info on rental value of pastureland

Discussion in 'Homesteading Questions' started by yankeeterrier, Feb 14, 2005.

  1. yankeeterrier

    yankeeterrier Well-Known Member

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    I have an 11 acre pasture in SW WIsconsin. It was originally used as a feed lot. It has open water year round, a small barn and medium run in shed and a bunk feeder plus 2 automatic waterers in the barn. A beef farmer has approached me about renting it for heifers. How do I determine how much it is worth per month, year round?
    I would appreciate any input

    Dianne
    yankeeterrier@tds.net
     
  2. BCR

    BCR Well-Known Member

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    Dianne, I can't help you with value, but consider a very clear written contract with a way to end it fairly quickly (30-60 days notice)if you change your mind. Put expectations in writing, including erosion or other issues, also hunting rights and minimal care provisions. Your extension agent may be of help here.
     

  3. unioncreek

    unioncreek Well-Known Member Supporter

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    Contact your local county extension agent and ask them what the going rate is for pasture rent. He will probably give you a range in price, but tell him what is all available (barn, etc).

    Bob
     
  4. Jena

    Jena Well-Known Member

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    I agree county extension is a good place to start to find out rates. You can also check with folks at the feed store or sale barn.

    Check your state laws regarding ag leases. They can be very different than other types of leases.

    The extension should even have sample leases you can use.

    Jena
     
  5. rambler

    rambler Well-Known Member Supporter

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    A pasture & a feedlot are 2 different things, and would be rented differently. I'm not sure which direction this thing is headed?

    Pasture is generally rented by the animal unit per month and you need to be concerned with overgrazing, fence maintenence, grass maintenence (fertilizer & lime & reseeding) and such issues. It is difficult for one to pay more than 75 cents a day per pair, often 40 cents is how it works out, can be as low as 25 cents for poorer pasture & low stocking rates. You would not collect anything in winter months, early spring.

    Feedlots are rented per animal per year and are more valuable based on the quality of the structures there. One needs to be concerned about manure removal. Price is very variable, will need local advise & define who is responsible for what - electricity, water, feed storage available, structure maintenence, etc.

    Pastures the landowner doesn't want overcrowding to preserve the long-term asset, while the renter gains by putting as many livestock in as can be supported.

    Feedlot both gain by adding as many livestock as possible, but the liability of enviornmental issues (runoff, smell, etc.) increases and overcrowding stresses fence & buildings moreso.

    In either, the landowner is often the one sued if livestock escape, so be sure your insurance is up to date, or you are legally covered somehow. Can be a difficult issue.

    I'm being pessimistic; with a good renter, all will be fine. Just making you aware of the down-sides & what to look for.

    --->Paul
     
  6. bergere

    bergere Just living Life

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    When we moved here some folks wanted to put their cattle on my land.
    I said No.
    Why,
    Well, first off,, if I want to take a walk with my miniature horses or donkey, I do not want to worry about a grumpy bull or cow.
    Second, I can't afford to take a chance in getting sued. We have insurance but not enough to cover something like that.

    We still need the grass eaten down and can't afford a tractor this year.
    So we are going to buy 3 halter trained Weanlings. Now you say how is this different from renting the pasture out? Well, it will not be 2000lb untrained cattle that someone else owns. I will have some halter trained weanling Steers, that will max out at the most 900lbs when full grown, and be at most 42" tall at the shoulder. They will be used to people, and they are ours, so less chance of getting sued.
    Smaller cattle is less likely to take out your fencing, and run amuck in someone else's garden.

    And what happens if you decide to do something different with your land and the renter will not removed their cattle in a timely manner?

    Like was said before, you will need to way the pros and cons.
    For us, even though we need the money, it is not worth it to take a chance of loosing everything.

    Note* was writting this for pasture rental.
     
  7. yankeeterrier

    yankeeterrier Well-Known Member

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    I hadn't thought about the extension agent, thats a good idea. I've tried asking locals but they have been very vague and little help.

    I'm basically renting the pasture, he has about 12 he wants to put in there now, but says 6-8 for the grazing season. I only mentioned the feed lot aspect because he would have use of the barn, shed, bunk feeder and waterers. They have seperate electricity, but running the well is on my bill. I don't want a feed lot run there, too much traffic, manure, etc.

    Thanks again for the input.
    Dianne
     
  8. Michael W. Smith

    Michael W. Smith Well-Known Member

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    Yes, I agree, call your County Ag agent and ask them. Once armed with that information, ask the farmer what he is willing to pay mentioning the barn, water, etc. If you like his price, explain to him you would like a lease so both him and your are protected, then proceed. If you aren't using it and don't plan to, a little bit of rental money coming in would be nice as it could go towards the upkeep of the barn.