An increasing number of investors are counting on farmland to deliver long term returns. One of the investment companies buying Saskatchewan farmland is Agcapita Farmland Investment Partnership. The Calgary-based Agcapita buys Saskatchewan farmland and rents it back to farmers, with a longer term plan of selling the land for a capital gain. Agcapita claims to have the only RRSP eligible farmland fund in the country. The minimum investment is $10,000. Jim Rogers, advisor to Agcapita Farmland Investment Partnership, is a financial guru and author. Rogers recently gave a speech in Toronto in which he suggested to the assembled investment bankers that they “sell their houses in the city, move to Saskatchewan, buy tractors and farmland and start farming.” A growing number of financial experts believe that farmland is a strong investment, particularly in Saskatchewan where land values remain far lower than any of the neighbouring jurisdictions. Financial experts don’t always pick winners. However, investment capital flowing into farmland is one of the factors currently pushing prices upwards. I’m Kevin Hursh.
Kevin Hursh, PAg, CAC