$8.2 Million Acquisition for Gladstone Land
MCLEAN, VA - Gladstone Land made an $8.2 million acquisition of an almond orchard in Merced, California. Of the 761 acres, 742 consist of planted almond trees with five on-site wells supplying irrigation water.
“This is another farm acquisition that will be operated by a premier tenant whom we know well,” commented David Gladstone, President and CEO of Gladstone Land. “This almond orchard is our third acquisition of the quarter, and we continue to have a long list of potential farms to purchase. We look forward to 2019 and believe it will be another good year for us.”
With this acquisition, the company enters into yet another long-term lease agreement with an international agriculture company that currently leases two of its other almond orchards. The newly acquired orchard is nearby to the others currently leased by the premier international tennant, making productive utilization of the land even simpler.
Bill Reimann, Managing Director of Gladstone Lands commented on the latest lease agreement in a recent press release. He explained, “This is especially advantageous to the tenant because both farms can be operated as one."
He continued, "This is another purchase where we acquired only the land, while the tenant retains ownership of the improvements until termination of the lease, at which time the improvements belong to us. We believe this is a low-risk acquisition that will yield a strong cash return.”
With a quarter of heavy acquisition under its belts, and a little black book of farms for future purchase, Gladstone Land will be sitting pretty for the new year. Keep reading AndNowUKnow for the latest in industry acquisitions and innovations.