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Farmland Partners (FPI) on Buying Spree, Acquires Nebraska Farm

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Farmland Partners Inc. (FPI - Free Report) is in growth mode. The company recently announced the acquisition of 158 acres of farmland in Hamilton County, NE. It marks the company’s second acquisition in the county this month, and the company bought the irrigated row crop farm for $2 million. FPI had earlier purchased 838 acres of the Nebraska farmland for $11.6 million.

The latest acquired farm, which will be leased back to the seller, is situated roughly 16 miles from the 838-acre farm that the company previously purchased. With a good productivity track record, the addition of this latest farm seems a strategic fit. Backed by such expansion efforts, Farmland Partners now enjoys the ownership of 32 farms in Nebraska, encompassing 7,374 acres.

According to FPI’s Chairman and CEO, Paul Pittman, “Hamilton County is in the heart of a fertile seed corn area, and it’s highly regarded for its good soils and water access.”

By U.S. acreage, Farmland Partners is the nation’s largest publicly traded farmland REIT. It focuses on the acquisition of the high-quality North American farmland and makes loans to farmers secured by farm real estate. Presently, Farmland Partners owns and/or manages roughly 185,000 acres in 18 states and has around 26 crop types and more than 100 tenants.

Earlier this month, Farmland Partners shelled out $3.4 million for the purchase of 280 acres of farmland in Illinois. Located in Will County, southwest of Chicago, this corn and soybean farm represents the second farm in the county that the company has acquired this year.

In May, Farmland Partners acquired a 78.5-acre row crop farm in Illinois for $685,000. It marked the company’s first acquisition in Will County. In the same month, FPI shelled out $2.4 million for the acquisition of a 166-acre Illinois farm.

Shares of this Zacks Rank #2 (Buy) company have rallied 16.8% over the past six months against the industry’s decline of 20.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Other Stocks to Consider

Some other key picks from the REIT sector include Extra Space Storage Inc. (EXR - Free Report) and OUTFRONT Media (OUT - Free Report) .

The Zacks Consensus Estimate for Extra Space Storage’s 2022 funds from operations (FFO) per share has moved 1.6% upward in the past month to $8.25. EXR presently carries a Zacks Rank of 2.

The Zacks Consensus Estimate for OUTFRONT Media’s ongoing year’s FFO per share has been raised 7.7% over the past two months to $2.09. OUT sports a Zacks Rank #1 currently.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.


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Extra Space Storage Inc (EXR) - free report >>

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Farmland Partners Inc. (FPI) - free report >>