An unusual listing has appeared on the real estate market: timber company Roseburg Forest Products has put three islands totaling 20 acres (about 8 hectares) on the auction block on the Lower Umpqua River in Oregon. The minimum bid is set at $24,500, which works out to just $1,225 per acre. Bids are being accepted through June 3 by Realty Marketing/Northwest, a company that specializes in selling waterfront property.
The islands are located between the towns of Scottsburg and Reedsport, south of the Siuslaw National Forest. Their sizes range from 2 to 12 acres. Under Oregon law, these lands are designated as estuarine conservation zone, which greatly limits development possibilities. Only water-based recreation and aquaculture are permitted. However, as auction company president John Rosenthal notes, a small seasonal cabin for secluded fishing could be built on the largest island.
Potential buyers should be aware of drawbacks: there are no roads to the islands, and because their elevation is only 40–50 feet (12–15 meters), a significant portion of the land may flood at high water levels. Nonetheless, that does not deter wildlife enthusiasts — such lots find buyers, mostly among conservation organizations.
The auction company already has experience selling islands in the region. In 1992 two parcels on the Columbia River sold for $500–$800 per acre (adjusted for inflation — $1,186–$1,994 today). And in 2018, Buck Island, a 160-acre island on Upper Klamath Lake, sold for $355,000 ($2,100 per acre) — the buyer, it’s said, saved it from development. To participate in the bidding you must submit a 10% deposit and sign a purchase agreement. Deposits will be returned to unsuccessful bidders.
This news is especially interesting to Seattle residents, since Oregon is a neighboring state and many of them consider investing in property outside Washington. Washington state also has islands for sale, for example in the San Juan archipelago or in Puget Sound, but they are rare and expensive. Coastal parcels are also available but come with stricter environmental restrictions. However, there are currently no exact equivalents in price and availability to what’s on offer in Oregon — the island market in Washington is less active.
It’s also important to note that the estuarine conservation zone status means the river-mouth lands are protected by law: construction, logging, landscape alteration, and commercial use are prohibited. A buyer may own the parcel but cannot build on or modify it — only preserve it in its natural state. Around Seattle, in the Puget Sound region, there are similar restrictions: "critical area zones" and "estuarine buffer zones" that prohibit any construction within 50–200 feet of the water and also limit land use to protect salmon and wildlife. The difference is that in Washington these zones are usually smaller in area and regulated at the county level rather than by the state.
Based on: Buying 3 Oregon islands at auction may cost less than you think