moderator and I’ve removed “MarkHFord’s” post and banned
“him”.

slopefarm | 8 years and 1 month ago

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EJR – M-Ford’s post is a classic shill bot post. No real insight to be gained the and not worth pursuing or arguing.

But yes, for public consumption, it goes without saying, you want an attorney who is admitted to the bar. But that is hardly worth the time it took to type that. the value is in finding a lawyer who deals with these types of transactions all the time and who comes referred by a source you trust.

EJR | 8 years and 1 month ago

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@MarkHFord – what do you mean by the advice to make sure the lawyer has a license? There really are not a ton of people running around holding themselves out as lawyers when they are not admitted to the bar for the practice of law. It’s not like a contractor situation…I say this as a lawyer (who does not specialize in real estate law), FWIW.

JayinBK | 8 years and 1 month ago

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I just recently went through this, the project was completed after 2 years. Hire a Real Estate Lawyer, have your lawyer draw up an Access Agreement or review/revise their proposed Access Agreement. Mine was 9 pages long, covered insurance, liability, they need to fix any damaged during any phase of the project, vibration monitoring, cleaning…… I asked for 25K, which covered my inconvenience and lawyers tab. As the project progressed, they had to fix the damage to my cellar floors, since they took more space and time than agreed on access agreement, I drew up an addendum, I had them re-cement a portion of my yard. They remove my backyard fence, they replaced it with new fencing. It can be mutually beneficial. They will benefit by unobstructed construction and can build to the property line, more square footage more $ they will make, and you get financial compensation and property upgrades. I also had tenants and I gave them a slight reduction in rent and no increase while the project is going on.

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As eFortGreene points out, you can’t simply refuse to give a developer access to your property, if they can show that it’s necessary. But you can certainly insist on an ironclad contract that protects your rights.

EJR | 8 years and 1 month ago

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In addition to all of the solid advice in this thread, I would suggest that in addition to the monthly license fee you agree on, also requiring a lump sum signing fee to pay you for the trouble, and somewhat insulate you from minor problems going forward. Somewhere in the realm of $5,000 seems appropriate. Then, to address everyone’s concerns that the developer will shirk its responsibilities in the event something goes wrong, make them put a sufficient amount into escrow to cover more serious issues down the line. The amount you can get them to agree to escrow will depend on the size of the project, but if it’s on the larger size, $50,000-$100,000 seems reasonable. Make sure the terms of the escrow agreement permit the escrow agent to disburse the funds to you without the consent of the developer upon reasonable documentation of any harm caused to you. In sum, hire a lawyer that handles this type of thing and you solicit his or her advice on how to best proceed.

eFortGreene | 8 years and 1 month ago

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No one brought up the fact that if you deny access they could initiate an 881 action against you, assuming they want to build to the property line. You need to know whether you’ll need to be underpinned (if their excavation is deeper than your foundation, you will; 10′ is generally the angle of repose). We, too, had a license agreement with a limited term, ccvering our legal costs and preconstruction survey (an absolute necessity! done by a structural engineer of your choice!), and they undermined us. Got a SWO more than 14 months ago but they won’t renegotiate, are scum. We filed a claim against their liability insurance, and though their own insurer found them to be at fault, they had an earth movement exclusion so our claim was denied. so not only should you demand to be listed as additional insured, demand the actual policy and that they pay for an independent insurance expert to examine the policy. In short, you are better off with an agreement than wi thout one, but focus less on the money than in protecting your property. They can hurt you deeply! We’ve spent $35,000 on experts without suing!

MsStalwart | 8 years and 1 month ago

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I was told by a friend that her neighbors charged $200/day for access to their driveway for facade work by their neighbor. The context was that there was a lot of ill will between both before this need arose.

slopefarm | 8 years and 1 month ago

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I don’t know if the upside is worth it, but even if you don;t grant them a nice big license for coming on your property a lot, you cannot unreasonably deny them access where they really need it, and you would want to grant that access with protections for you (indemnification, insurance, etc., and even in that more limited circumstance, i would recommend getting a lawyer who deals with this a lot involved. The builders all know what the market will bear at their end and you may as well have some expertise on your side. You need thins – a survey, documenting original conditions, and you have costs. You can decide whether this is worth doing based on a proposed actual transaction rather than on spec. Your attorney will have the additional benefit to you — if you choose right – -of some industry knowledge (e.g., for advice on whether the builder in your case has a good or bad track record vis a vis neighbors etc.). There’s good advice here but you have a lot at stake – don;t cut corners. Get this done the right way whether you grant the broader access for a fee or not.

iceberg | 8 years and 1 month ago

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> @workisfun
> We granted them a licence term, and charged a per diem rate for every day thereafter.
That’s good, but maybe not good enough– I’d have them put up a bond against that, so that you won’t need to litigate in the case of breach.

workisfun | 8 years and 1 month ago

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Because they might be on this site, and we are on the verge of litigation, I’d rather not say exactly. I can say that we negotiated a flat 30-day license that had to be paid before any work was done. They were sure they would finish in less time. So we negotiated a per diem penalty after 30 days that was extremely cost-prohibitive for them. However after months beyond the license term and a clear-as-can-be contract, they have yet to pay. We were denied access to our backyard, garage, lower level, laundry, etc. Not fun.

Developer wants access/use of my property while building

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Developer wants access/use of my property while building

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