While Australian farmland as an investment does not a huge amount of publicity, there are some excellent opportunities in Australia. First consider an overview of the appreciation of Australian farmland:
Australian Farmland - history of price appreciation
Furthermore, consider this article we published some time back entitled Arable Farmland and the Case for Agriculture.As noted, China has seen it’s arable land decrease rapidly over the years, and as a result, will have to import increasingly large quantities of agricultural commodities such as wheat. Australia is well placed to meet this demand, and indeed, wheat exports from Australia are poised to increase 13pc in 2013, and we’d wager that a lot of this is going to China. Yes, Australian agriculture and farmland may be a backdoor China Play!
In our most recent post, we outlined the fantastic history of the price appreciation of Australian farmland over the last 20 years. To further support our thesis that investing in Australian farmland is a fantastic opportunity for savvy investors looking off the beaten path, please consider am article last year from the big American investing site CNBC.
The article is entitled Food – The next Commodities Boom for Australia, and it is well worth a read. The article notes that mining and and oil and gas have been a big part of Australia’s success, and that now investors are clear that the next big resource boom coming out of the land down under is Australian agriculture and farmland. If you are interested in looking at GreenWorld’s farmland project in Australia more closely, please do contact us at firstname.lastname@example.org.
One of the questions we at GreenWorld frequently get asked by potential clients about our farmland investment in Australia is the price history of Australian farmland. Our farmland project is located in the western Australian wheat, and we are pleased to note that the average price increase in the last 12 years has been approximately 10%pa, whilst over 22 years it is approximately 15%pa. We are more then happy to provide the details on these figures to any who asks.
Just to highlight the salient fact about our Australian farmland investment:
- Located in the Western Australian wheat belt;
- It is targeted at individual retail investors;
- This is a direct investment in Australian farmland, not a financial fund or ETF;
- The average yearly dividend is targeted at 9%;
- The project offers a GUARANTEED EXIT OPTION of 8 years, so you know when your investment will end and you do not have to worry about how to sell your investment;
- Finally, it is a purely passive investment in farmland. The investing option starts at 50 acres for £20,000 (approximately 31,000 AUD), and everything from the planting to the harvesting to sale of the crop into the marketplace is done for you by the on-site project manager.
Please contact us at email@example.com to learn more about this amazing opportunity.
Invest in Australian Farmland
Let’s say you want to invest in Australian farmland like Jim Rogers. You may also have noticed that farmland investing has also become a huge trend among large institutional investors such as pension funds. What would be the next steps? As we have mentioned previously, Jim Rogers is involved with a couple of farmland investment funds, but even if you are a big fan of Jim’s like we at GreenWorld are, these farmland funds are targeted at the very wealthy, with minimum investment requirements in the hundreds of thousands. .
The good news is, just recently a number of options have been developed for retail investors to invest in farmland. The most common is for a developer to purchase a large tract of agricultural land, and then divide it into individual parcels for sale. GreenWorld is in the forefront of this trend, as we are involved in three large agricultural land projects, including one in Australian farmland. This large tract of agricultural land is then offered to individual investors in increments ranging from as little as one acre in our African and European projects, and 50 acres in GreenWorld’s Australian farmland investment. The key point here is that these are NOT financial funds of any sort, but actually investments in the direct asset of farmland itself.
The investor receives direct ownership of a plot of farmland, and a portion from the sale of crops which constitutes the investor’s yearly income yield. Investors also are entitled to any increase in the capital value of the land. Investors are free to sell their farmland at any time, which is one way they could cash out, whilst we also believe that one or more of these farmland investments will ultimately be acquired by giant institutional investors. In Australia, for example, China’s concern with food stability due to its shrinking arable land is already causing large Chinese state-owned agriculture firms to purchase large amount of Australian farmland.
If you are interested in GreenWorld’s Australian farmland project, please feel free to contact us at firstname.lastname@example.org
Australian Farmland - A Great Investment
For those who may be considering investing in Australian farmland, but have not yet taken the plunge, here is a great graph to consider. As you can see, over the last nine years, Australian farmland has had the greatest increase in value of any other major market researched. On top of that, do not forget the incredible value proposition for investing in Australian farmland:
- Average Price of Farmland in England: Over £6,000/Approximately US$9,300
- Average Price of Farmland in America: Approximately US$10,000
- Farmland Investment’s Australian Project: Approximately US$600
Australian farmland yields less because of its dryer climate, but nowhere close to the 15 times less its’ being priced at. Based on price/yield ratio in England and the US, Australian farmland is undervalued by a factor of three!
If this intrigues you, contact us at email@example.com. We have a farmland investment in Australia
with a reasonably low minimum of(£ 20,000 / AUD30,117.57
Came across a very interest recent article on how Jim Rogers is jumping into Australian farmland in a major way. Jim Rogers is a huge proponent of farmland investing and one of the most brilliant investors of the last 25 years. The fact that he making a big commitment to farmland investment in Australia speaks volumes about the opportunities available in Australian farmland for smart investors.