How Much Can I Sell My Wind Lease Payments For?
- Craig Kaiser
- Sep 1
- 4 min read
If you’re receiving annual lease payments from a wind energy developer, you could be sitting on more than just a steady stream of income- you’re holding an asset with real market value. Instead of waiting year after year for those checks, many landowners are discovering that selling their future lease payments can be a smart financial move. By cashing out now, you gain immediate liquidity and the flexibility to reinvest, pay off debt, or fund new opportunities. This resource will explore the benefits of selling your wind lease payments up front for a lump sum and show you how to calculate the sale value of your wind lease royalties.
Can I Sell My Wind Lease Payments?
You have the option to sell your future wind lease payments to an investor in exchange for a lump sum upfront- either by reaching out to a specialty buyer or listing them on online platforms like LandApp. This process involves transferring the rights to your income stream rather than selling the property itself, giving you immediate cash, potential capital gains tax advantages, and the flexibility to reinvest in other opportunities.
Benefits of Selling Wind Lease Payments Up Front for a Lump Sum
Before deciding to sell your wind lease payments, it helps to understand the key advantages. Here’s why turning your future income into a lump sum can be a smart financial move:
Invest in Your Business: Using the lump sum payment to improve or expand your existing business can potentially generate returns that exceed the total rent or royalties expected over the lease term. Many landowners have successfully reinvested discounted lump sums into equipment, additional land, or other business expansions to increase their overall income. While only you and your advisors can determine if this is the right move, it’s a proven strategy for maximizing financial benefit.
Eliminate Future Payment Risk: While it may seem unlikely that a wind project owner would default on lease payments, there is always some risk over a 30+ year lease term. Payment could stop if the company experiences financial difficulties, files for bankruptcy, or new technology makes the project financially unviable. By selling your rights to future wind lease payments to MSE, you receive an immediate lump sum and transfer this risk to MSE. If future payments are not made, MSE absorbs the loss, not you. Unlike individual landowners, MSE can mitigate risk across multiple projects nationwide, spreading potential losses across its diversified portfolio.
Fund Otherwise Unattainable Opportunities: The lump sum payment can be used for purposes that might otherwise be out of reach, whether that’s paying off lenders or investing in lifestyle or personal goals. Because MSE understands the economics and risks of wind leases, we can accurately value your lease and provide options that traditional banks or general investors often cannot.
Depending on the number of years left on your wind lease, it may make more sense to take the lump sum payment now instead of receiving smaller payments over a longer period. Plus, if you're working with a reputable wind developer, selling your lease can provide peace of mind knowing that you'll receive a fair price for your investment. If you're looking for a smart financial move to help you avoid risk and uncertainty, selling your wind lease is worth considering.
Who Buys Wind Lease Payments?
Investors, asset managers, and specialized firms often purchase wind lease payments because they offer a predictable, long-term income stream. These payments are typically fixed and backed by the wind energy developer, providing steady cash flow with relatively low risk compared to other investment options. By buying future lease payments, investors can diversify their portfolios with assets that aren’t tied directly to the stock or real estate markets. Frequently, these income streams are purchased at a discount, boosting the investor’s effective yield over time. Over the long term, these reliable cash flows can be reinvested or compounded, offering the potential for strong, consistent returns.
How Much Can I Sell My Wind Lease Payments For?
If you’re thinking about selling your lease payments, it’s important to have a clear idea of how much you could receive. One key factor is the remaining term of your lease- long-term agreements, typically 20 to 50 years, often make selling more attractive. Inflation also impacts the value of your future payments, as higher inflation can reduce their real worth compared to the original agreement. By considering these elements, you can make a well-informed decision about whether selling your lease payments is the right move for you.
If you've leased your land for a wind farm and are interested in finding out how much your lease payments are worth, use LandApp's free calculator for an estimate:
How to Sell Wind Lease Payments
Whether that means holding onto your lease payments or selling them on the secondary market, it's important to consider all of your options and potential financial advantages. You can market your wind lease payments for sale on LandApp's marketplace to a nationwide network of investors ready to pay premium prices at no cost! Learn more and get started below:
