Center for Commercial Agriculture

September 16, 2019

Leasing Land

by Michael Langemeier

A series of leasing articles that discuss cash rents and land values…

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.

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.

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.

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.

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.

TAGS:

cash rent, crop share, landowners, lease

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Michael Langemeier

RELATED RESOURCES

Incorporating Conservation Provisions into Crop Leases, Great Lake Crops Summit

January 26, 2022

Michael Langemeier presented Incorporating Conservation Provisions into Crop Leases at the Great Lake Crops Summit in Mt. Pleasant, Michigan.

Comparisons of Net Returns for Crop Share Leases and a Fixed Cash Rent Lease

September 1, 2021

This article updates net return projections for 2021, and compares the net returns of two crop share leasing arrangements with a fixed cash rent leasing arrangement.

Indiana Farmland Values & Cash Rental Rates: 2021 Update Webinar

August 20, 2021

Recorded August 20 | Purdue ag economists break down the Purdue Farmland Values and Cash Rents Survey results and the USDA Land Values report.

Monthly Corn & Soybean Outlook Webinar Series

Webinar each month following USDA’s release of the updated World Agricultural Supply and Demand Estimates (WASDE). Catch the next monthly update on July 13th for the corn and soybean outlook following release of USDA’s July Crop Production and World Agricultural Supply and Demand Estimates (WASDE) reports. Registration is free.

May Corn & Soybean Outlook Update

May 16, 2022

Recorded May 16 | Purdue ag economists discussed the corn and soybean outlook following USDA’s May World Agricultural Supply and Demand Estimates (WASDE) report and provided implications for crop marketing strategies.

Comparing Net Returns for Alternative Leasing Arrangements

August 4, 2021

A west central Indiana case farm is used to illustrate net returns to land derived from crop share, fixed cash rent, and flexible cash lease arrangements. 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.

Indiana Farmland Prices Hit New Record High in 2021

July 26, 2021

It is safe to say that the last year was unlike any other in recent memory. The COVID-19 pandemic caused significant disruption to our lives and the global economy. Surprisingly, many of the current economic forces put upward pressure on farmland prices.

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