When home-owning-hopefuls are preparing to build their dream homes, their focus typically pertains to paint colors, countertop materials, and light fixtures, among other details. However, there is one thing that many are not aware of: environmental diligence.
Not all building land is created equal. To protect yourself from potential environmental repercussions, liabilities, and obligations, it’s crucial to conduct sample due diligence.
What Is Environmental Diligence?
When a parcel of land is purchased, one should perform an assessment of any known, potential, or contingent environmental problems, concerns, liabilities (i.e., current or future), and requirements. This is what’s known as environmental due diligence.
When a developer purchases acreage to later be divided into smaller parcels for building and resale, they may be purchased in “as is” status. This means that the responsibility of the environmental due diligence process can be conducted at a later time. When completed, the purchaser often renegotiates the sale if concerns are founded.
With guidance from the Environmental Protection Agency (EPA), assessments are traditionally conducted by representatives from the American Society for Testing and Materials (ASTM) in accordance with the Environmental Site Assessment (ESA) standard to identify recognizable environmental conditions (RECs).
Potential Environmental Concerns on Building Sites
Now that you know the definition of environmental diligence and who is commonly contracted to conduct it, it’s necessary to consider what they’re looking for and potential issues for land purchasers. There are three primary categories that may leave landowners paying millions of dollars to remediate.
Soil Contamination
Soil contains naturally occurring minerals, water, and organic material; however, humans have either unknowingly or intentionally added, poured, or buried material that has contaminated that rich earth. Such contamination can harm humans, animals, and plants.
Examples of soil contamination include oil or petroleum (e.g., from roadways or driveways washing into adjacent grassy areas), pesticides (i.e., used to keep pests away from growing gardens or farmlands), industrial waste, and local garbage disposal.
Groundwater Contamination
If the land on which you plan to build is located in an area not serviced by your city, you may be forced to use a well for water. Notably, most of the world’s freshwater comes from underground, which is where the city likely sources its water as well. Just like soil, water can become contaminated by either natural or human activities.
Significant contamination can render your groundwater unusable for drinking, livestock, or cooking, which are vital for survival. Moreover, it becomes quite costly to purchase non-contaminated water for every household use.
Historical Use of the Property
As part of the assessment, the inspector will research the historical use of the property to determine its previous uses. If the property was formerly an old chemical plant, an ancient burial ground, a lake or pond that had been filled in to create a housing development, or even the former city dump, all of these possibilities can affect the contamination levels and render the property unsafe.
Dangers to Your Brand New Home (and Steps to Remedy Them)
If left untreated or unaddressed, environmental concerns can cause damage to your home or require expensive remediation approaches to make it safe for yourself and your family.
Lead
If you have a well, it’s entirely possible for increased amounts of lead from the soil to seep into your drinking water supply. Have a plumber check your pipes and filtration system to ensure safe drinking water.
Radon
Although radon is found in all soils, excess radon from various factors (e.g., buildings over an old city dump) can make the air you breathe inside your home toxic for humans and pets—and cause lung cancer in the process. If radon levels are high after testing, homeowners may be required to install a pricey radon reduction system.
Mold and Mildew
If your new property is prone to water seepage because it was built on a formerly filled-in pond, the resulting mold and mildew has the potential to cause health problems. Conducting semi-annual gutter cleanings can help channel that rainfall away from the home and eliminate foundational seepage.
Conclusion
Although most builders will organize environmental due diligence for your home, the purchaser is still the last line of defense to ensure that you are not held financially liable for remediating these dangerous and costly conditions. With that in mind, when it comes to your new home, just a bit of environmental diligence will enable you to keep your family safe and make great memories in the process.
