It is difficult to raise capital in the current economic times even for a greenfield development. Raising capital for a brownfield redevelopment has historically been a more difficult proposition. Lenders are scarce and only high rate of return, speculative capital is available for equity.

As a result, brownfield redevelopers must be even more creative to obtain funds to finance a project. One solution to consider is the use of a joint venture between the redeveloper and the owner of the contaminated site. In a joint venture transaction, the owner of a contaminated site would contribute his land into a limited liability company or other suitable legal entity to form a joint venture with the brownfield redeveloper. The brownfield redeveloper would contribute the new capital which is necessary to remediate the site, as well as any funds required for demolition, entitlement, insurance and operations through the period for remediation. ...

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