A Case Study Measuring Solar Array Impacts on New York Residential Values

Solar energy production has exploded on rural and suburban United States tracts of land within the past two decades, gobbling up thousands of acres of land for groundmounted arrays of photovoltaic panels. Some solar farms exceed capacities of 500 megawatts and cover thousands of acres. One of the most common concerns with proposed solar farm development is the potential for adverse impacts on nearby residential property values. This case study examines one process for measuring changes in residential property values near solar farms. Additional questions addressing environmental concerns, livestock grazing, and possible mitigation measures are also identified. Appraisers from other regions can follow the analysis format in this paper to develop relevant studies that analyze impacts on residential property prices as well as to identify other areas of concern that may be applicable for proposed solar farm development. This paper is intended to provide the reader with some options of how to analyze and measure the impact that a large solar array may have on surrounding property values. This author was one of the presenters of the “Impact of Solar on Rural Property Values” webinar presented by ASFMRA in August 2022. The presentation reviewed the procedures that this appraiser used to evaluate the impact on residential properties near established solar farms throughout Upstate New York. Market studies completed for this purpose were usually commissioned by solar farm developers or the local municipalities and had intended uses to analyze this type of impact in mostly rural and suburban locations.