Cropland rental rates continue to vary widely throughout Minnesota (and other Midwestern states). Landowners and tenants alike are challenged when trying to calculate a fair and equitable land rent value. The North Central Farm Management Extension Committee has recently developed a series of land rent publications and forms that will aid landowners and tenants with determining a land rent value.
The publication series includes a separate document on fixed and flexible cash rental arrangements, crop share arrangements, and pasture rental. Each document includes information on how to select the appropriate rent format, various aspects to consider when developing the rental contract, a set of example calculations and worksheets to aid in the calculation process, and the importance of a written rental agreement. Each publication has an associated rental contract form that can be used as is or modified to fit any specific application.
“The publication series is well done and detailed. It is an excellent resource for both landowners and tenants when entering into a land rental arrangement,” said Gary Hachfeld, Extension agricultural business management educator. The publications are free to the public. “Landowners and operators interested in a copy of the report can contact their local Extension office or go to www.aglease101.org and select the items required," says Hachfeld.