2022-08-24 | NYSE: REIT | Press release

Farmland Partners Inc. (NYSE: REIT) (the “” Company; or “” REIT) announced today that it has received notice of a renewable energy tenant planning to begin construction of a new solar power in Clark County, Illinois by the end of the month.

The development, which spans six REIT properties covering 1,542 acres, will generate increased rental income for the company and expand its growing renewable energy portfolio.

The tenant will pay rents that are almost 50% higher than current agricultural rents once construction is complete and will make payments above this higher level during the planned 12-month construction period.

“While working with farmers and supporting their efforts to responsibly feed the world remains our core mission, we also recognize that investing in renewable energy benefits the environment and provides attractive returns to our shareholders,” said said FPI Chairman and CEO Paul Pittman.

FPI’s renewable energy portfolio currently has the capacity to produce more than 110 megawatts of electricity, through three operational wind projects and five solar projects. For perspective, that’s enough electricity to power 20,900 US homes, according to the methodology used by the Solar Energy Industries Association. The planned Clark County development will add additional generating capacity.

While solar projects fully replace agricultural rents, wind projects complement existing agricultural rents because agricultural production can continue around wind turbines. The table below provides an overview of the company’s energy portfolio, including expected revenues from the new solar project once it is operational.

Type of energy


Total Acres

Avg. Energy


Avg. Increase

above the farm

Rent alone


Illinois, North Carolina









*Wind leases are in addition to agricultural leases, as farms can continue agricultural production.

“Including the Clark County project, energy tenants represent nearly $1.5 million in revenue per year,”” Pittman explained. “Given the long-term nature of solar and wind leases — ranging from 15 to 40 years – these projects reduce risk to society and provide long-term protection against inflation.”

REIT also has over 13,700 additional acres of renewable energy projects under option or in various stages of development and planning. Option payments generate, on average, $45 per acre of additional annual income over farm rents.

About Farmland Partners Inc.

Farmland Partners Inc. is an internally managed real estate company that owns and seeks to acquire high quality North American farmland and provides loans to farmers secured by agricultural real estate. As of the date of this release, the Company owns and/or manages over 185,750 acres in 18 states, including Alabama, Arkansas, California, Colorado, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Louisiana, Michigan, Mississippi, Missouri, Nebraska, North Carolina, South Carolina and Virginia. We have around 26 types of crops and over 100 tenants. The Company has elected to be taxed as a real estate investment trust, or REIT, for US federal income tax purposes, beginning with the tax year ended December 31, 2014. Additional information: www.farmlandpartners.com or (720) 452-3100.

Forward-looking statements

This press release contains “forward-looking statements” within the meaning of the federal securities laws, including, without limitation, statements regarding expected returns on farmland acquired, our outlook, proposed acquisitions and divestitures and ongoing, the potential impact of trade disputes and recent extreme weather events on the Company’s results, financing activities, crop yields and prices and expected rental rates. Forward-looking statements can generally be identified by the use of forward-looking words such as “may”, “should”, “could”, “would”, “predict”, “potential”, “continue”, “expect”. , “anticipates”, “future”, “intends”, “plans”, “believes”, “estimates” or similar expressions or their negatives, as well as statements in the future tense. Although the Company believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, beliefs and expectations, these forward-looking statements are not predictions of future events or guarantees of future performance and our actual results could differ significantly from those established. in forward-looking statements. Some factors that could cause such a difference are: the risks associated with the commencement or completion of the construction and development of the solar and wind projects discussed in this press release, anticipated rents on the solar and wind projects relative to existing rents, the timing and amount of rents expected on the solar and wind projects discussed in this press release, the progress of the Company’s other renewable energy projects, general capital market volatility and the price market for the Company’s common stock, changes in the Company’s business strategy, availability, terms and deployment of capital, the Company’s ability to refinance existing debt at or before maturity on favorable terms, or not at all, the availability of qualified personnel, changes in the Company’s industry, interest rates or the general economy, d developments relating to crop yields or prices, the degree and nature of the Company’s competition, the timing, price or amount of repurchases, if any, under the Company’s share repurchase program Company, the ability to complete acquisitions or divestitures under contract and the other factors described in the section titled “Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021 and other documents filed by the Company with the Securities and Exchange Commission. Any forward-looking information presented herein is made only as of the date of this press release, and the Company undertakes no obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unforeseen events or otherwise.

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