Sellers Holding a Virginia Land Preservation Credit Number
If you already have applied for and received your “LPC number” from the Virginia Department of Taxation, all that is required for you to market your credit through Conservation Partners, LLC is a document review followed by some paperwork.
- Document Review: Contact us to arrange for a review of your deed of easement, appraisal report, and certain other documents against our Quality Standards. We can only market credits that comply with our Quality Standards.
- Pre-Sale Documentation: As part of the preparation of your credit for marketing, you and Conservation Partners, LLC will sign a Credit Marketing Agreement stating the amount of credit you wish to sell, the minimum net return, setting forth certain representations regarding the credit, and giving Conservation Partners, LLC authorization to sell your credit once we locate buyers. As soon as we have your “LPC number” and an executed Credit Marketing Agreement in hand, your credit will be placed in our queue of credits to be actively marketed and sold.
- The Sale: At the closing of each individual sale of a portion of your tax credit, you and the purchaser will enter into a Tax Credit Purchase Agreement (to reduce transaction costs, you will formally authorize certain Conservation Partners, LLC personnel to sign these standardized Agreements on your behalf ). Under each Tax Credit Purchase Agreement, you commit to stand behind the validity of your credit and reimburse the purchaser in the unlikely event your credit is disallowed or devalued by the Tax Department.
- Conservation Escrow Services, LLC receives the various buyers’ checks for each credit sale and periodically issues payments to you after Conservation Partners, LLC’s fee and the transfer fee paid to the Virginia Department of Taxation have been deducted. Any costs advanced on your behalf through the Advance Funding Program also will be deducted prior to issuing your check. Our one-of-a-kind transfer system allows us to manage a high volume of tax credit purchases quickly and securely, meaning you receive your credit sales proceeds sooner.