Your clients are interested in purchasing a piece of land that has several acres of wetlands. Because of this, ______.

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The presence of wetlands on a piece of land imposes specific regulatory considerations and potential costs that buyers must take into account. Wetlands are protected under various environmental laws and regulations, such as the Clean Water Act in the U.S. This means that any development plans may require permits, which can be a lengthy and costly process.

Moreover, managing wetlands may involve ongoing maintenance and compliance with environmental regulations, which can further increase costs for the property owner. These factors contribute to the notion of "added regulatory baggage," as the buyer will need to navigate these complexities.

While wetlands can impact the development potential and marketability of the land, they do not automatically render a site undevelopable or of lesser value in all cases. In some instances, mitigation efforts can be employed, or the property may be desirable for conservation purposes or recreational uses, retaining some value. Therefore, the correct choice highlights the necessary considerations regarding regulations and potential financial implications tied to acquiring the site.

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