Overview
Peoples Company Capital Markets provides separate account asset acquisition and management for individuals and institutions seeking to deploy capital of $20 million or more into the U.S. farmland asset class. Our team implements investment strategies by sourcing, acquiring, and managing appropriate farmland assets on the investor’s behalf. Through the separate account structure, investors have direct ownership gaining control over which assets to acquire, how they are managed, and when to divest of them with the expert advice and assistance of Capital Markets throughout the entire investment life cycle.
PORTFOLIO
Capital Markets collaborates with each client to design an investment strategy that will build a farmland portfolio to meet the client’s objectives. Each farmland portfolio is owned directly by the investor under a separate account structure. Mandates include target capital amount, investment time horizon, production system, regional preference, operating model based on target return and risk tolerance, and relative importance of current yield and capital appreciation in total return.
ACQUISITION
Our team sources deals and conducts initial analysis on each asset to determine if they fit client mandates. Each asset is presented to the client to determine if they would like to move forward. Once a client decides to move forward, Capital Markets coordinates the acquisition and closing process start to finish including letter of intent, purchase agreement negotiation, and closing coordination.
DILIGENCE
After initial interest is expressed in an asset, our team will conduct comprehensive due diligence on the property including historical performance, comparable sales, third-party expertise reports, and financial modeling. All information is shared with the client so they can make a decision about moving forward with acquiring the asset.
BUSINESS PLAN
Business plans are developed and executed that optimize land use and employ technology to monitor and improve investment performance while providing robust, transparent information to investors including financial reviews and farm specific details. Our team addresses net income optimization, operational analysis, capital improvements, as well as sensitivities and scenarios as part of business planning.
FARM MANAGEMENT
Full-service farm management with a focus on sustainability, fertility, water management, and yields to deliver sustainable performance and income optimization. The Capital Markets team coordinates all management decisions and activities with Peoples Company’s farm management division providing boots on the ground expertise including adaptive operating structures, tenant identification, lease negotiation, and performance reporting.
DISPOSITION
Capital Markets assists clients with understanding the market and when to dispose of assets to optimize return. Our team will collaborate with Peoples Company’s experienced land professionals who specialize in traditional listing services, public auctions, and online auctions nationwide. Together, we will determine and implement the proper strategy to distinguish a client’s holdings and ensure maximum exposure. Our sale process includes custom marketing and coordinating closing execution and any Section 1031 exchange strategy.
