May 1, 2014

Farm Building Rental Rate Survey

Farm buildings and livestock facilities often outlast their owner’s need for them, but can still provide usable service. Farm operators and livestock producers may be able to make use of certain types of farm buildings but are not in a position to invest in new facilities. Both parties can benefit from a leasing arrangement. However, information about common rental rates for farm buildings is not easily obtainable.

The information in this publication was summarized from the results of a survey of farm operators, farm owners, professional farm managers and rural appraisers in the north central region of the U.S. The North Central Farm Management Extension Committee sincerely thanks all the agricultural professionals who contributed.

The survey assumed that building tenants would provide labor and management and pay the cost of utilities and minor upkeep. Owners would generally be responsible for major repairs and insurance coverage. Individual rental rates will vary according to the age, condition, size, location and efficiency of the particular building being rented.

For more information about determining rental rates and terms see publication NCFMEC-04, “Rental Agreements for Farm Buildings and Livestock Facilities.” For a sample lease form, see publication NCFMEC-04A, “Farm Building or Livestock Facility Lease.” Both publications are available for no charge at the following website: http://AgLease101.org.

Farm Building Rental Rate Survey, North Central Farm Management Extension Committee

Farm Building Rental Rate Survey, North Central Farm Management Extension Committee

 

*Originally published on Ag Lease 101 by North Central Farm Management Extension Committee.

TAGS:

TEAM LINKS:

RELATED RESOURCES

Prospects for Swine Feed Costs in 2024

November 30, 2023

Indiana corn prices have dropped sharply since September. The most recent WASDE report indicates that corn prices could remain low for the foreseeable future. Obviously, lower expected corn prices will translate into lower expected feed costs during the first part of 2024. What trends in feed costs will we see for 2024? And what’s the impact of corn and soybean meal prices on feed costs for farrow-to-finish and swine finishing operations?

READ MORE

Trend in Breakeven Prices for Cattle Finishing

November 14, 2023

Fed cattle prices have strengthened the last few months. At the same time, due to lower corn prices, feeding cost of gain has also declined. Partially in response to these two phenomena, feeder prices and breakeven prices have increased substantially.

READ MORE

Cattle Outlook

October 25, 2023

Slidedeck presentation by James Mintert given at the Livestock Marketing Information Center’s Industry Outlook Conference on October 25, 2023.

READ MORE

UPCOMING EVENTS

Top Farmer Conference 2025

January 10, 2025

A management programs geared specifically for farmers. Surrounded by farm management, farm policy, agricultural finance and marketing experts, and a group of your peers, the conference will stimulate your thinking about agriculture’s future and how you can position your farm to be successful in the years ahead.

Read More

Purdue Income Tax School: Ag Tax Webinar

December 19, 2024

The 2024 Ag Tax Webinar, part of the Purdue Income Tax School, will provide in-depth coverage of selected agricultural and farm income tax issues to supplement material provided at the two-day in-person or virtual tax schools. The 2024 webinar will be taught by Guido Van Der Hoeven, an expert on agricultural tax issues and one of the authors of the 2024 Agricultural Tax Issues book, on Monday, December 19, 2024, starting at 9:00 am ET.

Read More

(Part 1) 2024 Indiana Farmland Values & Market Trends

September 11, 2024

Interested in the latest trends and insights on U.S. & Indiana farmland values? This AgCast episode shares insights from the Farm Sector Balance Sheet, USDA data collection methods, regional variations in land values, and the influences of factors such as interest rates and development pressures on farmland prices. Gain an in-depth understanding of trends, market dynamics, and future expectations for farmland values.

READ MORE

August 2024 PAER issue: Farmland Prices Increase Despite Downward Pressure

August 9, 2024

Indiana farmland prices have continued the trend of record highs in 2024, according to the latest Purdue Farmland Value and Cash Rent Survey. The average price of top-quality farmland reached $14,392 per acre, a 4.8% increase from June 2023. Average and poor-quality farmland also saw gains, with prices increasing 3.7% and 4.4% to $11,630 and $9,071 per acre, respectively.

READ MORE

Comparing Net Returns for Alternative Leasing Arrangements

August 7, 2024

Obtaining control of land through leasing has a long history in the United States. Leases on agricultural land are strongly influenced by local custom and tradition. However, in most areas, landowners and operators can choose from several types of lease arrangements. Flexible cash lease arrangements provide a base cash rent plus a bonus which typically represents a share of gross revenue in excess of a certain base value or threshold.

READ MORE