If you’re a landowner, selling is not the only way to see a worthwhile ROI. In fact, leasing land, while it may take a little more of your involvement over time, can be an extremely lucrative endeavor.
In the United States, almost half of all farmers lease some or all of the land they work on. Leasing land has its own set of pros and cons when compared to owning it. However, leasing can be an appealing option for many farmers. In fact, many new farmers view leasing as a practical and smart choice for their agricultural careers. Leasing land can provide affordable, flexible, and secure access to farms, land, and buildings. Additionally, it can result in higher net revenue during initial start-up years.
TYPES OF LEASES:
• Short-term ( annual to 3 – 5 years )
• Long-term ( 5 – 99 years )
• Rolling term ( the term “rolls forward” so that it’s always, for example, 3 years )
• Ground lease ( long-term, where the tenant rents the ground and owns the improvements )
• Residential lease ( preferably separated from the lease for land and farm structures )
HOW WE CAN ASSIST:
• Expertise in Market Analysis: Assessing current market conditions and trends to determine the optimal leasing terms.
• Comprehensive Property Evaluation: Evaluating the land’s suitability for leasing and potential rental value.
• In-Depth Marketing and Advertising: Promoting the land to potential lessees through various channels such as online listings, advertising platforms, and networking.
• Tenant Screening: Screening potential lessees to ensure they meet the requirements and are suitable candidates for leasing the land.
• Lease Negotiation: Negotiating lease terms and conditions on behalf of the landowner to secure favorable agreements.
• Legal Documentation: Drafting lease agreements and ensuring all legal requirements are met to protect the landowner’s interests.
• Renewal or Termination: Assisting with lease renewal negotiations or facilitating the termination of leases as necessary.
Investing in undeveloped land can prove to be a savvy financial move. Fortunately for investors, raw land holds a unique allure—it's finite, rendering it inherently valuable.
Extensive research and a deep market understanding is crucial for developing undeveloped land. This requires monitoring market trends closely. Broken Horn Land Company can assist you by providing comprehensive market analysis and trend-tracking services, ensuring you make well-informed investment decisions.
HOW WE CAN ASSIST:
• Market Analysis: Conducting comprehensive market research to identify potential land acquisition opportunities suitable for development.
• Property Search and Evaluation: We search for available land parcels that meet the client's development criteria and evaluate their suitability based on location, zoning regulations, access to utilities, and potential for development.
• Due Diligence: Performing thorough due diligence on selected properties, including title searches, environmental assessments, zoning checks, and other relevant investigations to ensure the feasibility of development.
• Negotiation: Negotiating with landowners or sellers on behalf of the client to secure favorable terms and purchase agreements for the desired properties.
• Financial Analysis: Assisting in financial analysis, including assessing the costs of acquisition, development, and potential returns on investment to inform decision-making.
• Legal Documentation: Managing the preparation and execution of legal documents related to the acquisition, such as purchase contracts, agreements, and closing documents.