Ah, the wonders of agriculture investment! It’s one of the smartest real estate choices you can make, with a consistent appreciation rate of 7.4% over the last 20 years. But wait, you say, what if I don’t know much about agriculture? Not to worry, my friend – let’s take a dive into the world of agriculture investment and discover all the different areas you can get involved in. With so many opportunities, you’ll be spoilt for choice! Agriculture Investment was even recently featured in Forbes Magazine! Check out the link here Why You Should Invest in Agriculture.
“Traditional Agriculture”: Farming Done Right
When it comes to agriculture, the first thing you might think of is farmland. Well, there’s so much more to it than just crops and cows. Get ready to broaden your horizons with:
- Cattle – both beef and dairy are lucrative markets that will leave you moo-ving in the right direction.
- Crops – food is a basic human need, and so is the land to grow it on!
- Hay – it’s not just for horses anymore. Hay is a versatile product that can be used for a variety of animals, from cows to gerbils.
- Timber – trees are our friends, and the market for them is always growing. Timber has a variety of uses, from building homes to making paper.
- Horses – who doesn’t love a good gallop? Horses need land to graze and train, and you could be the one providing it.
“Mineral Rights”: Digging Deep
Are you a fan of all things underground? Then you’ll love the mineral side of Agriculture investment. Check out these opportunities:
- Oil and gas – despite its political reputation, oil and gas can still bring in a pretty penny.
- Gravel and dirt – construction, roads, and home improvement projects all need it, and you could be the one providing it.
- Mineral farms – as the world becomes more environmentally conscious, mineral farms are in increasing demand.
- Solar and Wind Farms – the future is bright, and so is the demand for land for solar and wind use.
“Recreational”: Let’s Get Outdoors
Agriculture investment isn’t just about crops and minerals, it’s also about people’s love of the great outdoors! Get ready for some adventure with:
- Hunting and fishing – designated hunting and fishing areas are always in high demand.
- ATV – city life got you down? Let’s hit the dirt and go for a ride.
- Snowmobiling – there’s nothing like the thrill of snowmobiling across a snowy landscape.
- Ziplining – fly through the air and have some fun!
“Limited Development”: Commercial Agriculture
Prefer a more commercial angle with your Agriculture investment? Here are some options:
- Lodging – camping, small cabins, and eco-resorts are all ways to utilize your agriculture land.
- Special venues for events – many people are looking for idyllic outdoor locations to hold events. And who knows, you might just be the one providing it.
- Commercial greenhouses and indoor farming – get in on the cutting edge of agriculture and bring in the green.
“Water”: A Precious Resource
Water is one of the most valuable resources in the world, and having it on your land can bring some big benefits. Consider:
- Irrigation rights – a must for crops and livestock.
- Water sales – supply and demand at its finest.
- Having your own water source – save money and decrease costs with your own source of water.
And let’s not forget the tax benefits! Agriculture real estate sites such as ranches and farmland can qualify for significant tax advantages via tax credits. Dedicate certain areas to land conservation and protect delicate ecosystems while getting some extra cash
At Summit Capital, our investment thesis is centered on the philosophy that real estate syndication provides better returns than other opportunities in the marketplace. By networking across multiple asset classes, we are able to synergize and offer our partners the option to leverage efficient operations that implement sound and value add opportunities, which ultimately lead to high overall yields during ownership.
