Expanding demand for residential development across California has created larger metropolitan areas that are placing farms within the path of growth. The Farmland Information Center’s most recent report on the topic indicates that 465,900 acres of California farmland were developed from 2001 to 2016.
Growth over the past several years has continued to increase demand for development and is providing farm operators with good reason to sell their land and relocate their operations to more ideal areas in the Imperial Valley, Palo Verde Valley, San Joaquin Valley, Coachella Valley and coastal Salinas area.
Agricultural land advisor specialists with Land Advisors Organization are being called upon by farmers, with increased frequency, to assist with the complex transition process of selling valuable land for development and purchasing new farmland that meets the needs of their operations.
Additionally, the farming sector is also seeing increased interest from institutional investors, as the amount of farmland in the U.S. has been shrinking at a rate of almost 3 acres per minute, according to The American Farmland Trust. Yet, the world’s population growth is increasing food demand, making farmland appealing to institutional investors and family offices seeking to diversify their portfolios. The combination of these factors is, in large part, generating growing interest by California farmers in evaluating their options.
Land Advisors Organization’s agricultural specialists, led by Bobby Wuertz, in Arizona and California, are focused on providing farming operations with the critical information required to evaluate their current land and farm assets, successfully relocate their operations when required, as well as market their operations to potential institutional investors.
“I come from a multi-generational farming family, and I am a principal with a farming operation, so I understand the daily challenges and the rewards associated with farming,” Wuertz said. “I also have an economics background and work regularly with the investment community and enjoy acting as a bridge that connects these two groups when their interests align, and that time is now more than ever.”
Wuertz, who has nearly a decade of experience in agricultural real estate and a lifetime of farming experience, works with his team to best ensure agricultural land usage continues and farming operations are positioned for success when they transition or expand.
By reviewing and evaluating critical farming factors including soil type, microclimate, processing infrastructure, irrigation rights and infrastructure, zoning and land leasing rights or restrictions, Wuertz and his team advise farm owners on land values, real estate purchases for relocating or expanding their farming operations as well as acquisitions, valuations, and sales of agriculture related assets.
With other advisor specialists at Land Advisors Organization, Wuertz and his team are able to provide farmland sellers with an in-depth understanding of the value of their land to the development and investment markets.