Ontario Tax Sale Property Forum
Tax Sale Forum => General => Topic started by: mike7 on April 24, 2018, 06:18:11 PM
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(I tried to use the search bar, but it doesnt seem to be working)
Has anyone ever bough, or know of someone who bought a gas station before? I imagine the chances of there being an environmental harard are quite high even if not stated in the title. Can anyone explain how big the issues could be or the chances of there being issues. The one thats for sale has intregued me.
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Mike:
The first question is " What do you intend to do with it." Operating it as a gas station is a lot different then trying to flip it.
Contaminated sites in general pose a lot of problems because unless you have some really good knowledge it is hard to put a risk valuation on your possible exposure.
As tax sales are not subject to inspection they are sometimes the only way an unscrupulous owner can sell a contaminated site. Oil products also have a tendency to
spread underground to your neighbours properties. Thus you may be liable to clean up their property in addition to what you buy.
I got a lot of flak because I tried to warn people about a possible environmental risk on a recent tax sale. I didn't bid on it as is my normal practice because I have better things to do with my time and money. Well someone bought it (for over $100,000) and owns it and now will find out what they have. There maybe problems with neighbouring properties on that one but which property caused the problems and the extent of it I didn't take the time to find out.
In general I avoid them like the plague and hope that I don't become a victim.
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Mike:
The first question is " What do you intend to do with it." Operating it as a gas station is a lot different then trying to flip it.
Contaminated sites in general pose a lot of problems because unless you have some really good knowledge it is hard to put a risk valuation on your possible exposure.
As tax sales are not subject to inspection they are sometimes the only way an unscrupulous owner can sell a contaminated site. Oil products also have a tendency to
spread underground to your neighbours properties. Thus you may be liable to clean up their property in addition to what you buy.
I got a lot of flak because I tried to warn people about a possible environmental risk on a recent tax sale. I didn't bid on it as is my normal practice because I have better things to do with my time and money. Well someone bought it (for over $100,000) and owns it and now will find out what they have. There maybe problems with neighbouring properties on that one but which property caused the problems and the extent of it I didn't take the time to find out.
In general I avoid them like the plague and hope that I don't become a victim.
My original thought would be to flip it, although running it would be an option. Are you saying that it would be worse if I run it since the damage can become greater over time, or are you saying that it would be more difficult to sell because there might be damage that I would have to deal with immediately?
I don't intend to bid on the one thats for sale, i just want to get a better idea of how one would go about assessing the risk. The thought that it can spread worries me a lot.
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Mike:
I don't have the skills or experience to assess this type of risk. that is why I don't participate if I am fortunate enough to discover the risk in time.
selling is probably the worst situation but it depends if the tanks have to be lifted and replaced anyways.