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Terrafirma UNDER ALL Is ThE LAND

fALL 2011

VOL. 64 NO. 2

CONTENTs 3 4 6 9 10 12

President’s Message News Briefs From National Member News New ALC Candidates Meet the New ALCs Creative Exchange Property

Making Money with Online Auctions 13 14 16 17 18 20 21 22

Government Affairs Briefing Chapter News 2012 National Land Conference LAND U News RLI Day at NAR Conference & Expo Doing Things Right Closing Words: Fracking vs. NIMBY

The 2011 LandScan Trends Report is set to be released this fall. This year’s report is being produced in collaboration with Jones Lang LaSalle and the Commercial Real Estate Research Subcommittee of the National Association of REALTORS®. See page 4 for details.






Brownfield Team To Be Sworn In Ray Brownfield, ALC, of john greene Land Company in Oswego, Ill., will be sworn in as 2012 national president of the REALTORS® Land Institute on RLI Day, Thursday, November 10, at the NAR Annual Conference & Expo in Anaheim. “I am honored to have been selected for the opportunity to serve the outstanding membership of the Institute. It is my goal to lead the organization in the coming year with transparency, energy, and responsibility,” said Brownfield. Brownfield was elected vice president of the Institute in 2009, serving in the position in 2010, and as president-elect during the Jesse Lane administration in 2011. In addition to his ALC credential, Ray Brownfield, ALC Charles “Chuck” George Clift, ALC 2012 Vice President Wingert, ALC Brownfield holds 2012 President 2012 President-Elect the Accredited Farm Manager (AFM) and Accredited Rural Appraiser (ARA) designations of the American Society of Farm Managers and Rural Appraisers, where he served as president in 2008. During his career, he has worked in farm management and real estate brokerage for Continental Illinois Bank & Trust Company, First National Bank of Peoria, the Northern Trust Bank, and Capital Agricultural Property Services, Inc. “I believe strongly in the importance of belonging to professional organizations. My success in the land business has been built on the relationships I have forged over the years, and I look forward to expanding my professional and personal bonds with all. Together, we can achieve great things.” In a departure from the traditional formal Inaugural event, Brownfield and officers Chuck Wingert, ALC, as president-elect, and George Clift, ALC, as vice president, will be installed during the November 10 Annual Membership Meeting, which will be followed by a reception honoring the entire 2012 Leadership Team. For information on RLI Day, go to page 20.


Government on Real Estate

############ Legislative, Regulatory, and Economic Trends October 27, 2011 Noon - 1 p.m. Central (1–2 pm EST; 10–11 am PST) Register at See page 19 for details.






In Line for the 2014 Presidency

George Clift, ALC George Clift, ALC, of Clift Land Brokers of Amarillo, Tex., will ascend to the national presidency of the Institute in 2014. "We are fortunate to have had such an excellent nominee declare his candidacy for vice president and agree to serve on behalf of us all," said Jesse Lane, ALC, 2011 national president. "George has demonstrated outstanding commitment to the Institute, and he will be a great leader." Clift’s firm is the largest land broker in the Texas Panhandle and employs 17 real estate brokers and sales associates, who handle conventional sales, buyer representation, sealed bid sales, and auctions. Read an interview with the newest Institute officer on page 8.


Complete 3 ALC Required Courses by the End of the Year Good news! You can complete all three required courses for the ALC designation by the end of the year. Land 101 may be taken online, at your own pace, or through classroom offerings; and Land Investment Analysis and Tax-Deferred 1031 Exchanges are being given via the no travel “hybrid” delivery system, which combines independent study and instructor-led phone conferences.

Get on the path to the ALC designation today.

To learn more about these opportu-

nities, plus upcoming classroom course schedule, go to page 18.

Mark your calendar for the 2012 National Land Conference

March 27 – 28, 2012 • The Westin Denver Downtown The 2011 National Land Conference moves to the Rockies in 2012, bringing together the best in the land business for an outstanding education and networking experience. “We have a stellar lineup of speakers and programs planned for the 2012 conference,” says Andre van Rensburg, ALC, conference chairman. “Our committee has done an excellent job on building a worldclass event. Plus, we are happy to have the support of the Colorado Chapter in the planning and promotion process.”

ERE! BEForTH the preliminary schedule of events, go to page 17. 




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president’s Message jesse Lane, ALC 2011 National President

“Successful professionals understand the power of associating with other like-minded achievers.”

I Extend My Thanks As I REfLECT ON MY LEADERshIp YEAR, I want to thank all of you—the Board of Directors, committee members, chapter leaders, Land Conference participants, LandU students, our sponsors and partners, the staff, and each and every candidate member and ALC designee. My presidential theme has been “A Clear Direction.” Working together, we have made significant advances toward achieving the Institute’s strategic vision: To be the essential membership organization for all land professionals.



I recently became aware of the leadership work of Don Yaeger, renowned author and speaker, who has spent years studying the lessons learned from the most influential leaders in sports, one whom was the legendary UCLA basketball coach John Wooden. Yaeger reports that Wooden was passionate about “the value of association.” Wooden firmly believed that the truly great understand the importance of surrounding themselves with others who are committed to the same goals and the same level of achievement. That’s what we do at the REALTORS® Land Institute: We surround ourselves with others who are headed, with a Clear Direction, to greatness. Think of our major achievements this year that were a result of collaboration with others who aspire to achieve great things: I We expanded strategic partnerships with firms such as Farmers National, United Country, Cabela’s Trophy Properties, Coldwell Banker, Century 21, Keller Williams, The Land Report, Farm & Ranch, the CCIM Institute, ASFRMA, and many more, all of which raise awareness of our organization and grow opportunities for everyone. I We convened LandU Education Week in June in Chicago allowing ALC candidates to complete multiple courses in just one week and created a renewed buzz for our face-to-face classroom events. I We grew the number of offerings of hybrid courses (independent study and web-based lectures) and increased web seminar distribution, which provides education opportunities without the expense of travel. I We invigorated our core LandU curriculum with the new Timber course, developed by ALC Rick Taylor of Mossy Oak Properties, who volunteered all of his service and expertise. I We strengthened our on-location corporate education program, most successfully with a partnership with Cabela’s Trophy Properties, delivering LandU courses directly and exclusively to their agents and brokers. I We ramped up our membership and designation marketing and outreach efforts and as a result added more than 7,500 new prospects to our membership database. I We published the second edition of the LandScan Trends Report, which had a 20 percent increase in participation. The Report, which is published in cooperation with Jones Lang LaSalle, also enjoyed the benefit of a new association with NAR’s Commercial Research Subcommittee.



We produced the 2011 National Land Conference with the dedication of a stellar conference committee and support of exhibitors and sponsors, such as NAR Commercial, Open Fences, Mossy Oak Properties, Map My Land, Atlantic Advisory Services, and more. The conference was an outstanding event that provided a wealth of insights on issues and trends facing today’s land professional and raised the bar and excitement for the 2012 conference in Colorado. We worked collaboratively with NAR and appropriate coalitions to formally protest the overstepping of the EPA and Corps of Engineers regarding water regulations; encouraged a “no” vote on the Flood Insurance Reform Act, which would terminate the National Flood Insurance Program; and voiced strong support of the Small Business Lending Act of 2011, the U.S. Covered Bond Act of 2011, and the Common Sense Economic Recovery Act of 2011. We saw chapter activity energize across the country and honored the Colorado Chapter for its outstanding programs and innovation, all of which add solid membership value on the local level. We went social on LinkedIn and Facebook, plus developed the new Member Connect electronic newsletter, for members to connect more easily.

We also have grown organizational greatness through the day-to-day smaller acts of creating contacts, building conversations, and providing service that consistently demonstrate that “When you’re in the land business, the REALTORS® Land Institute is where you belong.” As I get ready to pass the gavel of leadership to the 2012 team, headed by Ray Brownfield, ALC, I invite each and every one of you to think about how you have benefited and can continue to benefit from expanding your associations with like-minded professionals in the land business. You can build your power of association by simply reaching out to potential new members, new ALCs, or new candidates with a quick phone call or email. You can participate in Institute events and activities, such as chapter activities and major events such as the 2012 National Land Conference coming up in March in Denver, Colorado. You can join in as a committee volunteer, speaker, newsletter contributor, instructor, chapter leader, or any other number of activities. Every contact you make is another opportunity to better yourself and grow your opportunities for building knowledge and building business. As Coach Wooden believed, true achievers understand the power of associating with other achievers. When winners work together, they can achieve greatness. And we have demonstrated that philosophy this year. Thank you all for your support, your energy, your commitment, and your enthusiasm. It’s been a valuable and memorable journey.


Accredited Land Consultant, 2011 National President

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Terrafirma FALL 2011 edition Volume 64, No. 2


Single Issue Price: $8 Published by the REALTORS® Land Institute 430 North Michigan Ave., Chicago, IL 60611 Telephone: 800.441.LAND Fax: 312.329.8633 E-mail: Web: 2011 BOARD Of DIRECTORs

National President Jesse Lane, ALC President-Elect Ray Brownfield, ALC Vice President Charles “Chuck”Wingert, ALC Immediate Past President Dan Hatfield, ALC NAR Executive Committee Representative Bob Turner, ALC Education Committee Chair Terri Jensen, ALC Government Affairs Committee Chair Benton Gibson, ALC Membership Development Committee Chair Lee Vermeer, ALC Education Committee Vice Chair Renée Harvey, ALC Government Affairs Committee Vice Chair Dean Saunders, ALC Membership Development Committee Vice Chair

Tom Smith, ALC Executive Vice President (ex officio) Gloria Bowman Treasurer John Pierpoint (ex officio) Government Affairs Staff Liaison Russell Riggs (ex officio) sTAff Editor

Gloria Bowman Executive Vice President Contributing Editors

Michele Cohen Director of Education and Policy Lindsey Urban Manager of Accreditation and Membership Administration

Karen Calarco Manager of Operations and Member Records Design and production

Dave Hunter

Copyright © 2011. All rights reserved. Reproduction in whole or in part without permission is prohibited. Views expressed within the publication are not necessarily endorsed by the REALTORS® Land Institute and information should not be construed as recommendations for any course of action regarding financial, legal, or accounting matters. 4


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RLI DAY sET fOR NOvEMBER 10 AT NAR ANNUAL CONfERENCE IN ANAhEIM The Institute's official “RLI Day” will be held on Thursday, November 10, in conjunction with the NAR Conference & Expo in Anaheim. RLI Day includes meetings of the various committees, the 2011 Awards Luncheon, and the Annual Membership Meeting. In a departure from the traditional formal RLI Inaugural dinner dance, the installation of the 2012 leadership team, headed up by 2012 National President Ray Brownfield, ALC, will be conducted as part of the Annual Membership Meeting. A reception will follow. (After the RLI reception, attendees will want to attend the Denim and Diamonds Inaugural Party celebrating the installation of Moe Viessi as NAR’s 2012 National President.) For a full schedule of RLI Day events, go to page 20. RLI Day requires a registration fee separate from the NAR Conference fees. The headquarters hotel is the Sheraton Anaheim. You may register and purchase tickets online at: or www.rliland/ AnnualConvention.aspx

NEW WEB sITE spONsORs A special welcome goes out to new web site sponsors J.P. King Auction and No Fences Land Company. J.P. King is marketing its upcoming auctions on the Institute’s web site and in the electronic news. Go to: to view the banner ads or go directly to for more information. No Fences Land Company focuses on properties for sale in Texas and Oklahoma. Go to:

UsDA LAND vALUE 2011 sUMMARY NOW AvAILABLE The USDA Land Value Summary released its land value report, which includes agricultural data by state and region, average value per acre for farm real estate (farmland and buildings), cropland, and pastureland. Access the complete report at: nass/PUBS/TODAYRPT/land0811.pdf.

ALC TELECONfERENCEs LAUNCh The first ALC Teleconference was held on July 19, bringing together Accredited Land Consultants to discuss “Getting the Deal Done: Stories and Lessons Learned.” Terri Jensen, ALC, chair of the Education Committee, facilitated the call. The next ALC-to-ALC teleconference will be held on October 5 and will focus on the subject of technology. Gayle Harvey, ALC, will facilitate the discussion, which will end with an opportunity for networking and sharing“needs and wants.” Go to page 18 for more information or contact

NAR CREDIT UNION OffERs CREDIT LINE fOR pROfEssIONAL DEvELOpMENT Are you considering taking a course? Getting a license? Going to a conference? The REALTORS® Federal Credit Union is lending a hand to set you apart from the competition. Now you may get a line of credit from the REALTORS® Federal Credit Union to pay for classes with REALTOR® University, get state licensing requirements, pay for conference expenses, or even your annual dues. Open a REALTORS® FCU eChecking Account for an easy payment option for your credit line. For details visit:

2011 LANDsCAN TRENDs REpORT AvAILABLE A special thanks to all members who responded to this year's survey for the 2011 LandScan Trends Report, being published this year by the Institute in cooperation with the Commercial Research Subcommittee of the National Association of REALTORS® and Jones Lang LaSalle. There was a 20 percent increase in responses this year, with 7 more states represented (Arkansas, California, Minnesota, New York, South Dakota, Utah, and Wisconsin). An electronic copy will be available online and print copies may be ordered. Contact for more information.




A very special “thank you” goes out to Dan Duffy, CEO of United Country, for directly recruiting new ALC candidates this summer. “Year to date, ranch land sales are up 35 percent in total sales volume from 2010, farmland is up 27 percent, and recreational land sales up 14 percent, while, as we all know, residential sales continue to struggle,” said Duffy. “Due to these market conditions, I believe it is essential that our United Country agents get on the path to including land brokerage services to their line of business. “Top performers know that it’s important to invest in their professional development; it certainly has worked for ALC Scott Lindsey, for example, who was the Top United Country agent in 2010,” continued Duffy. “We intend to grow a huge base of Accredited Land Consultants in the United Country organization, and we are willing to support all of our agents and brokers who strive to achieve such excellence.”

MEMBER CONNECT E-NEWsLETTER MAkEs DEALs hAppEN The new “Member Connect” digital newsletter allows you to reach out to your fellow members to ask for advice, submit listing news, describe your buyer needs, and share advice. Submit your postings to Hillary Wilson at Watch your email inbox for the next issue! If you are not receiving RLI’s e-newsletters, contact

LINkEDIN pARTICIpATION GROWs Almost 300 land brokers have joined the conversation through the REALTORS® Land Institute/Accredited Land Consultant LinkedIn group. Not only can you participate in the open forum, but you can also join two member-only forums, one for “Buyer Leads” and one for “Listing News.” To learn how to get connected, contact Lindsey Urban at: or 312.329.8353.

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UsLEGAL fORMs USLegalForms is the premiere site for accessing legal forms on the Internet, offering more than 50,000 state-specific legal documents and forms including real estate packages, land forms, business & corporate forms, employment, financial, power of attorney, wills, and much more. Institute members now receive a 20 percent discount on all legal forms ordered through ?auslf=rli or through the link in the Members Only section of the RLI web site at

Us fARM LEAsE TERRAIN NAvIGATOR pRO MyTopo's Terrain Navigator Pro offers highresolution topographic maps and aerial imagery to identify property boundaries, calculate acreage, show clients the terrain from overhead and in 3D, plus much more. Institute members are now able to take advantage of a special 25 percent discount from September 1 – December 31, 2011. Call MyTopo at 800.945.9475 for more information or to receive a quote. For information on web banner ads, go to: offers services for all landowners, including a leasing system to connect landowners and operators seeking to rent land, a fair lease option for owners, and a recordkeeping service. All Institute members are eligible for free registration with unlimited listings and a 50 percent discount toward the recordkeeping service. Go to or call 888.232.4002 for more information.


By popular demand, an updated version of the ALC consumer brochure is now available. The brochure was created to promote the power of the ALC designation to your potential clients. An added feature of the brochure is a personalized “insert card” that can be tucked into the back pocket of the brochure. The insert card includes your photo, your company logo, and up to 250 words of copy that describes your business specialty. The 8-page brochure is available in quantities of 25, with 25 customized insert cards, for $50, plus $7.50 shipping and handling. To order, submit your insert card copy, your company logo (optional), and a high-resolution digital photo. A proof of your insert card, along with an invoice, will be forwarded to you. Call 800.441.LAND (5263) to request an order form.

A new shipment of ALC portfolios has arrived. The black portfolio is imprinted with the ALC logo and comes with a coordinated Accredited Land Consultant pen. Portfolios are $38, plus $3 shipping and handling. Order yours today by calling 1.800.441.LAND (5263) or email

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Member News

Randy Hertz, ALC

Trey Allen

Michael Landreth, ALC




Trey Allen, Coldwell Banker United Realtors of Mount Pleasant, S.C., has completed the South Carolina Master Naturalist program of Clemson University’s Department of Forestry and Natural Resources. A Master Naturalist must undergo specific training in native ecosystems, such as geology, plant and animal life, ecology, and the impacts of humans on the landscape. Once trained, Master Naturalists volunteer their knowledge and service for a variety of projects.

Michael Landreth, ALC, CRS, GRI, and former national president of the REALTORS® Land Institute, has joined Mason & Morse Ranch Company, the Colorado-based land brokerage, and an affiliate of United Country Real Estate.

Randy Hertz, ALC, of Hertz Real Estate Services, Nevada, Ia., participated in a White House Business Council Roundtable in August, along with 15 other business leaders and Peter Appel, Under Secretary of Transportation. At the meeting, Hertz shared information about the current farmland market and how low interest rates and quantitative easing, along with crop shortages and high commodity prices, were boosting farmland prices. Hertz also expressed concerns about the need for succession planning in farm country, since more than half the farmland is owned by people beyond retirement age.

Bart Miller

Mason & Morse Ranch Company, United Country Real Estate, and Landreth Ranch & Land Co., were each included in the Winter 2010 edition of The Land Report magazine’s “America’s Top Brokerages” report. “The fact that our three companies are now united is a very powerful merger. Each company is able to bring together our individual strengths to collectively build an even stronger service offering for land buyers and sellers. We are thrilled to join forces with United Country and to welcome Michael Landreth to our team of brokers,” said Bart Miller, managing broker of Mason & Morse Ranch Company.

Ned Massie, ALC


Ray Brownfield, ALC

BROWNfIELD ADDREssEs fARM AGRIBANk OffICERs On September 7, Ray Brownfield, ALC, of john greene Land Company, Oswego, Ill., addressed 50 credit officers with AgriBank, which is the central bank for the Farm Credit System Associations. Brownfield’s speech explored the topic of “The MidStates Agricultural Real Estate Picture: Risks and Opportunities.”

G. Edmond “Ned” Massie, ALC, of Grant Massie Land Company, Richmond, Va., was a featured contributor in the latest issue of Commercial Connections, NAR Commercial’s newsletter, which is distributed to more than 75,000 practitioners. Massie discussed the relevance of the Institute’s LandU courses and the ALC designation.

Bob Turner, ALC

TURNER hONORED As LAND sALEs BROkER Of ThE YEAR Bob Turner, ALC, Southern Properties, LLC, of Cordova, Tenn., was honored with a Pinnacle Award as Land Sales Broker of the Year by the Memphis Area Association of REALTORS® Commercial Council.

Dan Hatfield, ALC Ellen Peric, ALC

pERIC IssUEs NEWsLETTER ON CAROLINA MARkET Ellen Peric, ALC, of Carolina Farms and Homes, Pilot Mountain, N.C., invites Institute members to subscribe to her electronic newsletter. “The land and farm business is back,” she writes. “So, if you think now is not the time to buy – we beg to differ.” Go to 6


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hATfIELD TAkEs TExAs LEADERshIp pOsITION Dan Hatfield, ALC, of Hatfield Realty of Comfort, Tex., was installed as 2012 Secretary/Treasurer of the Texas Association of REALTORS® on September 11, 2011, at the TAR Convention in Austin. Hatfield served as the 2010 national president of the REALTORS® Land Institute.

Turner received his bachelor’s degree in agriculture from the University of Tennessee and opened Southern Properties in 1987, where he serves as principal broker and owner. He sits on the 2011 Board of the REALTORS® Land Institute and on the Executive Committee of the National Association of REALTORS®, where he represents RLI. Turner will also be a featured speaker at the upcoming NAR convention in Anaheim. His session, entitled “Seize the Opportunity: Add Land to Your Product Mix,” will be held at the Convention Center and is scheduled from 3:00 pm – 4:00 pm on Friday, November 11.



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Syd Machat, ALC

MAChAT ADDREssEs REAL EsTATE EDUCATORs AssOCIATION Syd Machat, ALC, of McShea & Company, Inc., Keedysville, Md., addressed the Real Estate Educators Association this summer at its national conference in Las Vegas. Joe McClary, REEEA executive director, said, “Syd is a seasoned practitioner who provided a thoughtprovoking presentation on ‘Real Estate Consulting Essentials.’”

Cheryl Fowlkes

David Faust

KellerWilliams Forms New Farm and Ranch Group Rick Doak is pleased to announce that the national real estate company Keller Williams based in Austin, Tex., has formed a new Farm and Ranch Group. Heading up the new group are Doak, David Faust, and Cheryl Fowlkes. In September, Dan Hatfield, ALC, 2010 national president of the Institute, facilitated a presentation on achieving the ALC designation to Keller Williams agents. For more information, go to

Lee Vermeer, ALC

TOp AUCTION hOUsEs LED BY INsTITUTE MEMBERs Kristine Fladeboe-Duininck

MINNEApOLIs AUCTIONEER EARNs INTERNATIONAL TITLE Kristine Fladeboe-Duininck, of One Stop Realty in Spicer, Minn., claimed the title of International Auctioneer Champion in 2010. “I found my professional passion when I became an auctioneer,” said Kristine, who is currently wrapping up her year serving as an ambassador for the auction industry. A three-time finalist, Kristine was crowned champion before a crowd of hundreds of auctioneers in Greensboro, N.C. Over 75 auctioneers from around the world were judged on their presentation, chant, voice timbre, body language, interview answers, and other performance elements in effective auctioneering. A second generation auctioneer, Fladeboe-Duininck now owns an auction business with her father Dale and siblings Kimberly and Glen. The firm specializes in agricultural real estate auctions and benefit auctions. Annually, Fladeboe Auctions raises money for more than 125 Minnesota organizations across the state. In 2009, the family business raised over $4.8 million for non-profit groups. Search Kristine’s name on YouTube to find videos of her auction technique in action.

Rick Doak

Lee Vermeer, ALC, of Farmers National Company in Omaha, Neb., announced that his firm was named the Top Real Estate Auction Company in the U.S. by The Land Report: The Magazine of the American Landowner ( The award is based on a yearly survey. Farmers National completed nearly 200 successful auctions of more than 41,000 acres in 2010. “The reach of Farmers National Company and our successful sales numbers highlight our strength in the market,” said Vermeer. Congratulations go out to the Institute member firms honored on the list: #2 – Schrader Auctions Rex Shrader, ALC #3 – Halderman Real Estate Services Richard Halderman, ALC & Patrick Karst, ALC #6 – Woltz & Associates Jim Woltz #7 – Murray Wise Associates Murray Wise, ALC #9 – Martin Jurisch & Assoc. Martin Jurisch #11 – Williams & Williams Worldwide Real Estate Auction Eric Johnson #13 – United Country Lippard Auctioneers Angie & Troy Lippard #14 – J.P. King Auction Company J. King; Joel King, ALC; Chuck Crump, ALC #15 – Dakota Properties Real Estate Jeff Garrett, Richard Harr & Mike Konstant

#17 – Wingert Realty & Land Services Charles Wingert, ALC; Rick Hauge, ALC; Darrell Hylen, ALC; and Terri Jensen, ALC #18 – Reck Agri Realty & Auction Marc Reck #23 – United Country Theurer Auction/Realty Larry Theurer #24 – United Country Alliance Auction & Realty Brent Graves #25 – United Country Hendren & Associates, Inc. LeRoy Hendren #27 – Sheridan Realty & Auction William Sheridan #30 – Alliance Land Auction George Clift, ALC; Bryan Clift; Zurick Labrier; Sheldon Snyder; Benny Splawn; Dean Whitaker

Gary Ralston

R. Todd Dantzler

Dean Saunders

sAUNDERs ANNOUNCEs NEW fIRM Dean Saunders, ALC, has announced the formation of real estate firm, Coldwell Banker Commercial Saunders Ralston Dantzler, LLC, uniting three of Central Florida’s power brokers. Saunders is a former Florida legislator and land and conservation easement authority. Other partners are Gary Ralston, SIOR, CPM, CRE, SCLS, a retail and commercial real estate authority, and R. Todd Dantzler, CCIM, County Commissioner. The team represents more than 70 years of collective expertise in commercial and land real estate. For more information, go to page 8

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Member News The Institute’s Newest Leader:

An Interview with George Clift, ALC (continued from page 1)

Gordon ‘Mac’ Martin, ALC

MARTIN ANNOUNCES AFFILIATION WITH CABELA’STROPHY PROPERTIES Gordon ‘Mac’ Martin, ALC, has announced that his firm’s corporate name has changed to Florida Outdoor Properties, Inc., and will be the exclusive participant with Cabela’s Trophy Properties in Southwest Florida through the Keys, including the Miami area. Along with the new name comes a new logo featuring the Florida Panther, the official State Animal of Florida. Originally founded in 1989, Martin acquired the company in 2000 and has grown the brokerage into one of the largest and most respected firms in the area. The company represents $90 million in property listings and specializes in large acreage agricultural, commercial, industrial, and residential development properties. Find out more: or


George Clift, ALC, of Clift Land Brokers of Amarillo, Tex., will ascend to the national presidency of the Institute in 2014. His firm is the largest land broker in the Texas Panhandle and employs 17 real estate brokers and sales associates, who handle conventional sales, buyer representation, sealed bid sales, and auctions. Clift was the sole declared vice presidential candidate this summer and met all requirements for the position. Per the RLI Bylaws (Article XII, Section 3), uncontested candidates who meet the requirements may be declared duly and officially elected by the President. Such a declaration was made by President Lane. Upon the announcement, Clift said, "It will be an honor to be a part of the team to direct our organization in the future. The REALTORS® Land Institute and its membership have been instrumental to my firm's business in the past and in setting the stones for the future. I look forward in helping to grow the business of the professional land brokers across America." Clift started his career in real estate in 1997 after 18 years with Purina Mills, Inc. At Purina, he had a stellar track record as a district manager/cattle specialist, where he was awarded sales achievement honors 8 out of 13 years. One of the Top 10 graduates in agriculture from Oklahoma State University, Clift is a firm believer in professional development and has attended numerous continuing education programs on business and livestock topics. He is also committed to “being involved” and demonstrates that commitment by active participation in several real estate organizations, as well as business organizations such as the Amarillo Chamber of Commerce and the Texas Cattle Feeders Association. We talked with George about his taking on the new leadership role at the REALTORS® Land Institute.

How did your career path lead you to being involved in the land business? Land investment is a key component of any agriculture enterprise. With my agriculture background, my experience with farmers and ranchers allowed me to understand the opportunities in the land brokerage business. And because of the diversity of land owners’ interests in production agriculture, the brokerage business has been both very challenging and rewarding.

Why did you become involved with the Institute, and what drove you to achieve your ALC designation? There were two primary reasons I sought out the Institute as a professional organization. One, I knew that developing personal relationships with my broker peers would be critical to enhancing my brokerage business. The wealth of knowledge of Institute members was recognizable when I began attending RLI functions at my state chapter and national meetings. Secondly, I wanted to work with other brokers across America who know how to get deals done. By attending the six courses I needed to earn the ALC accreditation, I was able to connect with other practitioners who would be able to assist my firm in working with issues concerning land transactions.

How have you benefited from your membership in the organization? The biggest benefit of being a member of this organization has been the network of professional land brokers and the knowledge that these land brokers have been willing to share with me.


As vice president, what do you want to achieve for the organization and its members?

Congratulations to Steve and Andrea Anderson, ALCs of Anderson Realty in Lipan, Tex., who have done it all together for the past 50 years: marriage, family, business, and hobbies, including being avid horse people. The Andersons are grateful to be a part of the REALTORS® Land Institute and have benefited from the education opportunities and the many friendships developed as a result of their participation. “We are looking forward to 50 more years together,” said the Andersons.

This organization is only as good as one wishes to make it. We have many challenges today in our businesses, such as changing seller/buyer needs and growing a successful brokerage business in this economic climate. I hope to provide RLI members a forum for building relationships with other successful land brokers across America who see these changes and are able to take advantage of opportunities.



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In any business, there are always negatives to deal with, but there will always be opportunities as well. I believe the future of the land business is positive, and buyers and sellers will require us to be more and more knowledgeable to earn a seat at their tables. Many of my RLI associates have been valuable to me by focusing on “what’s next.” We have to be flexible and open to change. Meeting the demands of our businesses and the Institute as well will require new ideas and input from my fellow RLI members.  Clift may be reached at 806.355.9856 or



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Welcome New Candidate Members

On the Path to the ALC Designation ®

Please welcome the newest members of the REALTORS Land Institute. They’re more than real estate people… they’re land people! (effective 8/31/11) Jesse Armistead Murray Company Realtors Griffin, Georgia Sharon Baisley United Country - HBE Group, Inc.Dolgeville, New York Travis Birdsong United Country - Birdsong Auction and Real Estate Group LLC Popular Bluff, Missouri Felicia Brown MidWest Land Company, LLC McDonough, Georgia C. Wayne Caples Re/Max Advantage Realty Fulton, Maryland William Bob Christensen Re/Max Advantage Brenham, Texas Wayne Cooper Cabela's - Ohio Outdoor Properties Marysville, Ohio Bobby Day Day & Co. Lubbock, Texas Rick Douglas United Country – Clifton, TX Clifton, Texas Jason Cole Fields Broker South Realty Monroe, Louisiana Michael Forehand Southern Realty Company Cordele, Georgia David Formanek Interstate Marketing Group, Inc. Bloomington, Minnesota Kimberly George Rocking X Land Co., Ltd. Burlington, Colorado Bill Gottfried Gottfried International Estates Houston, Texas Aaron Graham Premier Outdoor Properties Gretna, Nebraska

Jim Graves United Country Middle Tennessee Realty and Auction LLC Hohenwald, Tennessee Cody Harris United Country Southland Realty Palestine, Texas Dax Hayden Hayden Outdoors Windsor, Colorado Jonathan Heard Infill Nashville Nashville, Tennessee Jackson Hegerfeld United Country - Advantage Land Co. Brookings, South Dakota Megan Hegerfeld United Country - Advantage Land Co. Brookings, South Dakota Morgan Holgate United Country Finger Lakes Real Estate Ithaca, New York Bruce Huber Schroeder Huber, LLC Decatur, Illinois Vince Johnson Peoples Company Indianola, Iowa Russell Johnson CB Richard Ellis Hayden, Idaho Mike Jones United Country Auction Services Dallas, Texas Gary Kauffman Rocky Mountain Habitats, LLC West Glacier, Montana Michael Lauher Farmland Management Services Savoy, Illinois Richard Lewis Sotheby's International Realty Jackson Hole Jackson Hole, Wyoming Jim Lorenz Sapphire, North Carolina

Steve McClelland Westslope Properties La Grande, Oregon Emily Mehl United Country - Stockton Lake Properties LLC Stockton, Missouri Chad Michel Illinois Land Sales Edinburgh, Illinois J. Cameron Mitchell Prudential - The McMillian Real Estate Group Goldsboro, North Carolina Mehdi Mostaedi Carlton West Properties Malibu, California Matt Mullen United Country Finger Lakes Real Estate Ithaca, New York Thomas Mullen United Country Finger Lakes Real Estate Ithaca, New York Shawn Nigg Madison County Realty Winterset, Iowa Alan Noy Wingert Realty Vernon Center, Minnesota Laura Owens Saddle Up Realty, LLC Guffey, Colorado Jennifer Persoon United Country Finger Lakes Real Estate Ithaca, New York Harrell Post United Country - Post Real Estate & Auction Miami, Oklahoma Joseph Presley Tom Smith Land & Homes Canton, Mississippi Russ Russell Russ Russell Commercial Real Estate Huntsville, Alabama

Dennis Saffell Coldwell Banker Mountain Properties Winter Park, Colorado J. Waller Sasscer Sasscer Properties Inc. Crofton, Maryland Jeanine Shelton-Higgins United Country Middle Tennessee Realty and Auction LLC Hohenwald, Tennessee Linda Smith United Country Linda Smith Real Estate Muskogee, Oklahoma Shawn M. Smith Earth Asset Partnership, LP Woodstock, Vermont Larry Stewart Mossy Oak Properties Forest Investment Inc. McComb, Mississippi

Bonnie Lynn Verbarg United Country Starved Rock Realty Utica, Illinois Dianne Vernon Vernon & Co, LLC Los Altos Hills, California Dan Warner Brown Realty Company Rayville, Louisiana Gary Willis United Country - Willis Realty Pryor, Oklahoma Donna Wolff RE/MAX Professional LLC Baton Rouge, Louisiana Susan Yoder-Willis United Country - Willis Realty Pryor, Oklahoma Olen Zirkle Tri Outdoor Properties Rocklin, California

A special thanks goes out to the following members who individually participated in new candidate recruiting efforts. Patrick Corkrean Jesse Lane, ALC Nancy Lane Commercial Realty, Inc. Madison County Realty Jackson, Mississippi Winterset, Iowa Norma Nisbet, ALC Carroll Fields Vista Properties & Investment Broker South Realty St. Louis, Missouri Monroe, Louisiana Deitra Robertson, ALC Suzanne Fields, ALC Deitra Robertson Real Estate, Inc. Jobin Realty Great Falls & Beyond Hempstead, Texas Great Falls, Virginia Mark Skillman Virgil George Westslope Properties Rocking X Land Company, Ltd. Medford, Oregon Burlington, Colorado Winnie Stortzum, ALC Art Girten Farmers National Company Girten Land Company Arcola, Illinois Fairplay, Colorado Minor Taylor, ALC Paul Gonwa United Country-Property Connections Tom Smith Land and Homes Houston, Texas Jackson, Mississippi Rick Taylor, ALC Lou Jewell, ALC Mossy Oak Properties Forest InvestDan River Real Estate, Inc. ments, Inc. Pilot Mountain, North Carolina McComb, Mississippi David Klein, ALC Richard Thompson Soy Capital Bank & Trust Company United Country Bloomington, Illinois McKinney, Texas Mike Kuppenbender, ALC Derrick Volchoff TRI Outdoor Properties, Inc. Cabela’s Trophy Properties, LLC Rocklin, California Sidney, Nebraska If you would like to recommend a candidate, please contact Lindsey Urban at FA L L 2 0 1 1





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Mountain Property Brokerage, Inc. Ferguson, North Carolina 336-973-5263 David A. Bridgers, ALC, has been active in real estate in the foothills of the Blue Ridge Mountains of Western North Carolina since 1999. From the very beginning of his career, he has had a special interest in land transactions and enjoys being out-of-doors and “touching the land.” Being licensed in both North Carolina and Virginia provides an opportunity to explore a variety of different terrain and landscapes. Large tracts are his specialty and the REALTORS® Land Institute has provided, through various courses, valuable information which has been very beneficial. “As an ALC, I’m proud to be associated with such an elite group of professionals.”

Hertz Real Estate Services Nevada, Iowa 515-382-1500 Kyle Hansen, ALC, is a licensed real estate agent in Iowa, specializing in agricultural real estate sales and farm brokerage for Hertz Real Estate Services. Kyle states, “The RLI education programs have given me valuable land brokerage knowledge, and I am very honored to receive the ALC designation. I particularly appreciate the opportunity to meet land professionals within the RLI family who are willing to help and work with me.” The combination of his ALC designation, RLI education, and his background in agricultural production and financing equips Kyle to work as a trusted advisor for his Hertz clients and with RLI members.

Coldwell Banker Commercial Saunders Real Estate Lakeland, Florida 863-648-1528 David Hitchcock, ALC, is a thirty-year veteran of the Florida agribusiness industry with a strong background in citrus, industrial, and agricultural businesses. David's real estate specialties include Central and South Florida agricultural properties, agriculture transitional properties (transition-to-next-use), and land use issues. Hitchcock has proven to be a knowledgeable expert, who creates value for his clients and offers consultation, crop input products, and land-sale services. His diverse background gives him an extensive knowledge of properties throughout the entire State of Florida.

The Land Corporation of Florida Vero Beach, Florida 772-559-4094 Cami Kanner, ALC, is the broker and owner of The Land Corporation of Florida. She has extensive knowledge of not only Indian River County, but also St. Lucie County, Brevard County, and surrounding areas to provide outstanding service and expertise to buyers and sellers. Cami has also earned the CIPS and CRB designation.



Delaney Development Mobile, Alabama 251-460-0910 Michael Delaney, ALC, is currently the qualifying broker for Delaney Land and Realty, LLC, and vice president of Delaney Development, Inc., in Mobile, Ala. His areas of expertise include timber management; land acquisition and development; and commercial, industrial, and residential land sales. He is currently a Registered Forester in Alabama and Mississippi and a Certified Commercial Investment Member (CCIM). With a focus on land assets, the next logical step for Michael was becoming an ALC. “I am truly proud to be a part of such a distinguished group. The ALC designation is something I have always aspired to achieve since I started in the real estate business.”



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Colliers International Lawrence, Kansas 785-865-5100 Kelvin Heck, ALC, is one of the few brokers in America with a background in production agriculture. Kelvin expanded his love of the land to real estate when he became licensed in 1986, and today he specializes in farm, investment, and development land sales. In addition to his ALC designation, he has also earned designations as both a CCIM and an SIOR. He is recognized throughout the region as the “go to” broker for his unparalleled knowledge of land issues, including water rights and commodity pricing. Kelvin has played a critical role in facilitating a number of land development projects, as well as representing owners and buyers of farm and ranch land, and investment properties.


Results Realty, LLC Haven, Kansas 620-465-3499 Alan Howard, ALC, received his real estate license in 2002, and soon realized that his previous agricultural career was going to play a big part in his real estate career. Says Alan,“I naturally gravitated to the land market and became involved with the Institute in 2007 by taking two courses. In 2008, we decided to open our own company, Results Realty, LLC, and at the same time, I made a commitment to become an ALC. The land business has been very good to us, and we are very fortunate to have great clients and an excellent support staff that keep us moving forward.”

Jones Lang LaSalle Americas, Inc. Atlanta, Georgia 404-995-6484 Harry Mehre, ALC, became a broker in 1991. He has been active in the commercial real estate industry since the late ‘80s and has gained experience across a number of disciplines, including mortgage finance, property management and leasing, and strategic consulting. Since 2004 he has been in the land business as a broker, specializing in timberland and recreational land sales management. As a senior vice president for Jones Lang LaSalle in Atlanta, Ga., Harry oversees the firm's rural and recreational land disposition program. This effort includes managing a team of JLL real estate professionals who, in turn, manage more than 700 active listings and 50 local brokerage partners across a 15-state geography. Since 2004, this team has successfully managed the disposition of more than $500 million of rural/recreational land on behalf of several key clients. “Land is a fascinating and complex asset class, and my experience working in this field has been the most satisfying of my career.”



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Renz & Renz Real Estate Brokerage Gilroy, California 408-846-1031 George Renz, ALC, is the owner and broker of Renz & Renz Real Estate Brokerage in Gilroy, California, where his family has had roots since 1873. George has been brokering land and investment properties since 1983. He has brokered many different types of land transactions, including ranches, subdivisions, and commercial and industrial properties. George has wanted to obtain the ALC designation for many years and finally put in the time to make it happen. Congratulations!

Ruhl & Ruhl REALTORS, Inc. Muscatine, Iowa 563-299-4407 After graduating from Oklahoma State University, Eric Schlutz, ALC, returned to the family farm and registered Angus cattle operation until entering the real estate industry in 2003. As a licensed broker in both Iowa and Illinois, Eric takes great pride in helping to inform all levels of buyers and sellers about the value of land ownership. He specializes in acreages, recreation land, crop farms, and rural subdivisions. Realizing that education is a daily process he is thankful for the education provided through the Institute.

Hayden Outdoors Windsor, Colorado 720-260-6663 Eric West, ALC, is both a partner and a broker with Hayden Outdoors. He is licensed to represent buyers and sellers in Colorado, Wyoming, and Kansas. His love of the outdoors is not only a passion but also way of life. In 2009, Eric was singled out of more than 500 agents to receive the highly coveted 'Customer Service Excellence Award' by Cabela's Trophy Properties. Born in Texas, raised in Colorado, educated in finance with a degree from the University of Colorado, Eric loves everything to do with ranches, trophy homes, hunting/fishing land, and horse property from the Eastern Plains to the Western slope.

Gallery Commercial Properties, Inc. Wrightsville Beach, North Carolina 910-612-0376 Oscar Williamson, ALC, spent more than 37 years in the communications and technology industries prior to starting his real estate career in 2005. Oscar specializes in large parcels for investment, development, and site selection. He also has experience in commercial, land, and residential brokerage. Oscar is licensed in North and South Carolina and is the Broker-in-Charge for his own company, Gallery Commercial Properties, Inc. He is a member of the REALTORS速 Land Institute, Wilmington Regional Association of REALTORS速, North Carolina Association of REALTORS速, National Association of REALTORS速, and International Council of Shopping Centers. Oscar was named Coldwell Banker Commercial-Sun Coast Partners, LLC Commercial Broker of the year in 2006.

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Creative Exchange Property by sCOTT R. sAUNDERs Asset Preservation Incorporated

Sometimes land owners and agricultural real estate professionals miss opportunities because they see what they expect to see. An owner of a farm or ranch is likely to consider selling in a 1031 exchange generally if there is another farm or ranch they want to acquire. A little imagination, however, can open up a whole new world of creative opportunities. As Willy Wonka noted in Charlie and the Chocolate Factory, “Invention, my dear friends, is 93% perspiration, 6% electricity, 4% evaporation, and 2% butterscotch ripple.” Is there room for such creativity in the world of agricultural and land transactions? Section 1031 of the Internal Revenue Code permits real property that is “held for productive use in a trade or business” or “held for investment” to be exchanged for other “like-kind” property while deferring capital gain and recapture taxes that would otherwise result from the sale of a property. In the context of real property, the definition of “like-kind” is so broad that almost any perpetual interest in real property of any type will be treated as like-kind to any other perpetual real property interest. Consequently, one is not limited to an exchange of a ranch for another ranch or a farm for another farm. In many instances, the sale of a farm or ranch often consists of selling real and personal property. As discussed below, both may qualify for deferral in a 1031 exchange.

REAL pROpERTY Real property held for productive use in a trade or business or for investment can be exchanged for any like-kind real property to be held for investment used in a trade or business. When dealing with the sale of a farm or ranch, the most obvious form of qualifying real property is the actual acreage. However, other aspects of the property as a farm or ranch can present additional 1031 exchange opportunities. In many instances, an interest in real property can be exchanged for a fee simple interest in other improved or unimproved real estate to be held for investment or used in a trade or business. The IRS has held that many separate interests that are included in the bundle of rights that constitute “real property” under state law, are like-kind to a fee interest in improved or unimproved real property, including the examples below.

1. In states where water rights are considered to be real property, many farmers and ranchers are exchanging their rural water rights to acquire income producing real estate, thereby increasing cash flow and reaping tax benefits from depreciation deductions. 2. A perpetual easement can be exchanged for a fee simple interest in improved or unimproved real property. 3. Mineral rights may provide another 1031 exchange planning opportunity. 4. Some rural property owners are conveying conservation easements on their land to acquire more productive property through an exchange. 5. A 1031 exchange has been extremely useful in the granting of an agricultural easement in exchange for fee simple title in different property. 6. Mitigation credits for restoring wetland property may be exchanged for other mitigation credits. 7. Timber rights can be exchanged for a fee simple interest in other real property. 8. Transferable development rights (rights used to construct improvement on a property) can also be exchanged for other real property interests. Thus, the foregoing interests in real property in many cases can be exchanged under Section 1031 for all of the rights constituting a fee interest in real property, or acquired as replacement property following the sale of a fee simple interest. If you 12


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Scott R. Saunders is a senior vice president at Asset Preservation, a leading national qualified intermediary. For more information about 1031 exchanges, contact Saunders at 888.531.1031 or look, you will be surprised at the wide range of real property interests that qualify for tax deferral under Section 1031. In addition, a farm or ranch property owner may be able to take advantage of two different tax code sections to minimize capital gain tax liabilities on the sale of real property. Under IRC Section 121, farm and ranch sellers can often qualify for a tax exclusion on the primary residence portion of their property, while most or all of the remainder of the property can qualify for tax deferral under IRC Section 1031. IRC Section 121 allows a property owner to exclude capital gain taxes if the home was their primary residence for two (2) of the last five (5) years. Couples filing a joint tax return can exclude up to $500,000 of the capital gain on the sale of their principal residence while single filers can exclude up to $250,000.

pERsONAL pROpERTY AND LIvEsTOCk Section 1031 permits personal property held for investment or used in a business to be exchanged for other similar personal property that is in either the same General Asset Class or the same Product Class. Many farm and ranch sales include significant irrigation equipment, farm machinery and tractors. The IRS has established 13 General Asset Classes, along with a more detailed description of Product Classes, specified in the North American Industry Classification System (NAICS). Livestock held for investment may also be exchanged, although livestock held primarily for sale will not qualify. Furthermore, IRC 1031 states that livestock of different sexes are not like-kind property. Many tax advisors believe breeding livestock that are not held primarily for sale can be exchanged. As always, review all aspects of any proposed farm or ranch exchange with a competent tax and/or legal advisors. According to scientists at the Institute of Food Research, researchers may have developed a way to realize Wonka’s plan to combine three meals in a single stick of chewing gum. Apparently, advances in nano-technology now permit several distinct flavors to be packed into food structures (called colloidosomes) that break down over time with chewing. As Wonka surmised, one stick of gum may be able to deliver “tomato soup, roast beef, baked potato and blueberry pie.” A 1031 exchange of a property held for investment can produce a green energy property, a perpetual easement, water rights and mineral rights. Now, chew on that.




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Making Money Online Auctions

by MIkE jONEs, CAI, GppA, BAs President, United Country Auction Services

I am asked nearly every day of my professional life: “What can I do to stimulate my business today and close more sales?” The frequency with which I hear this question is due in no small part to the current economic conditions affecting the U.S. Of course, there are still some areas of the country that are doing well, but in most locations, such prosperity is the exception and not the rule. With that in mind, the online auction method is one solution that can quickly put money in your pocket.

sTAY COMpETITIvE In the ever-changing world of sales and marketing, real estate professionals must be willing to think differently about how real estate can be offered and sold. Believe me, your competitors will be attempting anything and everything to stay relevant in the years to come. You need to be willing to do the same. Online bidding platforms are not new, but until recently, the vast majority of them have concentrated on personal property and not real estate. That has now changed. Out of necessity, online real-estate platforms are making strong inroads into our industry. Please remember that these platforms are sales and marketing tools that are readily available to all brokers and agents today. Depending on how long you have worked in this industry, the word “auction” may bring a wide variety of preconceived notions to mind but don’t let the word alarm you. Simply open your mind to seeing and doing things differently. It will benefit your sellers and, ultimately, yourself.

TOp REAsONs fOR ONLINE AUCTIONs Why should you start using online auctions? Here are a few reasons that should peak your interest: I Online auctions place a “spotlight” on the seller’s property. I They draw the attention of auction-minded buyers. I Auctions have become increasingly more accepted by the general public. I Most auction buyers are prepared to buy immediately. I An auction sale price is not limited by a“set price,”but rather is established by placing the property into a competitive environment that can often allow the final sale price to exceed expectations. I Major real estate firms, banks, and governmental agencies are using online auctions today because they know that they work. I The auction method is extremely affordable and relatively easy to implement. I It demonstrates to the seller that you are being proactive in using innovative ways to find them a buyer. I An auction lets you expose the property to a worldwide pool of buyers that can participate in the buying process remotely, without having to be anywhere near the property. I As buyers become fewer in number and more discerning with their purchases, the importance of real estate auctions will continue to grow relative to brokered sales. Plus, as the number of online auctions grows, we’ll see increasingly more overseas buyers due to the current weakness of the dollar. I Online auctions are a great way to attract future customers by differentiating your service offering from your competitors. After all, auctions appeal to potential sellers, bankers, attorneys, trust officers, and accountants. Some auctioneers prefer to offer a blended sale method by initially collecting bids on a property online, then converting it into a public outcry auction. In some cases, the auction terms and conditions disclose that all properties are subject to prior sale, and as such, the seller will be presented with any and all viable offers. There have been cases in which the sellers have accepted online bids or offer, and the auctions were called off. In regard to property inspections, the due-diligence process between the online

auction and a conventional real-estate offering is largely the same. In most cases, buyers and sellers will be able to download a complete due-diligence package from the auctioneer’s website. As an auction veteran of over 30 years, I have seen software vendors come and go, but the cream always rises to the top. Today we have many reputable vendors that offer secure, private, and customizable online auction software. Live and online bids usually flow seamlessly, and legal issues remain the same for both online and live bidders.

COsTs & pROCEss You’re probably wondering, “What will this cost me?” That will be determined by your choice of online auction provider and your marketing plan. It is not realistic to believe that you can just load a property onto any online auction web site and expect positive results. You’ll need to create a marketing campaign to work in coordination with the auction process. In regard to online provider cost, you can expect to prices range from as low as $200 to as high as $1500 to post a single property. Factors that you should consider before engaging with an online auction provider include the company’s history of success, the number of prospective bidders or buyers in their system, types of properties they specialize in, and what kind of advertising and marketing packages they offer. Some properties can be sold “absolute” to the highest bidder, regardless of the final price, while some sellers will opt to offer their property “with reserve,” i.e. “subject to a minimum bid.” Remember that if the seller has a significant debt on the property and is not in the financial position to make up the difference on the remaining balance, the seller cannot offer the property “absolute” without fear of litigation. Much like a traditional listing, there will be property inspection opportunities during the online auction process that will be facilitated by an agent or broker. Having a welltrained professional on-site is reassuring to prospective bidders and serves as an important part of the sales process. For the buyers or bidders, the process is relatively simple. First they’ll register online by providing a credit card to verify their identity. Then, depending on the terms and conditions of the auction, a deposit amount will be presented to the bidders. Once the auctioneer has received the deposit (either by overnight funds or wire transfer), a given bidder is qualified to bid. Once each bidder has been given a bidder identifier or bid number, they may observe the auction action or participate from any remote location where the Internet is available. Much like a sporting event, the auction has a beginning and ending time. The bidding action typically heats up as the clock winds down. The allotted bidding time is often extended as long as competitive bids are coming in. Virtual tours of the properties are always available online. In some cases, someone may even make a pre-emptive offer without ever visiting the property in person. A huge benefit to offering property in an online auction is the asset’s exposure to a large marketplace. This creates traction with prospective buyers and initiates a negotiation. Hopefully, the property will sell online. However, if the reserve price is not met, the interest generated by the online event should still allow the agent or broker to facilitate an expedited sale. Most importantly, remember: If you are going to pursue online or live auctions, engage with a professional that does it for a living. Learn how it works, and master the method. If you don’t already have a relationship with a professional auctioneer, interview three or four before creating a relationship. It won’t take long to recognize whether they know what they are talking about. Naturally, it’s always best to work with a professional who has strong online capabilities and is recognized by the National Auctioneers Association, the auction industry’s most recognized trade organization. Do your homework, learn all you can about the method, and remember: Online auctions can help “make things happen and put more money in your pocket.”

ABOUT ThE AUThOR: Mike Jones, CAI, GPPA, BAS, is president of United Country Auction Services, a division of United Country Real Estate. Jones has been a professional auctioneer since 1978 and has served in leadership roles for several auction organizations, such as the National Auctioneer Foundations Board. He has conducted more than 2,500 live, online, and webcast auctions. Contact Jones at 816.420.6236 or

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Government Affairs Briefing Russell Riggs RLI Government Affairs Liaison, National Association of REALTORS®

The case is important because current case law limits the circumstances under which a landowner or other entity can obtain judicial review of the assertion of CWA jurisdiction by the Army Corps of Engineers or the EPA. These assertions have been held to be unreviewable because the courts have concluded that they are not final agency action or that the CWA precludes review.

RLI sUBMITs COMMENTs ON pROpOsED WATERs jURIsDICTION GUIDANCE On July 31, 2011, the REALTORS® Land Institute submitted comments on the EPA's and the Army Corps of Engineers’ draft guidance to clarify Clean Water Act responsibilities and jurisdiction. RLI’s comments, as approved by the Institute’s Government Affairs Committee and the Board of Directors, requested the withdrawal of this proposed guidance, for the following reasons:

sUpREME COURT TO hEAR pROpERTY RIGhTs CAsE; NAR WILL sUBMIT AMICUs BRIEf The U.S. Supreme Court has agreed to review the decision of the Ninth Circuit Court of Appeals in Sackett v. U.S. EPA. The Sacketts own a lot in Priest Lake, Idaho, where they started to build a home. The EPA determined that the site contained jurisdictional wetlands under the Clean Water Act (CWA), and that the Sacketts had failed to obtain a permit and were in violation of the law. EPA issued an Administrative Compliance Order (ACO) preventing further construction on the site, requiring the Sacketts to restore the wetlands and threatening the Sacketts with fines. The Sacketts did not believe that the wetlands on their site were under the jurisdiction of the CWA. The Sacketts sued the EPA, but were dismissed in District Court, and also dismissed in the Ninth Circuit Court. The Ninth Circuit accepted the government’s argument that the Sacketts could have applied for a permit, and if denied, could have challenged EPA’s jurisdiction under the CWA and permit denial. The Court will address two questions: (1) whether the Sacketts may seek pre-enforcement judicial review of the EPA order under the Administrative Procedures Act (APA); and (2) if not, whether the inability to obtain preenforcement judicial review of the ACO violates their rights under the Due Process Clause. NAR, in coalition with several other regulated associations, is developing an Amicus Brief for this case in support of the Sacketts. The brief is due on October 3, 2011. The brief will focus on three basic points. First, jurisdiction under the CWA is a fundamental and controversial concept to the law, and that the agencies have used their administrative powers to adopt broader and broader definitions of “waters of the U.S.” even though the statute has remained unchanged. Second, the brief will contend that assertion of jurisdiction under the CWA is final agency action under the APA and case law, because the decision marks the consummation of the agencies’ decision-making, and the decision has legal and practical consequences. Third, the brief would develop practical examples of the problems that arise in prohibiting judicial review of agencies asserting jurisdiction. The brief would show that the only way for a landowner to challenge the agencies’ overbroad assertions of jurisdiction is by running the gauntlet of the costly and time-consuming permitting process he believes does not apply to his property.



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1. The draft guidance document broadens the traditional definition of “waters of the U.S.,”as defined in the Clean Water Act, without Congressional authority. 2. A broader definition of “waters of the U.S.” will subject additional water bodies to time-consuming permits and costly regulation. 3. A broader definition of water infringes on property rights by decreasing the amount of property an owner can use without just compensation. RLI believes that EPA and the Army Corps of Engineers should not move forward with the guidance or any subsequent rulemaking to attempt to define “waters of the U.S.” Only Congress can fundamentally change the definition of the kinds of waters covered under the Clean Water Act.

RLI sUppORTs ENhANCED CREDIT UNION LENDING, INCREAsED COMMERCIAL MORTGAGE LIqUIDITY On Thursday, June 16, the U.S. Senate Banking, Housing, and Urban Affairs Committee held a hearing on credit union member business lending. RLI signed onto a letter in support of S. 509, the Small Business Lending Enhancement Act of 2011 (Udall, D-CO), which would raise the cap on credit union member business lending. The letter focused on the beneficial effect this source of financing would have on commercial real estate and small businesses. The current cap on credit union member business lending is 12.5 percent of a credit union's assets, but RLI seeks to raise that limit for well-capitalized credit unions. This would allow credit unions to fill in the commercial real estate financing gap and help get capital to the struggling small businesses who occupy commercial buildings. In a letter to members of the U.S. House Financial Services Committee, RLI reaffirmed its support of H.R. 940, the United States Covered Bond Act of 2011, introduced by Reps. Garrett (R-NJ) and Maloney (D-NY). This bill would provide for the development of a covered bond market in the United States. Similar to mortgage-based securities (MBS), covered bonds are securities backed by loans. In the case of covered bonds, however, lenders must hold the loans on their balance sheets and, therefore, have an incentive to make sure they are well underwritten. Covered bonds have long been used in other countries to increase liquidity and strengthen financial markets. While covered bonds will not replace commercial MBS as the primary generator of liquidity for the U.S. real estate market, RLI supports this legislation as a means to provide an additional tool to increase mortgage liquidity. RLI believes that this tool can offer increased liquidity and safety in commercial and multifamily real estate lending.



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News and Notes from Inside the Beltway

RLI sUppORTs LOAN MODIfICATION LEGIsLATION On July 7, 2011, RLI sent a letter to the House Financial Services Subcommittee on Financial Institutions and Consumer Credit urging them to approve H.R. 1723, the“Common Sense Economic Recovery Act of 2011,” introduced by Representative Posey (R-FL). The bill would allow for regulatory flexibility that would create more options for handling maturing commercial real estate loans, such as term extensions, modifications, and workouts. Currently, bank regulators continue to place pressure on lenders to write down the value of performing loans and, in some instance, even call the loan if the current value of the property or land is less than the loan balance. This has exacerbated the economic downturn by creating unnecessary defaults. The Institute supports allowing commercial lenders flexibility to take steps that prevent defaults, and will continue to work with Congress to promote H.R. 1723 and other steps that might help ensure the commercial real estate market does not hamper the already weak economy.

fIsh AND WILDLIfE sERvICE REAChEs DEAL ON ENDANGERED spECIEs Pushed by an earlier court order, the Fish and Wildlife Service (FWS) announced that it has agreed to a proposed legal settlement with the Center for Biological Diversity (CBD) that would require FWS to make, by 2018, initial or final decisions as to endangered species status on hundreds of plants and animals. The multi-year listing work plan was first developed through an agreement with WildEarth Guardians and filed in the U.S. District Court for the District of Columbia on May 10, 2011. This most recent announcement acknowledges that FWS has reached a complementary agreement with CBD that reinforces the multi-year work plan. According to FWS, this new plan includes additional scheduling commitments for a small subset of the actions in the work plan "that is consistent with the Service's objectives and biological priorities."

ABOUT ThE AUThOR: hOUsE, sENATE MOvE fORWARD ON pAssAGE Of fLOOD INsURANCE REfORM BILL Both houses of Congress are showing signs that reauthorizing and reforming the National Flood Insurance Program is high on their agenda. On July 12, 2011, by a vote of 406-22, the House passed H.R. 1309: Flood Insurance Reform Act, a bill to reauthorize the National Flood Insurance Program (NFIP) for 5 years and strengthen the program by instituting coverage, premium rate, and flood-mapping reforms that would increase its net income by $4 billion over 10 years. Prior to passage of H.R. 1309, the House defeated, 38-384, a NAR-opposed amendment by Rep. Candice Miller that would have terminated the NFIP in six months.

On the Senate side, the Senate Banking Committee passed a similar reform bill on Sept. 8. Sponsors are hopeful to move the bill to the floor of the Senate in the next few weeks. These victories are a direct result of REALTOR® testimony, calls for action, and fly-ins to educate members of Congress on the NFIP's importance for property owners in their communities. In both bills, NAR made improvements such as streamlining the flood map appeals process and deleting a pilot program for NFIP privatization after 5 years; in the Senate, we will continue to work on bill provisions including the rate reforms to minimize their impact on property owners. We will also continue to push for the longest extension possible before the September 30, 2011, deadline, when authority for the program to issue flood insurance is set to expire.

In his position with the National Association of REALTORS®, RUSSELL RIGGS serves as RLI's Government Affairs Liaison in Washington, D.C., conducting advocacy on a variety of federal issues related to land. Contact Riggs at 202.383.1259 or

About Your Government Affairs Committee The Government Affairs Steering Committee of the REALTORS® Land Institute oversees government affairs activities, including the development of position papers, calls to action, and related activities, as well as representing the Institute on NAR legislative-related committees. Led by the current committee chair, Benton Gibson, ALC, the group assesses government affairs issues—working closely with the Institute’s government liaison in Washington D.C.— and develops responses at appropriate times following the Government Affairs policies. Members who have questions or would like to address a government affairs issue should contact Gibson at or 601.684.7190.

GOvERNMENT AffAIRs COMMITTEE MEMBERs Chair: Benton Gibson, ALC United Country-Gibson Realty, McComb, Miss. Vice Chair: Dean Saunders, ALC Coldwell Banker Commercial Saunders Real Estate, Lakeland, Fla. Ray Brownfield, ALC Michael Durkin, ALC Coldwell Banker Residential john greene Land Company, Brokerage, Northborough, MA Oswego, Ill. Ned Massie, ALC George Clift, ALC Grant Massie Land Company, Clift Land Brokers, Amarillo, Tex. Richmond, Va. Cathy Cole, ALC Chuck Wingert, ALC Heritage Texas Country Wingert Realty & Land Properties, Brenham, Tex. Services, Inc., Mankato, Minn.

Earlier this year Terry Sullivan, Chair of NAR’s Land Use, Property Rights and Environment Committee, testified before a Congressional committee on reforming the NFIP. FA L L 2 0 1 1





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Chapter News pARTICIpATION AT ThE LOCAL LEvEL BUILDs CONNCECTIONs & OppORTUNITIEs ThE sTARs Of TExAs The Texas Chapter elected new officers and directors during its general meeting on September 9, which was held in conjunction with the Texas Association of REALTORS® Annual Convention in Austin, Tex. Steve Anderson, ALC, of Anderson Realty in Lipan, Tex., was installed as the new chapter president. At that same meeting, George Clift, ALC, of Clift Land Brokers in Amarillo, hosted a learning session on creating a successful marketing session. The Chapter will host a networking and education day in Fort Worth, Tex., January 19 - 20, 2012, with a social event at the Fort Worth Stock Show Rodeo. This will be the third year that the Texas Chapter has been represented in the Fort Worth Stock Show and Rodeo parade, which features more than 250 horse-drawn vehicles.


ILLINOIs ChApTER spONsORING sWEEpsTAkEs The Institute’s Illinois Chapter will hold its officer installation and banquet on November 17, 2012, at the Doubletree Hotel in Bloomington, Ill. The program will also include a presentation on “Required Agency and Property Disclosures.” The Illinois Farm and Land Chapter is proud to be the home chapter for Ray Brownfield, ALC, the 2012 national president of the REALTORS® Land Institute. The chapter is currently sponsoring a 50-50 fundraising sweepstakes in support of Ray Brownfield’s installation event. The installation event and drawing of the winning ticket will be held in November during RLI Day at the NAR® Annual Convention in Anaheim, Calif. The winner need not be present. For more information, contact Jill Bernahl at


Kyle Hansen, ALC

Steve Bruere

The Iowa Chapter held its annual meeting September 13 in West Des Moines. The meeting featured Sam Kain, ALC, of Farmers National, conducting an introduction to land “mini course” followed by a luncheon and press conference to release the chapter’s Land Trends and Values Report, which the chapter releases every six months. Kyle Hansen, ALC, of Nevada, Ia.-based Hertz Farm Management, chairman of the survey committee, conducted the press conference, reporting that the value of an acre of medium quality farmland reached $6,477, a record increase in farmland values of 34.7 percent for the 12 months ended September 1. Steve Bruere, president of Peoples Co., in West Des Moines, was sworn in as chapter president by Ray Brownfield, ALC, the Institute’s national president-elect. Roger Johnson of Farmers National Company in Cedar Falls received top honors as 2011 Farm and Land Broker of the Year.



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The Colorado Chapter held its fall meeting in Grand Junction, Colo., September 15 - 16. In addition to an education program, the chapter held a Cowboy Auction and a marketing session facilitated by Steve Steve Fleming, ALC Fleming, ALC, of ReMax Two Rivers Realty in Grand Junction. In June, the chapter conducted its annual ranch tour. Thirty participants explored distinct ranch properties while enjoying camaraderie and building professional relationships. A video of the tour can be viewed at the chapter’s new Web site at and clicking on the meeting tab. And speaking of the chapter’s new Web site, chapter members are now able to create and upload detailed bios to market their businesses. The chapter is also looking forward to welcoming the participants of the 2012 National Land Conference to Denver March 27 - 28. Preceding the conference program, on Monday, March 26, the chapter will hold a meeting and marketing session at the conference hotel, the Westin Downtown Denver. The chapter extends an invitation to all conference participants to attend their meeting. A separate fee will be required. More information will follow as the conference date approaches.


Danny Smith, ALC

Sage Andress, ALC

The Florida Land & Commercial Marketing Session is a high-caliber event co-produced every year by the Florida Chapters of the REALTORS® Land Institute and the CCIM Institute. Held in conjunction with the Florida Association of REALTORS® 2011 Convention and Trade Expo, the session was attended by more than 100 of the top land and commercial brokers from all areas of Florida. Danny Smith, ALC, of Smith & Smith Realty in Oxford, Fla., is one of the organizers of this stellar event. At the Florida Association convention, it was announced that Florida's month-to-previousyear comparison for sales was more than 12 percent. Sage Andress, ALC, Sunmark Realty in Tampa, pointed out that this was the second straight month of very positive sales numbers, hopefully hinting at better numbers yet to come.

COURsE sChEDULING fOR 2012 Now is the time for chapters to schedule LANDU courses for 2012. Chapters are asked to submit their intended course schedule by September 30 to Michele Cohen, Director of Education and Policy, at . Congratulations to the Mississippi Chapter for being the first chapter to schedule LANDU courses for 2012.

Chapter Presidents Advisory Council Meeting The last meeting of the 2011 Chapter Advisory will take place on RLI Day, Thursday, November 10, at the NAR Conference and Expo in Anaheim, California, from 11 a.m. – 12:00 noon, Pacific time. The 2011 and 2012 chapter leaders, education chairs, and administrative representatives of chapters are all invited to attend or to participate via a phone conference. Chuck Wingert, ALC, the Institute’s 2011 national vice president, will facilitate the event.



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e in ss will conven al e n si u b d n la e 12 Nation The best in th –28 for the 20 7 2 h rc a M n o ill rock! r Denve conference w is h T . ce n re Land Confe Be there.


S ! OC K R





MONDAY3/26 PRE-CONFERENCE COMMITTEE MEETINGS 8:00 AM – 8:45 AM Chapter Presidents Council 10:00 AM – 12:00 NOON RLI Board of Directors 1:00 PM – 2:30 PM Education Committee Membership Committee Meeting 2:30 PM – 3:30 PM Government Affairs Committee Accreditation Review Panel PRE-CONFERENCE COLORADO CHAPTER MEETING 9:00 AM – 5:00 PM RLI Colorado Chapter Program & Marketing Session (Non-Colorado attendees may elect to participate in the marketing session for an additional fee. No fee required for attending. Watch your mail and email for additional information.)

Distressed Assets Facilitator: Dr. Byron Koste, (Retired) Professor, CRE – Burns School Real Estate, University of Denver

4:30 PM – 5:15 PM (concurrent sessions) Timberland Facilitator: Mark Skillman, Principal Broker – Westslope Properties

Farmland Values Facilitators: Greyson Colvin, Managing Partner & Mark Schober, Associate – Colvin & Co. LLP

TUESDAY3/27 7:00 AM – 8:00 AM Welcome Continental Breakfast 8:15 AM – 10:15 AM THE ROCKY ROAD CONTINUES What’s the Economic Outlook?

Government Initiatives

Land Values Facilitator: Terri Jensen, ALC Facilitator: Dan Hatfield, ALC

Recreational Land and the International Market Facilitator: George Harvey

Speaker: Dr. Mark Dotzour, Chief Economist and Director of Research – Texas A & M University

Expanding and Partnering into a New Business

Where’s the Money?

Facilitator: Dean Saunders, ALC

Speaker: KC Conway, CRE,MAI, Executive Managing Director of Real Estate Analytics – Colliers International

Faciliator: Randy Hertz, ALC

Agland Leases and Management LandScan Trends Report Facilitator: Harry Mehre, ALC

Building an Effective Website Facilitator: Jeff Huff, ALC

Young Leadership Involvement Strategies

Speaker: Dr. Mark Levine, ALC & Professor/Director – Burns School Real Estate, University of Denver

Facilitator: Kyle Hansen, ALC

An Update from the Hill

Highest and Best Use

Speaker: Russell Riggs, Government Affairs Liaison – National Association of REALTORS®

Facilitator: John Winslow, CRE

Understanding the Uncertainties with Wind Rights Speaker: Kathleen D. Kapla, Attorney – Kapka Law

Navigating Water Rights Speaker: Jim Huffman, Dean Emeritus – Lewis and Clark Law School

For reservations, call 1.888.627.8435 or 1.800.937.8461 and indicate that you are with the REALTORS® Land Institute.

Facilitator: Bart Miller – Mason & Morse

Faciliator: Kirk Goble, ALC

Speaker: Dr. Vince Matthews, Director of the Geological Survey – Colorado Dept. of Natural Resources

1672 Lawrence Street Denver, Colorado Conference Rate: $145 (Conference rate available before and after the official conference dates upon availability.)

3:45 PM – 5:15 PM TRENDS & OPPORTUNITIES 3:45 PM – 4:25 PM (concurrent sessions) Ranch & Recreation


11:45 AM – 1:00 PM AWARDS & ALC INDUCTION LUNCHEON 1:15 PM – 3:00 PM THE GREAT EARTH The Global Scramble for Natural Resources


Speaker: J. Craig King, CAI, AARE, CCIM & President and CEO – J.P. King Auction Company, Inc.

6:00 PM – 7:30 PM Cowboy Auction & Reception PRE-CONFERENCE EVENTS 12:00 NOON – 5:30 PM Registration 5:30 PM – 6:15 PM 7:00 AM – 8:30 AM Speed Networking (open to all registered conference attendees. Bring lots of business cards!) HOT TOPIC BREAKFAST ROUNDTABLES Recreational Trends Facilitator: Derrick Volchoff, ALC 6:30 PM – 7:30 PM Conference Welcome Reception Today’s Technology

10:30 AM – 11:30 AM GOVERNMENT & REGULATORY AFFAIRS Federal Income Taxes Impacting Real Estate


3:00 PM – 3:30 PM TODAY’S MARKETPLACE Auction Realities

Orchards, Wineries & Vineyards Facilitator: Gayle Harvey, ALC

Marketing Strategies Facilitator: John McAllister, ALC

9:00 AM – 11:00 AM EXPLORING NEW OPPORTUNITIES Crossing Boundaries for International Business Speaker: Cesar Paredes, ALC, CCIM, CIPS & President – Global Commercial & Investment Real Estate, Co.

Institutional Investors in Agriculture Speaker: Stephen Kenny, Vice President of Business Development – Hancock Agricultural Investment Group


registration FOR THE 2012 NATIONAL LAND CONFERENCE OPENS OCTOBER 15. Watch your mail and email news for complete information. Go to or call 1.800.441.LAND (5263)



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LANDU News 2011 LANDU Education Week Gets Rave Reviews Congratulations to the alumni of LandU Education Week, which was held in Chicago June 13-18. Participants took advantage of the opportunity to complete required course work for the ALC designation in a condensed time frame. Eric West, ALC, of Hayden Outdoors, Windsor, Colo., for example, made the most of the event. Not only did he finish his course work, he also took and passed the comprehensive ALC exam in his hotel room, then returned home to work on and submit his full application. His diligence and dedication paid off, and Eric was the first LANDU Education Week participant to be awarded his ALC designation. Congratulations, Eric! In addition to building their skills and land knowledge, participants also were able to build invaluable personal relationships inside the classroom and outside of class as well. Special thanks to Education Week instructors for their expertise and commitment: Ben Crosby, ALC, Crosby & Associates, Winter Haven, Fla.; Andre van Rensburg, ALC, Prudential Commercial Real Estate, Jacksonville, Fla.; James Miller, 1031 Exchanges Attorney, Tempe, Ariz.; Rick Hood, Navigation Northwest of HCS, Edmonds, Wash.; Michael Schoonover, ALC, Coldwell Banker Bain Commercial, Hobart, Wash.; and Rick Taylor, ALC, Mossy Oak Forrest Investments, Inc., McComb, Miss. 2012 LANDU Education Week is tentatively scheduled to take place in Chicago on June 17-22. Stay tuned for more information.

Thank you for hosting the Lan dU courses held in Chicago and handling all the hard work it took to ma ke the event a success. I had a wonderful time networking with fellow land prac titioners from around the country and made fast friends with many of them as we discovered the commonality we all share in our unique industry. Moreov er, my intellect was definitely challenged as I worked thro ugh the course material and gleaned new information to increase my knowledge bas e, level of proficiency, and, hop efully, effectiveness as a land professional. Finally, Chicago is a beautiful city. I loved taking in the sights, the cult ure, and the food. A highligh t was to catch a Cubs game with some of the guys from the course in the beautiful and hist oric Wrigley Field. Thanks again for being an exce ptional host and for pulling off a worthwhile educationa l event. Best regards, Mark Skillman Westslope Properties - Medford , Ore.

ALC TeleConference program Launches Terri Jensen, ALC, chair of the RLI Education Committee, Wingert Realty Land Services, Mankato, Minn., facilitated the first ALC TeleConference, Getting the Deal Done, on July 19. During the call, ALCs shared valuable experiences and stories; and at the end of the session, a 15-minute marketing session took place….and some deals got started!

Time kills deals. Don’t ignore the obvious “when dealing with easement and/or access A few of the key tips shared on the call:

“ “ “

issues.” Bill Eshenbaugh, ALC – Eshenbaugh Land Company, Tampa, Fla.

Don’t forget to talk with adjacent owners when listing a property. They might be interested in a sale of their property or to purchase the neighboring property at the same time.” Benton Gibson, ALC – Appraisal South, Inc., McComb, Miss.

Use the new ALC brochure, available through the RLI national office, to promote one’s self and one’s business.” Larry Ilfeld, ALC – Sperry Van Ness Commercial Real Estate Advisors, Albuquerque, N.M.

Attend RLI’s National Land Conferences and network.” Ben Crosby, ALC – Crosby & Associ-

Utilize creative methods of closing a transac“tion, such as a “rolling sale” method, and think outside the box.” Renee harvey, ALC, and

Other Web sites pick them “upPostandWebsalessiteareads.made. Check out “CityFeet,” a

Rusty Lowe, ALC – Century 21 Harvey Properties, Inc., Paris, Tex.

Web site that send information to other websites and papers.” Glen Thomas, ALC – Hart County Realty, Inc., Munfordville, Ky.

Purchase copies of the Terra Firma newsletter from RLI national and mail them to CPAs, attorneys, and other potential investors.” George

and learn from attending classes and “Listen from the speakers at the National Land ConferClift, ALC – Clift Land Brokers, Amarillo, Tex.

ence.” kyle hansen, ALC – Hertz Real Estate Services, Nevada, Ia.

a personal brand by educating buyers and sellers on the benefits of working “Build with an ALC.”

ates, Inc., Winter Haven, Fla.

Tom smith, ALC – Tom Smith Land and Homes, Madison, Miss.

Don’t Miss the Next TeleConference Exclusively for ALC Designees

Gayle Harvey, ALC


Gayle Harvey, ALC, of Gayle Harvey Real Estate, Inc., in Charlottesville, Va., will facilitate the next ALC TeleConference on the subject of “Technology and Land.” The free teleconference is slated for October 5 , 10:00 am - 10:45 am Central. Fifteen additional minutes will be available at the conclusion of the teleconference for general networking with colleagues and to share "needs and wants." If you will be attending this event, please RSVP by September 30 to Michele Cohen at


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Bravo to Cabela’s Trophy properties Congratulations to Cabela’s Trophy Properties, a new corporate LANDU partner. Recognizing the value of LANDU education and the Accredited Land Consultant Designation, the Cabela’s organization has held two LAND 101 courses in 2011 with participation of 83 Cabela’s agents and brokers. Special recognition goes out to Derrick Volchoff, manager of Cabela’s Trophy Properties, Sidney, Neb., for championing the partnership; to Jeff Phelps, Cabela’s Trophy Properties, Sidney, Neb., for handling the administration of the course in Derrick Volchoff Kansas City, which had 58 students; and to Rich Harr, Broker/Owner, Dakota Properties Real Estate, Spearfish, S.D., who brought the class to his franchise in South Dakota enabling his agents to attend and to begin working toward the ALC designation. Cabela’s plans on offering additional courses in the near future. Bravo to Cabela’s! If your organization would like to bring LANDU organization to your agents and brokers, please contact Michele Cohen at or 312.329.8837.



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For course schedule updates, watch your electronic newsletter or visit

Upcoming Classroom Courses I

October 20 - 21, 2011 LOCATION: Weatherford, Texas PROVIDER: Texas RLI Chapter REGISTRATION: Contact Steve Anderson, ALC, at or 254.646.3237 February 6 - 7, 2012 LOCATION: to be announced PROVIDER: Mississippi RLI Chapter REGISTRATION: Contact Gina Haug at or 601.932.5241


You Can Complete All 3 Required ALC Courses by the End of the Year Are you on the path to earning your ALC designation? There’s still time to complete all three required courses by the end of the year. LAND 101: Fundamentals of Land Brokerage and Marketing is offered 24/7 as an online self-study course and is also available to take in a traditional classroom setting as well. Tax Deferred 1031 Exchanges is being offered in October as a hybrid course—combining independent study from a course manual with instructor-led phone lectures and discussions. Land Investment Analysis is also being offered as a hybrid course in November. Students combine independent study with instructor-led lectures and presentations. If you qualify as a “Fast Track” candidate (holding the CCIM, SIOR, CRE, and related designations), you can fulfill all of your education requirements by completing these courses. For more information on registration and education requirements for these no-travel courses, contact Michele Cohen, Director of Education and Policy, at or 312.329.8837. NEW

RLI Instructor Course provider program

RLI instructors are subject matter experts as well as business professionals. Beginning in 2012, approved Institute instructors will have the option to become approved course providers for LANDU courses. As official course providers, instructors may directly offer and market LANDU courses. For more information, contact Michele Cohen, Director of Education and Policy, at or 312.329.8837. Up NExT

hot Topic Web seminar

The Impact of Government on Real Estate Legislative, Regulatory and Economic Trends PRESENTERS:

Paul Bishop, NAR Vice President of Research Russell Riggs, NAR Government Affairs Liaison Vijay Yadlapati, NAR Associate Commercial Policy Representative October 27, 2011 12:00 noon - 1 pm Central (1:00 pm – 2:00 pm Eastern; 10:00 am – 11:00 am Pacific) Government action at both the legislative and regulatory levels, when combined with powerful global economic trends, can have a dramatic impact on real property transactions. This web seminar will highlight key government actions and recent economic trends and their impacts on the real estate industry. Reforms to the Clean Water Act and to the National Flood Insurance Program, legislation related to credit union lending, commercial mortgage liquidity and limitations on acquisition of public lands, and economic trends will be shared. There will also be time for web seminar participants to ask questions related to future regulations, legislation, and economic activity. Don’t miss this unique opportunity to hear from NAR government affairs and economics experts from Washington, D.C. Register at

LAND101: fundamentals of Land Brokerage


practical Navigation for Land professionals October 18 - 19, 2011 LOCATION: Edmonds, Washington PROVIDER: Pacific Northwest RLI Chapter REGISTRATION: Contact Mike Schoonover at or 425.442.0477


site selection October 31 - November 1, 2011 LOCATION: Englewood, Colorado PROVIDER: Colorado RLI Chapter REGISTRATION: Contact Maggie Thomas at 303.785.7114 or


Tax Deferred 1031 Exchanges February 7 - 8, 2012 LOCATION: to be announced PROVIDER: Mississippi RLI Chapter REGISTRATION: Contact Gina Haug at or 601.932.5241

2011 Remaining Hybrid Courses (independent study + phone conferences) I

Tax Deferred 1031 Exchanges October 3 - 31, 2011 PROVIDER: RLI National REGISTRATION: Contact RLI National at 1.800.441.LAND (5263) or


Land Investment Analysis November 1 - December 2, 2011 PROVIDER: RLI National REGISTRATION: Contact RLI National at 1.800.441.LAND (5263) or

Independent Study Course Available Any Time, Anywhere I

LAND101: fundamentals of Land Brokerage PROVIDER: RLI National REGISTRATION:

2012 Hybrid Course Schedule* Grow Your knowledge, Grow Your Business Hybrid courses combine independent study with instructor-led phone conferences for lectures and interaction. To learn more, go to January August I Land 101: Fundamentals I Agricultural Land Brokerage of Land Brokerage and Marketing I Site Selection February I Tax Implications November of Real Estate I Land Investment Analysis May October I Land Investment Analysis I Tax-Deferred 1031 Exchanges I Timberland NEW

LANDU Sponsorship Opportunities

Opportunities are now available to sponsor LandU courses, web seminars, and special programs. Discounts are extended to ALCs who would like to market themselves as supporters of land education and professional development. Thanks to Terri Jensen, ALC, Wingert Realty and Land Services, Mankato, Minn., who is the exclusive sponsor of the Land Investment Hybrid course for 2012. If you would like to market yourself as one who believes that knowledge is “golden” and would value exposure of this belief to over 1 million NAR members, contact Michele Cohen, Director of Education and Policy, at 312.329.2277 or at To learn about the full range of LANDU programs or becoming a course provider, contact Michele Cohen, Director of Education and Policy, at 312.329.8837 or

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NAR Conference & Expo November 9-14, 2011 Headquarters Hotel:

The Sheraton Anaheim • Anaheim, California RLI Day requires a separate registration fee. For registration and schedule information, go to www.rliland/Annual Convention.aspx or convention.nsf or call 1.800.441.LAND (5263).

Wednesday, November 9 1:00 pm – 5:00 pm • 2011 – 2012 Board of Directors Thursday, November 10 8:00 am – 9:30 am • Past Presidents’ Breakfast • Education Committee • Membership Development Committee 9:30 am – 11:00 am • Land Education Foundation • ALC Accreditation Review Panel • Government Affairs Committee 11:00 am – 12:30 pm • Chapter Presidents Council 1:00 pm – 2:30 pm • 2011 Awards Luncheon 3:00 pm – 4:30 pm • Annual Membership Meeting and Installation of Ray Brownfield, ALC, as National President and the 2012 Leadership Team 5:00 pm – 6:30 pm • 2012 Leadership Reception

“Landowners and brokers trust The Land Report. With page after page of analysis, trends, and well-crafted profiles, The Land Report is second to none appealing to first-time buyers of smaller holdings as well as the —C. PATRICK BATES nation's leading landowners.” Listing Broker, New Mexico's Bell Ranch President, Bates Sanders Swan Land Company

“Buy land. They’re not making anymore of it.”

For advertising information please contact John P. Gibbs, 312-924-7979 or



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DoingThings Right

“I am not a surveyor. However, I did have the good fortune of taking the Institute’s GPS course…”

by sTEvE ANDERsON, ALC Anderson Realty

As an Accredited Land Consultant, I am able to communicate – and demonstrate – to my clients that I have achieved a high level of expertise and am committed to serving their best interests. I recently was involved in a transaction that illustrates exactly why, and I use these kinds of examples so that my clients understand what a land professional, especially one with specialized training, can do for them. Upon a walk through prior to a closing, I noted a“red flag.” The property boundary, according to the survey and the field notes provided, were not matching. It is not my duty to verify boundaries, but it is my duty to ask questions and seek expert advice. So, I called the title company and informed them of the discrepancy and was told the abstract they produced was good. I also informed the selling agent of the situation and was told they had sent the

ABOUT ThE AUThOR: After 40 years in the computer industry, Steve Anderson, ALC, ABR, GRI, ePro, is now owner/broker of Anderson Realty in Lipan, Tex., specializing in single family residences and farm and ranch property. Reach Steve at 254.646.3237 or

wrong field notes and legal description. Seeing that transaction was set to close in two days and that the property being described was not the same as is in the contract, I got in touch with the surveyor that supplied the survey. I was told that neither the seller nor his agent had requested a survey, but only to go out and mark the corners of the property. (It’s also important to note that two other land transactions affecting the boundaries of this property had been done and recorded since the last survey and field notes had been recorded.) I am not a surveyor. However, I did have the good fortune of taking the Institute’s GPS course and having the proper software to support such boundary research. As a result, I did have the presence of mind to know that there was an error that had to be rectified prior to letting this transaction go forward. I know that Accredited Land Consultants understand the impact of this kind of mishap when someone learns that he did not buy the piece of property he thought he had. I don’t know which is scarier: working on land transactions with an agent who does not have a clue of what is involved in land deals compared to homes or commercial properties or working with a title company’s abstract department issuing a legal description on the wrong property and closing it. Either way, if we don’t do our due diligence and insure that

all of the T’s are crossed and I’s are dotted, our clients are going to be saddled with a mess to clean up, which also will bring legal action to all involved. I know we all have accumulated similar horror stories over the years. However, in our current market with all the new agents and cutbacks at the title companies, it behooves us to take great care in providing our clients with the type of representation they come to expect from our ranks. Our company has taken on a commitment to train new agents as well as encourage continuing education of more experienced agents to insure that they have the knowledge and tools to better understand what their responsibilities are in performing their job in the area of farm and ranch land transactions. I appreciate being part of an organization like the REALTORS® Land Institute, which continues to provide the education and tools we all need to provide the highest level of competency to our clients. There’s no better way to build your business than by doing what’s right and doing the right thing.

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CLOsING WORDs Heavyweight Fracking vs. NIMBY by Professor fRANk j. pARkER, CRE Wallace E. Carroll School of Management / Boston College

“The stakes are extremely high.”

WITh A BEAUTIfUL LAkE IN ThE BACkGROUND, an advertisement in a recent (April 12, 2011) issue of the Legislative Gazette from Albany, New York, featured the picture of a scowling child named Bridget Johnson. In the ad, the young Ms. Johnson states:“I will protect this body of water from fracking.” The ad copy continued with her reasoning: “I am proud to be a New York Water Ranger fighting to protect the best water in the world – the water that comes right out of my faucet. Hydraulic fracturing, or ‘fracking,’ for natural gas could happen here in New York, but not if my family has anything to say about it. We will use our powers as New York Water Rangers to protect this body of water. “Just over the border in Pennsylvania, fracking has poisoned water with toxic chemicals and radiation. Right now, waste water – sometimes with radiation hundreds of times the safe limits for drinking water – is going right back into the streams and rivers that supply water to millions of people. It could happen here, too.” Needless to say, the natural gas industry would disagree with this brilliant piece of NIMBY (Not-In-My-Backyard) propaganda. Nevertheless, it cannot be denied that the opposition to fracking will be intense and widespread. The stakes are extremely high. During the last ten years, shale gas obtained through this procedure has soared from 2 percent to 30 percent of all natural gas production in the United States. Already the U.S. is essentially self-sufficient in natural gas production. The potential for expansion is almost limitless. Boston Globe columnist and blogger Juliette Kayyem has explained clearly this increasingly popular process. “Fracking describes the second phase of a drilling process utilized by workers seeking to reach what are commonly called unconventional deposits of natural gas. In these tighter rock formations, workers must first drill into underground shale beds, and then essentially saturate the area with a high pressure cocktail of water, sand and chemicals that open up the shale deposits and release the gas.” No wonder local residents are apprehensive and unhappy. The Village of Cooperstown, New York, home of James Fenimore Cooper and the Baseball Hall of Fame, enacted a statement that argues against fracking in a manner surely to be adopted by numerous other cities and towns facing similar attempts by the natural gas industry to establish projects of this nature in their area. The arguments advanced are worth quoting in detail: “Otsego Lake, the headwaters of the entire Susquehanna River basin, is the source of drinking water for all those within the Village of Cooperstown and some outside our boundaries. It is a limited, clean, natural resource that requires our highest level of attention and protection. The concerns of the Village of Cooperstown also extend beyond our own water supply and boundaries to all of New York State. Hydrofracking poses potential threats to our pristine but not unlimited water supply and the quiet, rural, farm friendly, safe and healthy quality of life that we all now enjoy. The Village of Cooperstown and the surrounding area, has hundreds of millions of dollars of long-term investment at risk of collapse if hydrofracking comes to New York State… “Cooperstown does not and cannot exist on its own. We have to look toward and protect our long-term survival and growth within the State of New York. That is a very formidable task that only becomes more diffi-



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cult with the addition of gas drilling. No one should assume that tourists will drive 3 hours or more through heavy truck traffic, closed local businesses, spoiled scenery, fowled air, and relentless noise to get to Cooperstown and other regions of New York State for a day or a week, only to have to suffer through the same ordeal on their trip back home. “If the Village of Cooperstown were to become surrounded by gas drilling fields in New York State, we would fall away from our country’s list of best places to visit, live, and invest. Many people who live in and around our Village and in upstate New York may decide to leave New York State. It would not take make much then for the Village of Cooperstown, and large parts of New York State, to go into permanent recession.” Concerns regarding shale gas are creating savage fights between large corporations and residents in affected areas and equally contentious arguments within the U.S. federal government. Early in 2011, the U.S. Energy Information Administration estimated that there were 410 trillion cubic feet of undiscovered, technically recoverable natural gas within the Marcellus Shale rock formation extending from New York to Virginia. Six months later, the U.S. Geological Survey announced shockingly that it calculated there were only 84 trillion cubic feet of shale formation in the same area. Understandably, Congress does not know which figure is accurate. It is impossible to draw up accurate energy policy under such circumstances. Such uncertainty also makes it difficult for corporations to plan accurately and for investors to make wise choices. All of this confusion adds to the intensity of the NIMBY battles breaking out all over the United States. When the push toward adapting wind turbine and solar energy alternatives is factored into the oil and natural gas equation, it is no wonder that the overall domestic energy situation is so confused at present. It would appear that Ms. Johnson and her New York Water Rangers will have many battles to fight in the coming years. ABOUT ThE AUThOR: FRANK J. PARKER, CRE, is professor of Real Estate Development at the Carroll School of Management at Boston College in Chestnut Hill, Mass., and a principal with Atlantic Advisory Group. He is a national specialist in hunting and fishing camps at the luxury level and advisor to non-profit organizations in property transition including schools, churches, forestry, and waterfront properties and facilitates property business in Bermuda including military base redevelopment. Contact him at 617.552.8229 or



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