AcreTrader’s Latest Farmland Disposition Exceeds Projected Returns
AcreTrader’s Latest Completed Investment Demonstrates Historical Strength of Alt Asset Class Amidst Ongoing High Inflation
(Fayetteville, Ark.)— AcreTrader, the land investment platform at the intersection of agriculture, tech, and finance, recently added another successful farm disposition with the sale of a Yazoo County, Mississippi farm. Funded on the AcreTrader platform in February of 2021 and sold in November 2022, the investment resulted in a preliminary IRR of approximately 11.4%, exceeding the initial projected return of 8.3%.
This 976 acre irrigated farm grows corn and soybeans and benefits from strong groundwater and aquifer access within the Mississippi River Delta. AcreTrader received multiple unsolicited offers for the farm, accepting the latest and most competitive offer from a local individual buyer.
This exit comes on the heels of four previous fully completed investments in the past year with higher-than-expected returns attributing farmland appreciation as the largest driver. Together, AcreTrader’s five total dispositions to date have returned a weighted average IRR of 14.1%.
Looking at annual data collected by the USDA and Bureau of Labor Statistics, farmland's historical positive correlation with inflation levels is well-documented for at least the past four decades. A 2020 study published by the TIAA Center for Farmland Research indicated that farmland had a generally positive spread to the Consumer Price Index, a common measure of inflation in the U.S., between 1970 and 2019.
“It’s encouraging to see continued growth in land values drive farmland performance for investors, especially in our current inflationary environment. We’re proud to offer investors exposure to an asset with appreciation and wealth preservation potential,” said AcreTrader Founder and CEO Carter Malloy.
About AcreTrader AcreTrader empowers its customers to buy and sell land smarter through advanced technology, data, and expertise. Since its founding in 2018, AcreTrader has broadened access to buy, sell, and invest in land for thousands of investors, farmers, and landowners across the U.S. Find out more by visiting acretrader.com and explore current offerings at acretrader.com/explore.
AcreTrader brings a fourth investment cycle full circle with the recent disposition of a Mississippi rice farm, with strong results for...
AcreTrader brings three investment cycles full circle with the recent disposition of three farms, with strong results for investors.
FAYETTEVILLE, Ark. – June 15, 2022 – AcreTrader Inc., the land transaction and investment technology company, announced today that it will now...