Profitable Landownership Topic of St. Louis Workshop
The stakes of farmland ownership have never been higher with record land
values, stronger rents, biofuel’s influence, changes to the government Farm
Program and updates to the tax code.
Non-operator land owners, and those considering purchasing farmland, are
invited to attend a workshop Sept. 25 in St. Louis, Mo., to learn about the
financial aspects of land ownership. Workshop topics include: key indicators
for commodity price direction; the profit potential of alternative lease types;
the formula to managing a cash rent lease; the impact of the new Farm Bill;
and profit opportunities for the future.
Farmers National Company, the largest farm management company in the
United States, is hosting the 2008 Landowner Workshop, titled “The Keys to
Profitable Land Ownership.” Farmers National Company has been providing
workshop opportunities for non-operator landowners for more than 30 years.
“Now more than ever it’s important for landowners to stay abreast of what’s
happening in the market,” said Jim Farrell, president of Farmers National
Company. “For example, we are seeing significant disparities in cash rent
rates between similar farms which is a sign that some landowners are not
aware of the true value of their land.”
As a way to get the next generation involved, current clients of Farmers
National Company and their children can attend the workshop at no cost.
The Landowner Workshop will be offered Sept. 25 from 9 a.m. to 3:50 p.m. at
the Sheraton Westport Chalet, 191 Westport Plaza, St. Louis, Mo.
Registration begins at 8:30 a.m. Continental breakfast and lunch will be
Over 1,400 landowners attended Farmers National Company workshops last
year. Seating is limited and pre-registration is suggested. For more
information or to register, call 1-800-346-2650 or visit
http://www.farmersnational.com/Landowner_Workshops. The cost for
registration is $15 in advance and $20 at the door.
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Top 5 ways to maximize profitability
of farmland ownership
Farmers National Company offers the following tips to maximize the
profitability of farmland ownership. For more information, visit
www.farmersnational.com or call 1-800-346-2650.
? Review your lease yearly: Costs and values change from year to year, so
those aspects of your lease need to be considered and re-visited on an
ongoing basis. Be certain to secure your second half lease payment on all
? Know how your land compares to neighboring land: Most landowners feel
that they own the ‘best land in the county’, but there are differences
between farms. Make sure that you know how your farm’s production
capability and improvements compare to other farms in the neighborhood as
you compare lease terms with other landowners.
? Be wary of extended leases: While signing on the dotted line for an
extended period of time would seem like a reasonable request, be careful
about doing so. Most leases operate on a year-to-year timeframe. This will
allow for changes to be made in accordance with changes in costs for
equipment, seed, fuel, etc.
? Look at ways to improve your farm’s production to increase your income:
Be a student of the farming industry. Look for trends that may be occurring.
Are there other avenues available to enhance the income of your property?
Take an honest look at the farm you own and evaluate what improvements, if
any, could be made that would enhance production and thus the rent of the
? Be involved: Just because someone else is tending to the land, don’t be
afraid to ask questions and inquire about soil test results, actual yields from
the farm, and cropping plans. Managing a farm is just like managing any
other major asset. It takes diligence and care to maintain and improve the
value of the asset.