From Trash to Treasure: Reclaiming Contaminated Property

As North Carolina transitioned to a 21st-century economy, many former industrial and commercial sites were left behind. These sites, often former factories, mills, and fleet maintenance locations, may have soil or groundwater that has been contaminated by one or more hazardous substances. These sites, called “brownfields,” often remain undeveloped or underdeveloped even when they are in favorable locations. This blog examines what keeps these sites from being redeveloped and how federal and state government programs can help local governments and economic development officials overcome the obstacles blocking redevelopment. In addition to this post, Planning and Zoning Law Bulletin #34, titled Redeveloping Polluted Property: A Primer for Local Government and Economic Development, covers similar material in greater detail.

So what holds back brownfields sites that otherwise would be attractive for redevelopment? The answer is often potential liability and cost associated with soil or water contamination. State and federal laws can impose liability on a subsequent landowner even if they did not cause the original contamination. Consequently, even innocent landowners are incentivized to investigate and address contamination they find on their land. The risk, cost, and delay that comes with assessing and cleaning up environmental contamination may dissuade many from acquiring or developing an otherwise appealing property, but these properties often just need a nudge to unlock their potential. This nudge can come in the form of brownfields redevelopment assistance programs. To help owners of brownfields overcome the challenges associated with contaminated property, both the United States Environmental Protection Agency (US EPA) and the North Carolina Department of Environmental Quality (NC DEQ) operate brownfields redevelopment assistance programs.