Agricultural Economics Department
Date of this Version
2014
Citation
Cornhusker Economics, University of Nebraska–Lincoln Extension, July 9, 2014
Abstract
As part of the Nebraska Farm Real Estate Mar-ket Survey, panel members are surveyed each year on new or emerging issues related to the agricultural land market in Nebraska. The spe-cial feature recently published as part of the Ne-braska Farm Real Estate Market Highlights 2013-2014 report evaluated the types of con-tractual rental arrangements used in Nebraska to lease agricultural land along with the availabil-ity of grain storage as part of the agreement. · Crop Share: landowner receives a percent-age of actual crop yield as payment for leasing the agricultural land to tenant. Landowner may share input and production costs of raising the crop. · Cash Lease: landowner receives an agreed upon cash payment amount for leasing the agricultural land to the tenant. · Cash Lease with Flexible Provisions: land-owner and tenant set a base cash rental rate which can flex upon actual crop yields, prices, or a combination of the two. Final cash payment made to the landlord for leasing the agricultural land to the tenant may have premiums or discounts made to the base rate depending upon the agree-ments set up by the two parties.
Comments
Copyright 2014 University of Nebraska