Diminution in Value
Wind Turbine Analysis
AACI, P.App, MRCS
Opinions about wind turbines – and their effect on property prices – are a relatively new phenomenon in Ontario (2005). Most people have an opinion regarding wind turbines and their effect on themselves, their surroundings, and society. The main concerns are the safety and health impacts of wind turbines.
If a wind turbine were erected on a property, would the neighbouring properties have the same market value as without the wind turbine? Does a wind turbine cause an increase or decrease in property value? There may be endless questions from a potential buyer and/or seller when dealing with a property affected by a wind turbine. When considering property value, these questions are difficult to quantify; however, the overall impact of a wind turbine can be analyzed within the actions of an open real estate market.
This study endeavours to isolate any loss in property price caused by a wind turbine. The construction and use of a wind turbine is an event over which a neighbouring property owner has no control. Each example in this study illustrates some type of ‘harm’ or ‘injurious’ affection’ that can be caused to a real property as a result of a wind turbine. The harm may be real or perceived and it may be different for each property and to each property seller and
This study analyzes specific examples that occurred within the open real estate market in order to isolate the impact on property value caused by a wind turbine.