Farmland Partners Inc. has entered into agreements to acquire approximately 5,100 acres of permanent crop farmland in California from Olam International Limited for a purchase price of $110 million.
Olam is a global agribusiness company with operations in 70 countries and nearly 70,000 employees.
The properties are located in California's Central Valley and are dedicated to the production of almonds, pistachios and walnuts. At closing of the acquisition, FPI will enter into a 25-year triple-net lease agreement with Olam on a revenue share basis. During the term of the agreement, Olam will operate and maintain the properties and improvements. Closing is subject to customary conditions.
FPI is the largest publicly-traded farmland real estate investment trust in the U.S. FPI's portfolio is broadly diversified across crops and regions, spanning more than 154,000 acres.