September 16, 2019

Leasing Land Fundamentals

by Michael Langemeier

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A series of leasing articles that discuss cash rents and land values: Leasing Principles for Cropland, Providing Reports for Crop Landowners, Flexible Cash Rent Leases, Incorporating Conservation Practices & Improvements into Cropland Leases?, Should I Use an Annual or Multi-Year Cropland Lease?

ARTICLES WITHIN PUBLICATION:

Leasing Principles for Cropland

June 8, 2019

When examining the leasing option, a farm needs to decide, along with the landowner, whether they want to use a cash lease, a crop share lease, or a flexible cash lease.

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Providing Reports for Crop Landowners

July 8, 2019

Communicating is prudent for a tenant to provide updates of crop conditions throughout the year and make sure that crop shares and possible bonuses emanating from flexible cash leases are understood by both parties.

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Flexible Cash Rent Leases

August 15, 2019

Switching from a fixed cash rent lease to a flexible cash rent lease allows a lower base rent to be established while simultaneously allowing landowners to share in relatively high crop revenues if they occur.

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Incorporating Conservation Practices and Improvements into Cropland Leases?

September 16, 2019

Most operators are interested in renting ground for a long period of time, so they are also interested in long-run productivity and the soil health of each tract of land that they farm.

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Should I Use an Annual or a Multi-Year Cropland Lease?

October 14, 2019

A vast majority of cropland leases are in effect for only one year. Multi-year leases provide incentives for tenants and landowners to invest in long-term improvements, maintain soil fertility, and encourage conservation practices.

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