Getting Started

Leasing Land Fundamentals

Before you enter your next lease discussion: understanding the pros and cons of common leasing arrangements, the role of market conditions and land values in cash rent negotiations, using flexible lease agreements to share risk and reward, and aligning lease terms with your farm’s business strategy.

Table 1: Average estimated Indiana land value per acre (tillable, bare land) by geographic area, Purdue Land Value Survey, June 2026

Signature Publication

Purdue Farmland Value & Cash Rents Survey

The latest survey shows Indiana farmland values held relatively steady in 2026, according to Purdue’s latest Farmland Values and Cash Rents Survey. Top-quality farmland averaged $14,909 per acre, up 0.6%, while average-quality farmland declined 1.1% to $12,121 and poor-quality farmland declined 3.1% to $9,460. So what’s that mean if you’re in the market for leasing farmland?

NEW Partnership

Acres.com Enhanced Insights

A leader in farmland transaction data, our partnership with Acres.com aims to enrich the availability of transaction-based farmland market in information, offering valuable insights to farmland owners, farmers, and agricultural stakeholders across Indiana.

Key Publications

Flexible Cash Rent Leases

Flex leases combine a base rent with a possibility of a bonus, which is typically based on gross revenue triggers or gross revenue above production costs plus base rent. Flexible cash rent leases enable a landowner to share additional income that results from unexpected increases in crop prices and/or yields. For the operator, risk is reduced as cash rent is lower if crop prices and/or yields are less than normal.

Comparison of Net Returns for Flexible Cash Lease and Fixed Cash Rent Lease (per acre net returns for landowner)

Which Farmland Lease Is Best? Fixed Cash Rent, Crop Share or Flexible Rent