Farmland Partners Inc. the “Company” or “FPI” today announced it closed two transactions this week – an acquisition in Illinois and a disposition in South Dakota.
The 78.5-acre row crop farm in Illinois was purchased on Tuesday for $685,000. It is the Company’s first acquisition in Will County, which is in the northeastern part of the state and sits in the Chicago Metropolitan Statistical Area, as designated by the U.S. Census Bureau.
On Wednesday, FPI sold 1,690 acres of South Dakota farmland for $7.8 million to the farmer who was renting the land. The transaction resulted in an approximately 16% gain for the Company.
“We are often willing to sell farmland at a fair price to good tenants as a way to help them grow and improve their businesses,” said FPI Chairman and CEO Paul Pittman. “Even with this sale, the Company continues to be in growth mode, and we are actively seeking new acquisition targets. The recent purchase in Illinois is a prime example of the kind of asset we’re looking for – it’s a productive farm strategically located near marketing hubs and a vibrant tenant base.”
FPI is the nation’s largest publicly traded farmland REIT by U.S. acreage.