Ritchie brothers land rent auction

[iceman]

Input dropping the hammer on 2 more canola contacted farms and another 30 more contracts signed up for this quarter. 20 of which are new farms for SF3's buddies.

Nothing to see here folks. Everyone is rich and pays cash for everything remember.


Iceman out

[Klause]

You guys...


Anyone ever been through that RM? \beautiful flat rock free land.... they grow potatoes, carrots... edible beans...


It's like bitching about $150/ac rent around Portage La Prairie, or Carmen, or potatoeland in Manitoba...


If you gross 1500 an acre and your rent is 150.... is 10%
If you gross 600 an acre and your rent is 60.... is 10%
If you gross 300 an acre and your rent is 30.... is 10%

[Partners]

The difference from the 80's is that interest rates were at 19.75%..we bought a 1/2 section at that time..
But wheat was $8 a bushel to..
Inputs very low compared to now.
Land paid off in 3 yrs.

[Greenlane]

Hey sf3. The reshead land south of Balcarres is rumuored at $125 an acre. To the big shooter from Indian head. Havent heard about the east or Lipton land Redhead land

[Greenlane]

Hey sf3. The reshead land south of Balcarres is rumuored at $125 an acre. To the big shooter from Indian head. Havent heard about the east or Lipton land

[sumdumguy]

Doesn't make sense to me. Maybe if we could grow sugar beets or potatoes, it would be worth $150 to me. Flat, stone-free and irrigated, but with our present rotations we need to catch an updraft to make out well, even at $60/acre.

[sk_wheatking]

This thread is no different than "coffee shop gossip". First of all, I am still having a hard time beleiving someone would pat $150/acre/year. Secondly, my ROI comment is based on pure assumption---I have no idea what that land is worth.

Maybe I need to make a call to the RB Auction territory manager/rep for that area to clear things up.

Interesting none-the-less.

So what then are you setting the record straight? It's total bullshit it's actually the amount for the 3 year term? It's a public auction so how is it coffee talk bullshit? That's the only problem with bidding on land rent is that your privacy is out the window.good for the farmer who rented it out and great for the guy that pays the high rent and makes a go of it, their obviously better than me. You can't have hard feelings over something that has no effect on your life you actually have to be on awe that someone can pay that and still find a way to make ends meet!

[SASKFARMER3]

If they are counting on Canola its the 80s all over again.

I have been looking at updating one drill and tractor to pull the new drill plus sprayer.

Wow is all i can say. Wow.

so will equipment be like the USA consumer of cars. zero equity when trade and maybe you owe way more than your trade is worth so add to new load and in 5 years you owe more than two cars combined.

This land rental makes me think back to the 80s where some neighbours thought the good times would continue to roll on no problems no issues just print money.

Then the drought started first not bad then worse to south. Big hitters left the building in droves packed up back to city to work. All of a sudden the 180 to 160 quarters were going for 40 to 55 or lower and no buyers were found. Because they were trying to keep a float with high interest and loans where they had more owing than it was worth.

The bigger you are the harder you fall, and i don't give a rats ass if your sipping wine with the President of a major bank golfing for free, that sucker wont know you when the shit hits the fan.

Just saying history repeats and its going to again.

Canola 50bu/acre x 10/ bu= $500.00 gross income . Cost of production $450.00/acre. . Thats $50/acre profit. 10,000 acres canola = $500,000.
Canola wheat ($0.00 profit) canola = 1 million profit. Whats wrong with that?
3 years canola 1.5 million profit. Thats even better.

Some landlords are reasonable, they will only ask $135.00/acre. The more you rent the more you save.

how about 14 bpa at $12 , because of 42" rain , how's that pencil out ???

That seems high in our area to the south it is up to 100 plus. But then their is a huge parcel that no one is willing to take for that kind of money just south and West of me for that kind of cash.

we have saw this before . we are almost there , $149/ac is not do-able . I don't think anything over $60 is do-able . maybe where you can grow lentils? certainly not here . no more than $150k selling price was do-able in the eighties . many of those buyers left the business , but far to many were bailed out by the taxpayer and are quite intelligent and important now