Creating Value For Landowners

Peoples Company, a recognized leader in integrated land management, brokerage, appraisal, and energy solutions with offices across the nation, today announced it acquired Lincoln-based United Farm and Ranch Management (UFARM). UFARM, a nearly 100-year-old land management company, will add 15 employees and four offices, along with more than 90,000 acres of farm and ranch land under management, to Peoples Company's growing team and portfolio.

Interest in real estate and other alternative or Alt-investments has increased substantially in the past couple of years. Forbes magazine, for example, reported that the share of financial advisors recommending Alts to their clients increased from 25% in 2020 to 55% in 2024 (Fred Hubler, 9/10/2024). Among these, agricultural real estate has stood out because of the understood positive correlation with inflation, low correlation with equity returns, and low risk of capital loss with relatively consistent income.

Peoples Company tracks agricultural auctions across the state of Iowa. From this data, we calculate the average dollar per CSR2 point ($/CSR2) for sales of tracts with greater than 85% tillable land. Additionally, these tracts are largely unimproved or include minimal improvement contribution.

The appraisal team at Peoples Company was able to track 90 tracts or 8,791 acres sold at public auction in Iowa during December 2024. The average dollar per acre was $11,076, the average dollar per tillable acre was $12,329, and the average dollar per CSR2 was $175.