Beyond prices per acre: Investors looking west, south for values

decrease font size  Resize text   increase font size       Printer-friendly version of this article Printer-friendly version of this article

After several years of dramatic increases in the price of Midwestern farmland, investors are looking more to the Southeast and other areas for overlooked opportunities and values.

"The interest in rising farmland values has focused primarily on the Midwest and the Plains, but I'm seeing signs that is beginning to change," said Murray Wise in a blog post.

"We recently sold a vineyard in Madera County, Calif., at a price many thought unthinkable until recently. And we're seeing a surge in farmland transactions in Georgia, Florida and other southeastern states, where prices have remained stagnant and, in some cases, even declined. Perceptive investors looking for good land and solid values are giving the South a good look," said Wise, chief executive officer at Murray Wise Associates.

Wise noted that Murray Wise Associates is currently bringing properties to market in Florida, Virginia and Georgia.

And while most farmland sold at auction lately has been going to operating farmers, large investors are still looking for values, purchasing land in private treaties and looking at such alternatives as vineyards and orchards, he said.

The trends reflect a renewed focus on fundamentals, he said. "Instead of asking where farmland prices are headed, more investors have returned to the things that really matter, like value, long-term demand, costs, rents, land quality and other factors that go into successful farmland investing. We need to focus on what rate of return a farm can provide," Wise said.


Buyers Guide

Doyle Equipment Manufacturing Co.
Doyle Equipment Manufacturing prides themselves as being “The King of the Rotary’s” with their Direct Drive Rotary Blend Systems. With numerous setup possibilities and sizes, ranging from a  more...
A.J. Sackett Sons & Company
Sackett Blend Towers feature the H.I.M, High Intensity Mixer, the next generation of blending and coating technology which supports Precision Fertilizer Blending®. Its unique design allows  more...
R&R Manufacturing Inc.
The R&R Minuteman Blend System is the original proven performer. Fast, precise blending with a compact foot print. Significantly lower horsepower requirement. Low inload height with large  more...
Junge Control Inc.
Junge Control Inc. creates state-of-the-art product blending and measuring solutions that allow you to totally maximize operating efficiency with amazing accuracy and repeatability, superior  more...
Yargus Manufacturing
The flagship blending system for the Layco product line is the fully automated Layco DW System™. The advanced technology of the Layco DW (Declining Weight) system results in a blending  more...
Yargus Manufacturing
The LAYCOTE™ Automated Coating System provides a new level of coating accuracy for a stand-alone coating system or for coating (impregnating) in an automated blending system. The unique  more...
John Deere
The DN345 Drawn Dry Spreader can carry more than 12 tons of fertilizer and 17.5 tons of lime. Designed to operate at field speeds up to 20 MPH with full loads and the G4 spreader uniformly  more...
Force Unlimited
The Pro-Force is a multi-purpose spreader with a wider apron and steeper sides. Our Pro-Force has the most aggressive 30” spinner on the market, and is capable of spreading higher rates of  more...
BBI Spreaders
MagnaSpread 2 & MagnaSpread 3 — With BBI’s patented multi-bin technology, these spreaders operate multiple hoppers guided by independent, variable-rate technology. These models are built on  more...


Comments (0) Leave a comment 

Name
e-Mail (required)
Location

Comment:

characters left


Quickveyor

Made of high quality 304 stainless steel, the Quickveyor is one of the strongest trailers on the market. It’s belt ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form