{"id":20015,"date":"2025-08-12T10:47:52","date_gmt":"2025-08-12T14:47:52","guid":{"rendered":"https:\/\/ag.purdue.edu\/commercialag\/home\/?page_id=20015"},"modified":"2025-11-05T09:38:52","modified_gmt":"2025-11-05T14:38:52","slug":"leasing-arrangements","status":"publish","type":"page","link":"https:\/\/ag.purdue.edu\/commercialag\/home\/leasing-arrangements\/","title":{"rendered":"Land &amp; Leasing"},"content":{"rendered":"\n<div  class=\"purdue-home-cta-banner purdue-home-link-hero \">\n    <div class=\"image\">\n                    <img decoding=\"async\" alt=\"\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2024\/09\/sam-knight-jhpL88kP7Y8-unsplash-scaled.jpg\"\/>\n            <\/div>\n    <div class=\"section has-padding-exlarge\">\n        <div class=\"container\">\n                            <p class=\"purdue-home-hero__subheader purdue-home-link-hero__subheader tagged-header tagged-header--gold\">\n                    FarmLand Markets &amp; Leasing Arrangements                <\/p>\n                                                        <h1 class=\"second-level-page-heading purdue-home-link-hero__header\">\n                    Make smarter Decisions on land purchases, sales, &amp; Rental Decisions                <\/h1>\n                                        <p class=\"purdue-home-link-hero__subtext\">\n                    Whether you\u2019re a farmer renting ground, a landowner negotiating terms, or both, evaluate opportunities and negotiate fair, data-driven land agreements.                <\/p>\n                                                    <div class=\"purdue-home-link-hero__list-container\">\n                    <span class=\"purdue-home-link-hero__list-desc tablet-hidden\">\n                        Shortcuts:\n                    <\/span>\n                    <ul class=\"purdue-home-link-hero__list--desktop\">\n                                                                                <li>\n                                <a class=\"purdue-home-button purdue-home-button--white \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/keyword\/land-value\/\" target=\"_blank\">\n                                    Farmland Values                                <\/a>\n                            <\/li>\n                                                                                <li>\n                                <a class=\"purdue-home-button purdue-home-button--white \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/keyword\/rental-agreements\/\" target=\"_blank\">\n                                    Rental Agreements                                <\/a>\n                            <\/li>\n                                            <\/ul>\n                    <form class=\"purdue-home-select purdue-home-link-hero__list--mobile\">\n                        <label for=\"f8f4ff9d-1f83-479f-b244-dc937861ea6f\" class=\"is-sr-only\">Choose a link:<\/label>\n                        <select id=\"f8f4ff9d-1f83-479f-b244-dc937861ea6f\" name=\"links\">\n                             <option value=\"\" data-external=\"\">Shortcuts<\/option>\n                                                            <option value=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/keyword\/land-value\/\" data-external=\"1\">\n                                    Farmland Values                                <\/option>\n                                                            <option value=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/keyword\/rental-agreements\/\" data-external=\"1\">\n                                    Rental Agreements                                <\/option>\n                                                    <\/select>\n                    <\/form>\n                <\/div>\n                        <div class=\"purdue-home-link-hero__arrow hero-down-arrow\" aria-hidden=\"true\">\n                <i class=\"fa-solid fa-chevron-down icon\" aria-hidden=\"true\"><\/i>\n            <\/div>\n        <\/div>\n    <\/div>\n<\/div>\n\n\n<div class=\"purdue-home-cta-grid has-none-background \">\n        <div class=\"section has-padding-top-none\">\n        <div class=\"container\">\n                            <div class=\"purdue-home-cta-grid__intro\">\n                                                                <div class=\"purdue-home-cta-grid__content\">\n                            \n\n<p><\/p>\n\n                        <\/div>\n                                    <\/div>\n                            <div class=\"purdue-home-cta-grid__cards align-center\">\n                    <div class=\"columns is-multiline\">\n                                                    <div class=\"column is-half-tablet is-4-desktop\">\n                                                                <div class=\"purdue-home-cta-card purdue-home-cta-card--stack\">\n                                                                    <figure class=\"image is-16by9\">\n                                        <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2019\/08\/Series-LeasingLand_Banner1100x350.jpg\"\/>\n                                    <\/figure>\n                                                                    <div class=\"flex-container flex-container--align-center\">\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtitle\">Getting Started<\/p>\n                                                                                <p class=\"purdue-home-cta-grid__card-title\">Leasing Land Fundamentals<\/p>\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtext\">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\u2019s business strategy.<\/p>\n                                        <ul class=\"purdue-home-button-list\">                                            <li><a class=\"purdue-home-button \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2019\/09\/leasing\/\" target=\"_self\">Download the Guide<\/a><\/li>\n                                        <\/ul>                                    <\/div>\n                                <\/div>\n                            <\/div>\n                                                    <div class=\"column is-half-tablet is-4-desktop\">\n                                                                <div class=\"purdue-home-cta-card purdue-home-cta-card--stack\">\n                                                                    <figure class=\"image is-16by9\">\n                                        <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"Table 3: Average estimated Indiana cash rent per acre, (tillable, bare land) 2024 and 2025, Purdue Land Value Survey, June 2025\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/2025-11_Table3-scaled-e1755094188713.jpg\"\/>\n                                    <\/figure>\n                                                                    <div class=\"flex-container flex-container--align-center\">\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtitle\">Signature Publication<\/p>\n                                                                                <p class=\"purdue-home-cta-grid__card-title\">Purdue Farmland Value &amp; Cash Rents Survey<\/p>\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtext\">The latest survey shows Indiana cash rents exhibited little change from 2023 to 2024. Statewide top quality\nland increased 2.3% to $313, average quality land increased less than 1% to\n$260, and poor-quality land fell 3.7% to $204. So what&#8217;s that mean if you&#8217;re in the market for leasing farmland?\n<\/p>\n                                        <ul class=\"purdue-home-button-list\">                                            <li><a class=\"purdue-home-button \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2024\/08\/PAER-2024-August.pdf\" target=\"_blank\">Download Report<\/a><\/li>\n                                                                                    <li><a class=\"purdue-home-button \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/farmland-values\/\" target=\"_self\">Learn More<\/a><\/li>\n                                        <\/ul>                                    <\/div>\n                                <\/div>\n                            <\/div>\n                                                    <div class=\"column is-half-tablet is-4-desktop\">\n                                                                <div class=\"purdue-home-cta-card purdue-home-cta-card--stack\">\n                                                                    <figure class=\"image is-16by9\">\n                                        <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2024\/12\/fig_change-e1734024446657.jpg\"\/>\n                                    <\/figure>\n                                                                    <div class=\"flex-container flex-container--align-center\">\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtitle\">NEW Partnership<\/p>\n                                                                                <p class=\"purdue-home-cta-grid__card-title\">Acres.com Enhanced Insights<\/p>\n                                                                                    <p class=\"purdue-home-cta-grid__card-subtext\">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. \n<\/p>\n                                        <ul class=\"purdue-home-button-list\">                                            <li><a class=\"purdue-home-button \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/purdue-x-acres\/\" target=\"_self\">Learn More<\/a><\/li>\n                                        <\/ul>                                    <\/div>\n                                <\/div>\n                            <\/div>\n                                            <\/div>\n                <\/div>\n                    <\/div>\n    <\/div>\n<\/div>\n\n<div  class=\"section has-black-background has-padding-top-large has-padding-bottom-large  page-layout-wide page-layout-two-column page-layout-two-column-divider page-layout-two-column-verticalCenter\">\n    <div class=\"container\">\n                <div class=\"tagged-header-container tagged-header-container--content-block tagged-header-container-gold\">\n            <h2 class=\"tagged-header tagged-header--gold\">Key Publications<\/h2>\n        <\/div>\n                \n\n<div class=\"wp-block-columns page-layout-columns columns is-multiline is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column column is-full-tablet page-layout-main is-layout-flow wp-block-column-is-layout-flow\">\n<h2 class=\"wp-block-heading\">Flexible Cash Rent Leases<\/h2>\n\n\n\n<p>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.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"750\" height=\"544\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-750x544.jpg\" alt=\"Comparison of Net Returns for Flexible Cash Lease and Fixed Cash Rent Lease (per acre net returns for landowner)\" class=\"wp-image-20064\" srcset=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-750x544.jpg 750w, https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-300x218.jpg 300w, https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-768x557.jpg 768w, https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-1536x1114.jpg 1536w, https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/FlexibleCashLeaseFlyer_20250807_Fig1-2048x1485.jpg 2048w\" sizes=\"auto, (max-width: 750px) 100vw, 750px\" \/><\/figure>\n<\/div>\n\n\n\n<div class=\"wp-block-column column is-one-quarter-desktop is-full-tablet is-full-mobile page-layout-sidebar is-layout-flow wp-block-column-is-layout-flow\"><div  class=\"purdue-home-buttons purdue-home-buttons--left \">\n    <ul class=\"purdue-home-button-list\">\n                    <li class=\"purdue-home-button-wrap--full\"><a class=\"purdue-home-button\" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/08\/flexible-cash-lease-comparisons-2\/\" target=\"_self\">Lease Comparisons | Crop Share, Fixed, Flex<\/a><\/li>\n                    <li class=\"purdue-home-button-wrap--full\"><a class=\"purdue-home-button\" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/08\/comparing-net-returns-for-alternative-leasing-arrangements\/\" target=\"_self\">Compare Net Returns for Flex Leases<\/a><\/li>\n                    <li class=\"purdue-home-button-wrap--full\"><a class=\"purdue-home-button\" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/08\/flexible-cash-lease-parameters\/\" target=\"_self\">Lease Parameters on Flex Leases<\/a><\/li>\n                    <li class=\"purdue-home-button-wrap--full\"><a class=\"purdue-home-button\" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/08\/flex-lease-computations-spreadsheet-tool\/\" target=\"_self\">Decision Tool | Flex Lease Computations<\/a><\/li>\n            <\/ul>\n<\/div>\n<\/div>\n<\/div>\n\n    <\/div>\n<\/div>\n\n<div class=\"purdue-home-video-embed \">\n        <div class=\"section has-none-background\">\n        <div class=\"container is-16by9\">\n                        <div class=\"tagged-header-container\">\n                <h2 class=\"tagged-header purdue-home-video-embed__header\">Flexible vs. Fixed Cash Rent Farmland Leases<\/h2>\n            <\/div>\n            \n            <div class=\"purdue-home-cta-card purdue-home-cta-card--horizontal purdue-home-cta-card--video\">\n    <div class=\"image is-16by9\">\n                    <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"\" src=\"https:\/\/img.youtube.com\/vi\/87bpXxTwm58\/maxresdefault.jpg\" \/>\n            <\/div>\n    <div class=\"flex-container flex-container--align-center\">\n        <span class=\"cta-link purdue-home-cta-card__link\">Watch Video<\/span>\n        <img decoding=\"async\" class=\"cta-icon cta-icon--play\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/themes\/purdue-home-theme\/imgs\/play_icon_gold.svg\" alt=\"\">                                       \n    <\/div>\n    <div class=\"iframe-container is-sr-only\">\n        <div class=\"youtube-video\" id=\"87bpXxTwm58\" data-title=\"\" data-src=\"https:\/\/www.youtube.com\/embed\/87bpXxTwm58?rel=0&#038;autoplay=1&#038;enablejsapi=1&#038;mute=1&#038;origin=https:\/\/ag.purdue.edu\"><\/div>\n    <\/div>\n<\/div>        <\/div>\n    <\/div>\n    <\/div>\n\n<div  class=\"purdue-home-cta-carousel \">\n        <div class=\"section has-gold-background\">\n        <div class=\"container\">\n                        <div class=\"tagged-header-container\">\n                <h2 class=\"tagged-header\">Specialized Leases<\/h2>\n            <\/div>\n                        <div class=\"purdue-home-cta-carousel__cards\" data-columns=\"2\">\n                <div class=\"glide\">\n                    <div class=\"glide__track\" data-glide-el=\"track\">\n                        <div class=\"glide__slides\">\n                                                        <div class=\"glide__slide\">\n                                <div class=\"purdue-home-cta-card purdue-home-cta-card--horizontal purdue-home-cta-card-carousel--story\"\n                                    style=\"background-image:url( https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/10\/pexels-botanphotography-26903736-scaled.jpg)\">\n                                    <div class=\"purdue-home-cta-carousel__card-image\">\n                                        <div class=\"image is-16by9\">\n                                                                                        <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"\"\n                                                src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/09\/Podcast197_thumbnail_play.jpg\" \/>\n                                                                                    <\/div>\n                                    <\/div>\n                                    <div class=\"purdue-home-cta-carousel__card-content\">\n                                                                                <div class=\"purdue-home-cta-carousel__story-wrap\">\n                                            <p class=\"purdue-home-cta-carousel__story-title\">Irrigated Ground, Pasture &amp; Hay Leases<\/p>\n                                                                                        <p class=\"purdue-home-cta-carousel__story-content\">The 3-P\u2019s of irrigation: pivot, pump, and power; the big three in pasture: fencing, water supply, and controlling noxious weeds; as well as cow-calf pairs and hay cash rental calculations. Offering practical advice for both landlords and operators on fair rental agreements.                                            <\/p>\n                                                                                    <\/div>\n                                        \n                                                                            <ul class=\"purdue-home-button-list\">\n                                            <li><a class=\"purdue-home-button\"\n                                                    href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/07\/leasing-pasture-and-hay-ground\/\"\n                                                    target=\"_blank\">Read More<\/a><\/li>\n                                                                                        <li><a class=\"purdue-home-button\"\n                                                    href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/07\/pasture-grass-hay-lease-spreadsheet-tool\/\"\n                                                    target=\"_blank\">Explore Decision Tool<\/a><\/li>\n                                                                                    <\/ul>\n                                                                                                                    <\/div>\n                                <\/div>\n                            <\/div>\n                                                        <div class=\"glide__slide\">\n                                <div class=\"purdue-home-cta-card purdue-home-cta-card--horizontal purdue-home-cta-card-carousel--story\"\n                                    style=\"background-image:url( https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/09\/DJI_0970-scaled-e1758122315602.jpg)\">\n                                    <div class=\"purdue-home-cta-carousel__card-image\">\n                                        <div class=\"image is-16by9\">\n                                                                                        <img decoding=\"async\" class=\"purdue-home-background-image\" alt=\"livestock, hog buildings\"\n                                                src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/10\/pexels-nc-farm-bureau-mark-24740509-scaled.jpg\" \/>\n                                                                                    <\/div>\n                                    <\/div>\n                                    <div class=\"purdue-home-cta-carousel__card-content\">\n                                                                                <div class=\"purdue-home-cta-carousel__story-wrap\">\n                                            <p class=\"purdue-home-cta-carousel__story-title\">Rental Agreements for Farm Buildings &amp; Livestock Facilities<\/p>\n                                                                                        <p class=\"purdue-home-cta-carousel__story-content\">Examines the major considerations in developing rental agreements for crop and livestock buildings and facilities from both the owner\u2019s and operator\u2019s points of view.                                            <\/p>\n                                                                                    <\/div>\n                                        \n                                                                            <ul class=\"purdue-home-button-list\">\n                                            <li><a class=\"purdue-home-button\"\n                                                    href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2013\/02\/rental-agreements-for-farm-buildings-and-livestock-facilities\/\"\n                                                    target=\"_blank\">Read more<\/a><\/li>\n                                                                                    <\/ul>\n                                                                                                                    <\/div>\n                                <\/div>\n                            <\/div>\n                                                    <\/div>\n                    <\/div>\n                <\/div>\n                                <div class=\"slider-controls\">\n                    <button class=\"glide__arrow arrow--left\">prev<\/button>\n                    <div class=\"glide__bullets\" data-glide-el=\"controls[nav]\">\n                                                <button class=\"glide__bullet slider__bullet\" data-glide-dir=\"=0\"\n                            aria-label=\"slide 1\"><\/button>\n                                                <button class=\"glide__bullet slider__bullet\" data-glide-dir=\"=1\"\n                            aria-label=\"slide 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data-glide-el=\"track\">\n            <div class=\"glide__slides\">\n                         <div class=\"glide__slide\">\n             <a class=\"purdue-home-cta-card purdue-home-cta-card--story post-type-August 2025 Report \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/paer-publication\/2025-08-paer-purdue-farmland-values-and-cash-rents-survey-results\" target=_self><figure class=\"image is-16by9\"><img decoding=\"async\" alt=\"Purdue Agricultural Economics Report, August 2025: Farmland Values and Cash Rental Rates Survey Results Issue\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/08\/PAER_202508_feature.jpg\"\/><\/figure><div class=\"flex-container flex-container--align-center has-black-background has-no-excerpt\"><p class=\"purdue-home-cta-grid__card-subtitle\"><span class=\"purdue-posttype-tag\">August 2025 Report<\/span><\/p><p class=\"purdue-home-cta-grid__card-title\">Farmland Values and Cash Rental Rates Survey Results<\/p><button class=\"purdue-home-button \">Learn More<\/button><\/div><\/a>  \n             <\/div>\n                          <div class=\"glide__slide\">\n             <a class=\"purdue-home-cta-card purdue-home-cta-card--story post-type-Decision Tool \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/08\/long-run-cash-rent-spreadsheet-tool\/\" target=_blank><figure class=\"image is-16by9\"><img decoding=\"async\" alt=\"\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/10\/accountant-g1c21cba87_640.jpeg\"\/><\/figure><div class=\"flex-container flex-container--align-center has-black-background has-no-excerpt\"><p class=\"purdue-home-cta-grid__card-subtitle\"><span class=\"purdue-posttype-tag\">Decision Tool<\/span><\/p><p class=\"purdue-home-cta-grid__card-title\">Long-Run Cash Rent Spreadsheet Tool<\/p><button class=\"purdue-home-button \">Learn More<\/button><\/div><\/a>  \n             <\/div>\n                          <div class=\"glide__slide\">\n             <a class=\"purdue-home-cta-card purdue-home-cta-card--story post-type-Video Podcast \" href=\"https:\/\/ag.purdue.edu\/commercialag\/home\/resource\/2025\/09\/2025-cash-rental-rates\/\" target=_self><figure class=\"image is-16by9\"><img decoding=\"async\" alt=\"\" src=\"https:\/\/ag.purdue.edu\/commercialag\/home\/wp-content\/uploads\/2025\/09\/Podcast195_thumbnail.jpg\"\/><\/figure><div class=\"flex-container flex-container--align-center has-black-background has-no-excerpt\"><p class=\"purdue-home-cta-grid__card-subtitle\"><span class=\"purdue-posttype-tag\">Video Podcast<\/span><\/p><p class=\"purdue-home-cta-grid__card-title\">2025 Cash Rental Rates<\/p><button class=\"purdue-home-button \">Learn More<\/button><\/div><\/a>  \n             <\/div>\n                          <div class=\"glide__slide\">\n             <a class=\"purdue-home-cta-card purdue-home-cta-card--story post-type-Website Link \" 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