Frequently Asked Questions

FarmTogether is a farmland investment firm providing investors with creative capital solutions in real assets. 

Our offerings are curated by an expert team with cross-industry experience across farmland investing, asset management, and tech demonstrated by $2.1B+ of collective capital deployed*. Through FarmTogether's differentiated investment philosophy and process, robust network of industry relationships, and proprietary sourcing engine, Terra, our team is able to efficiently source a diverse range of high-quality farmland deals across the US. FarmTogether specializes in high-value permanent crop acquisitions across prime growing regions of the country, a highly complex market with significant upside potential. 

FarmTogether’s current portfolio is diversified across a variety of metrics, including geography, commodity, deal structure, and investment strategy to fulfill our clients’ unique investment objectives. FarmTogether currently serves accredited and institutional investors via the following investment solutions: Crowdfunded Farmland Offerings, Sole Ownership Bespoke Offerings, Tenancy in Common Offerings* Separately Managed Accounts, and the FarmTogether Sustainable Farmland Fund. 

*Collective capital deployed includes capital invested prior to employment at FarmTogether.

FarmTogether investors enjoy high-quality farmland offerings, a hassle-free fully digital investment experience, and the opportunity to help scale sustainable agriculture. Our all-in-one platform facilitates unparalleled access to this asset class through a variety of products, including crowdfunded farmland offerings, sole ownership bespoke offerings*, tenancy in common offerings*, separately managed accounts (SMAs), and our Sustainable Farmland Fund. *These products are eligible for a 1031 exchange. 

Our data-driven, tech-enabled sourcing and thorough due diligence allow us to offer investors access to a diverse range of high-quality farmland investment opportunities across the United States. With an unwavering commitment to our disciplined and conservative investment philosophy, roughly only 1% of all deals that enter our pipeline are eventually offered on our platform. We specialize in both row crops and permanent crops to fit a broad spectrum of risk/reward appetites. 

We build our portfolio around partnerships with best-in-class operators for each of the crops we focus on. We also have an expert board that brings decades of experience bridging Agribusiness, Technology, Finance, Real Estate, and Agriculture. With their cross-industry knowledge, FarmTogether is well-positioned to bring US farmland investments into the hands of investors around the world, while also providing a beneficial social-economic impact on the fabric of the US agriculture sector.

We are a team of professionals with extensive experience at reputable farmland investing, investment management, agriculture, and ag tech firms demonstrated by $2.1B+ of collective deployed capital*. 

You can learn more about our team here.

*Collective capital deployed includes capital invested prior to employment at FarmTogether.

FarmTogether is a member of Leading Harvest, an innovative nonprofit organization and industry leader in sustainability, which was created by and for all stakeholders across the agricultural value chain. FarmTogether’s agricultural operations have been certified as in conformance with the Leading Harvest Farmland Management Standard.

Please find FarmTogether's 2021 Leading Harvest User Certification Documents here.

The Leading Harvest Farmland Management Standard identifies sustainable farming practices including economic, environmental, social and governance issues and includes measures to efficiently use water, agricultural chemicals and energy to grow crops for useful agricultural products; minimize waste; and conserve soils, water resources and biodiversity. It also takes into consideration the well-being of farmland tenants, employees, contract management company employees, contract farm labor and local communities. Conformance to the Leading Harvest Standard requires awareness and appropriate use of regional agricultural best management practices to advance sustainable agriculture.

FarmTogether’s agricultural operations have been certified as in conformance with the Leading Harvest Farmland Management Standard.

We work with a variety of experienced investment managers, farmland brokers, appraisers, operators, custodians, and advisors. You can find our full list of partners here. 

FarmTogether is not a Real Estate Investment Trust (REIT). Through FarmTogether's crowdfunded offerings, you select the farmland, its location, and the type of crops. The investor has full control of where they invest their capital.

You own units of an entity solely devoted to the ownership and operation of an asset. REIT shares, on the other hand, do not classify as physical ownership of a piece of real estate. 

Investments will typically be structured as interests in a special purpose entity (typically an LLC) that directly owns the farmland. Investors thus would be the ultimate beneficial owners of the farmland itself. A day-to-day operator chosen by FarmTogether will be responsible for oversight, reporting, and overall management of the LLC operation.

Each investment offered by FarmTogether is managed by our 100%-owned subsidiary FarmTogether Management LLC. These rights include, but are not limited to, decisions regarding the sale, leasing, and operations. The rules regarding profit/loss distributions, minimum sale price, and financial reporting are always outlined upfront in the operating agreement of the entity.

For each investment offering, FarmTogether provides a risk/return profile, fee and ownership structure, and all relevant legal documents, including Project Information, Private Placement Memorandum, Operating Agreement and Subscription Agreement.

As part of our commitment to the Leading Harvest Standard, investors also have access to sustainability screening, monitoring and reporting throughout the investment process.

Through both our proprietary sourcing technology and strategic partnerships, we review a mix of on-market and off-market opportunities across the United States. 

Our process starts with the global macro view: we take into account climate change, water availability, structural regional trends, regulatory landscapes, and long-term trends in agricultural yields.

Next, we dive deep into the end markets for the farm products we target, analyzing supply, demand, consumer preferences, marketing, regulations, and new product development to arrive at a long-term view on price and valuation trends.

Third, we conduct a property analysis incorporating over 150 data sets from public, private and proprietary data sources. We then apply our proprietary technology and investment expertise to zero in on the best investment opportunities in our target geographies and crops.

Finally, we then look at all the due diligence items relevant to the specific farm. We use a 105-point checklist to evaluate each property, which includes soil, leaf, water, capital improvements, title, local legislation, depth of the supporting farming ecosystem, cost of inputs, farmworker wages, and more. 

More in our Investment Process & Philosophy here.

FarmTogether has adopted an Allocation Policy that outlines the procedures for allocating investment opportunities across our investment vehicles. This Policy is reviewed on a periodic basis by FarmTogether’s Investment Committee to ensure it is up-to-date and is working as intended.

Our available investments are all 3(c)(5) funds (investments solely in real estate); the investment adviser rules regarding registration do not apply to FarmTogether.

Our crowdfunded offerings are considered private placements and are advertised under Rule 506(c) of Regulation D as established by the SEC. Although our offerings are not publicly traded securities, our securities offerings are still subject to applicable U.S. securities laws and regulations.

FarmTogether serves accredited investors, family offices, advisors, and institutional investors worldwide. 

To qualify as an Accredited Investor you must meet the SEC's definition:

• Earn an annual income of over $200,000 per year for the last two years ($300,000 per household) with the expectation of maintaining such level of income this current year.
• Have a net worth of greater than $1 million (individually or jointly), excluding the value of a primary residence.
• Invest as a bank, an insurance company, registered investment advisor, business development company, or small business investment company.
• Invest as a business in which all the equity owners are accredited investors.
• Invest as an employee benefit plan, a trust, charitable organization, partnership, or company with total assets over $5 million.
• Is a “knowledgeable employee” of certain investment funds or holds a valid Series 7, 65 or 82 license.

To make your first investment through FarmTogether, first you'll need to set up your FarmTogether account. To do so, click the "Sign Up" button on the homepage. After completing your investor profile, you'll be able to participate in an investment offering. 

When you are ready to make your first investment, log in to your FarmTogether account, visit the offering page, and then click the "Invest" button. Following that, choose your desired allocation amount via the slider and then click "Invest". Next, select or add an account to invest with, or choose to wire transfer your funds. You will then be asked for proof of accreditation before signing an electronic agreement. Once you've signed and confirmed your investment, you will receive final payment instructions.

Farmland produces returns in two ways: income and appreciation. 

Income is generated through rental payments via lease agreements (row crops) or direct management contracts (permanent crops), as well as the revenue generated by farming operations. 

Appreciation will be realized upon sale of the property - the difference between the purchase and sale prices. Gains are generated from property improvements and long-term trends driving rising land prices.

Lease payouts are typically made on a quarterly, semi-annual or annual basis and are automatically deposited into investors' bank accounts. The size of distributions (annual) depends on your investment allocation, as well as the negotiated lease payments. Investors can track upcoming lease payments and distributions to date through our platform. You will receive returns from farmland price appreciation at the end of the hold period. 

We require a low minimum investment of $15,000 for our crowdfunded offerings. The minimum investment for our other products is $100,000 for our Sustainable Farmland Fund LP and $3,000,000 for our bespoke channel.

FarmTogether evenly allocates our farmland offerings across our three different investment products (Crowdfunding, Fund, or Bespoke) via a “round robin” style approach. Via this approach, the investment product that has gone the longest without seeing a recent deal has the right of first refusal for the new deal.

A "U.S. person" is defined as:

1. Any natural person resident in the United States;
2. Any partnership or corporation organized or incorporated under the laws of the United States;
3. Any estate of which any executor or administrator is a U.S. person;
4. Any trust of which any trustee is a U.S. person;
5. Any agency or branch of a foreign entity located in the United States;
6. Any non-discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary for the benefit or account of a U.S. person;
7. Any discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary organized, incorporated, or (if an individual) resident in the United States; and
8. Any partnership or corporation if:
   1. Organized or incorporated under the laws of any foreign jurisdiction; and
   2. Formed by a U.S. person principally for the purpose of investing in securities not registered under the Act, unless it is organized or incorporated, and owned, by accredited investors (as defined in Rule 501(a)) who are not natural persons, estates or trusts.
       

The following are not "U.S. persons":

1. Any discretionary account or similar account (other than an estate or trust) held for the benefit or account of a non-U.S. person by a dealer or other professional fiduciary organized, incorporated, or (if an individual) resident in the United States;
2. Any estate of which any professional fiduciary acting as executor or administrator is a U.S. person if:
   1. An executor or administrator of the estate who is not a U.S. person has sole or shared investment discretion with respect to the assets of the estate; and
   2. The estate is governed by foreign law;
3. Any trust of which any professional fiduciary acting as trustee is a U.S. person, if a trustee who is not a U.S. person has sole or shared investment discretion with respect to the trust assets, and no beneficiary of the trust (and no settlor if the trust is revocable) is a U.S. person;
4. An employee benefit plan established and administered in accordance with the law of a country other than the United States and customary practices and documentation of such country;
5. Any agency or branch of a U.S. person located outside the United States if:
   1. The agency or branch operates for valid business reasons; and
   2. The agency or branch is engaged in the business of insurance or banking and is subject to substantive insurance or banking regulation, respectively, in the jurisdiction where located; and
6. The International Monetary Fund, the International Bank for Reconstruction and Development, the Inter-American Development Bank, the Asian Development Bank, the African Development Bank, the United Nations, and their agencies, affiliates and pension plans, and any other similar international organizations, their agencies, affiliates and pension plans.

All required legal documents can be signed electronically through FarmTogether's secure, online platform to provide maximum security of our investors' information. Investments are finalized as soon as legal documents are accepted, funds are received, and the overall offering is closed.

There are currently no tax incentives for cash rent farmland. For individual accredited investors, rental income is taxed on a Schedule E, IRS Form 1040. Capital gains are taxed when farmland is sold above the purchased price. Occasionally, a property will have a pass-through of depreciation and other tax deductions, in which case that will be clearly outlined in the offering documents. This material has been prepared for informational purposes only, as FarmTogether does not provide tax, legal, or accounting advice. You should consult your advisors before engaging in any transactions.

All tax and financial documentation related to your investment are uploaded to the investor dashboard within your FarmTogether investor portal.

This is a fully managed investment that requires no involvement on your part. FarmTogether Management LLC, a 100% owned FarmTogether Inc. company, manages the investment properties on your behalf.

Our fees vary by deal and product. Please find our fee structure broken down by product here.

Your investment will be marked as “pending” in your portfolio until FarmTogether receives and clears your funds. Your investment will become active in up to 5 business days from the date funds are debited from your account.

FarmTogether offers a range of institutional-quality farmland opportunities suited to fit a variety of portfolio needs; through the FarmTogether platform, investors can review each property’s risk/return profile, fee, and ownership structure, on-farm sustainability practices, legal documents, and more. 

Our platform makes it easy for investors to add farmland to their portfolios through low investment minimums and without having to conduct their own on-site due diligence - we take care of this for you.

We provide a seamless and secure online experience, where account setup, accreditation document upload, and payment selection can be completed in minutes. Once the investment is confirmed, investors can track their portfolio’s performance over time within the FarmTogether portal. 

Yes, FarmTogether accepts investments from international investors from FATF countries.

We do not accept investments from non-accredited investors at this time. However, we are actively researching ways that we can open up our investment offerings to all users in the future. 

FarmTogether can verify an investor's accreditation through a variety of ways, including:

1. Income Above $200,000: Tax document for each of the last two years. Documentation for each year should show individual income above $200,000.
2. Net Worth of $1,000,000 (Net worth, either individually or household, of at least $1,000,000): At least one asset document and a full credit report showing liabilities.
3. Verification via Parallel Markets: Accreditation through our partner, Parallel Markets.
4. Third-Party Verification: A certificate or letter verifying investors’ accreditation from a third-party lawyer, accountant, broker, investment advisor, or online service.
5. Professional Licenses: Series 7 or Series 82. We do not currently support Series 65 licenses.

Through our crowdfunded product, accredited investors have access to fractional shares of high-quality farmland with a low investment minimum of $15,000. Through our all-in-one digital platform, investors are able to browse carefully vetted farmland investments, review due diligence materials, and sign legal documents, seamlessly online.

Our Crowdfunded offerings are available to accredited investors worldwide. To qualify, you must meet the SEC's Accredited Investor definitions:

• Earn an annual income of over $200,000 per year for the last two years ($300,000 per household) with the expectation of maintaining such level of income this current year.
• Have a net worth of greater than $1 million (individually or jointly), excluding the value of a primary residence.
• Invest as a bank, an insurance company, registered investment advisor, business development company, or small business investment company.
• Invest as a business in which all the equity owners are accredited investors.
• Invest as an employee benefit plan, a trust, charitable organization, partnership, or company with total assets over $5 million.
• Holds a valid Series 7 or 82 license.

We require a low minimum investment of $15,000 for our crowdfunded offerings. 

To make your first investment through FarmTogether, first you'll need to set up your FarmTogether account. To do so, click the "Sign Up" button on the homepage. You will then need to create an investor account and submit proof of accreditation. From there, you will be able to participate in an investment offering. After completing your investor profile, you'll be able to participate in an investment offering. 

When you are ready to make your first investment, log in to your FarmTogether account, visit the offering page, and then click the "Invest" button. Following that, choose your desired allocation amount via the slider and then click "Invest". Next, select or add an account to invest with, or choose to wire transfer your funds. You will then be asked for proof of accreditation before signing an electronic agreement. Once you've signed and confirmed your investment, you will receive final payment instructions.

Our fee structure is aimed to be lower than the industry average. We achieve this by designing an online self-service platform and embracing technology in finding and acquiring farmland. Our fees vary for every deal and are listed on each investment opportunity's page.

Our firm aims to bring our investors a range of diverse opportunities, across deal structures, commodities, and geographies. 

We target both permanent crops (e.g. wine grapes, tree nuts, and citrus) and row crops (corn and soybeans), focusing on locations with strong water availability, high-grade soils, and within the networks of our preferred operators. 

To date, we have active properties in CA, WA, OR, OK, IL, ID and NE across 14 crop types. We are actively reviewing properties across new geographies and commodities in order to provide an array of opportunities to meet our clients' diverse preferences and needs.

Our team is highly selective and committed to bringing high-quality properties to our investors; less than 1% of all deals that enter our pipeline are eventually offered to investors. We aim to bring a new property to our platform every month but this can vary depending on the quality of properties we see. 

We notify investors via email a few days before an offering goes live. The email provides a high-level overview of the offering, a link to register for the live pre-launch webinar, and the date by which the offering will become available to investors.

An allocation to a crowdfunded property should be viewed as a long-term investment. We currently do not have a secondary market for investors to resell their interests to other investors and it is unlikely that a secondary resale market will develop, or if it does develop, that it will provide investors with liquidity for their investment.

Yes, FarmTogether accepts investments from in our Crowdfunded offerings international investors except those from countries on the FATF's black and grey lists.

Investors will receive a K-1 for each crowdfunded property they invest in. K-1s can be accessed within your FarmTogether investor portal.

In the event that we are unable to raise all of the necessary capital from investors for a property, we would return all committed capital including the one-time administrative fee to investors. However, to date we have been able to successfully syndicate every deal that has been brought to the platform.

FarmTogether's Fund provides accredited and institutional investors with access to a diversified portfolio of high-quality farmland through a single allocation. Unlike our Crowdfunded product which enables a pick-and-choose approach when selecting properties, locations, and crop types to invest in, the Fund is geared towards investors who prefer diversified exposure to farmland via a more hands-off approach. 

Unfortunately, the Sustainable Farmland Fund is available to US Accredited investors only; however, our Crowdfunding investments are open to international investors based in FATF-approved countries, and the minimum investment is $15,000.

Northbrook

Trident Fund Services

For a limited time, we’re offering a reduced investment minimum of $50k for the Sustainable Farmland Fund. The minimum for follow-on investments is $25,000. The minimum commitment for an initial investment for Class I Interests in the Fund is $5,000,000. The minimum for follow-on investments is $250,000.

NAV will be updated quarterly based on our desktop appraisals, subscriptions, and redemptions from the Fund. New investors will come in at the most recent NAV.

Yes, funds can be added at a later date, the basis for additional capital would be based on the latest NAV. The new capital would be locked up for two years from the new commitment date.

It is an open-ended vehicle - so there is no set cap or timeframe - but we fully expect to reach a good level of diversification similar to the targeted portfolio construction listed on the webpage in 12-24 months depending on the pace of capital raised.

Our target portfolio for the Fund is 15-25 properties that are both wholly owned by the fund and partially owned deals alongside the crowdfunding platform.

Investors receive one K-1 for the Fund. The Fund has a separate tax partner, and K-1s were issued by mid-March this year. The Fund may have filing requirements in States for which the Fund holds Title to the underlying real property. Furthermore, the Fund may have State Residency filing requirements depending on the States from which the Fund's Partners or Shareholders reside, live and/or are domiciled. The Fund will regularly consult with tax providers to determine if and to what extent the Fund has State Tax Filing requirements.

One of the key objectives of our Sustainable Farmland Fund is to make an annual net distribution of 4-6%. We intend to focus the portfolio on permanent crops rather than row crops. The Fund's target allocation to row crops is 10% since most row crop deals yield below 4%. On the permanent crop side, our crowdfunding platform has historically comprised many development deals, approximately 40% of our portfolio. Development deals will be less emphasized in the Fund since those properties often take several years to generate income and since we want to meet a 4% minimum distribution annually, it is not appropriate to have a high allocation to development deals. Finally, we do have an allocation policy in place to ensure a fair distribution of opportunities to both channels, and the Fund even has the ability to take minority ownership of crowdfunded offerings.

We provide Capital Account and Fund updates statements on a quarterly basis.

The Fund provides investors with passive income from both farm net operating income (crop sales) and rental income. We expect to pay distributions in Q4 of each year. Our target distribution is 4-6%.

Agricultural ETFs can work for investors seeking exposure to the short-term price action in agricultural commodities, primarily row crop and livestock prices. 

The FarmTogether Sustainable Farmland Fund, on the other hand, offers investors long-term exposure to both row crops and permanent crops, such as nut trees, fruit trees, citrus, and vines, as well as exposure to the real property itself. Unlike commodity prices, which can be volatile, farmland real estate has been a historically stable and secure investment; farmland has been remarkably resilient during economic turmoil. We expect farmland’s positive performance to continue in the coming decades, driven by the growing global population and a decrease in the supply of productive farmland. 

The Fund will also provide investors with passive income from both net operating income (crop sales) and rental income, whereas ETFs do not have this advantage.

The Fund may have filing requirements in States for which the Fund holds Title to the underlying real property. Furthermore, the Fund may have State Residency filing requirement depending on the States from which the Fund's Partners or Shareholders reside, live and/or are domiciled. The Fund will regularly consult with tax providers to determine if and to what extent the Fund has State Tax Filing requirements.

The Sustainable Farmland Fund is a new FarmTogether product. We made the first acquisition in the Fund, Stanley Pistachio Orchard, in September of 2021 after raising the initial capital required with an anchor RIA. This property is located along the Sacramento River in northern CA and has excellent water security. The property appreciated 4% in 6 months.

Not necessarily. It is possible the Fund could do so through an arm's length transaction, but it is also possible we would sell to an external buyer.

Redemptions can be requested following the two-year lock-up from the investor's capital contribution. The Partnership can redeem up to 2.5% of the aggregate Capital Account balances of all Limited Partners. Withdrawing investors must notify the Partnership at least three months prior to the Withdrawal date. In the event withdrawals cannot be honored in full as a result of the Withdrawal Limit, the Partnership will honor the withdrawals to the extent possible from available funds in proportion to the amount each investor seeks to withdraw as of such Withdrawal Date. To the extent that withdrawal requests as of a Withdrawal Date are not honored in full, the unsatisfied portion shall be deemed to be a withdrawal request as of the next Withdrawal Date, and succeeding Withdrawal Dates until it is honored in full, unless the investor elects to withdraw its withdrawal request. Withdrawal requests that are not honored for a given Withdrawal Date shall be treated pari passu with any new withdrawal requests for the succeeding Withdrawal Date.

Yes, distributions can be reinvested rather than paid out. Dividends and distributions are tax-free events in a partnership-taxed entity. Your income is determined independently of whether it is retained or distributed.

The two-year lock up begins on the date of the capital call. If a follow-on commitment is made, there is a two-year lock up from that date for the new funds.

A subscription to the Fund can be made at any time; however, we issue capital calls quarterly or as needed for acquisition.

A core distinction is that evergreen funds are permitted to recycle capital after an exit while open-ended funds distribute it to investors. The core advantage of such funds are that they have more flexibility. Without an end date and with the ability to raise more capital, they can truly focus on long-term capital appreciation for investors. Managers can focus on capital appreciation without time barriers.

Our fees are dependent upon the amount of your investment in the FarmTogether Sustainable Farmland Fund. The Class A shares have a $100,000 investment minimum and have the following fee structure: 1.25% annual management fee, 2% acquisition fee, and a 15% incentive fee over a 6% cumulative hurdle rate. The Class I shares have a $5,000,000 investment minimum and have a lower incentive fee of 10% over 6% cumulative hurdle rate. Please refer to the Private Placement Memorandum for more information. 

The Fund targets a portfolio of 50% tree nuts, 25% tree fruit, 15% citrus, and 10% row crops. In terms of geography, the Fund is expected to have sufficient diversification: 40% California, 30% WA & Upper Midwest, 20% Oregon, and 10% Arizona and Oklahoma.

Our investment offerings are available for accredited investors. To be an accredited investor, one of the following must be true: (1) you have (and expect to continue to have) an annual income of greater than $200k for the past two years, (2) you have (and expect to continue to have) joint annual income with your spouse of greater than $300k for the past two years, (3) you have a net worth (excluding your primary residence) of greater than $1M, or (4) you hold one or more of financial services licenses Series 7 or Series 82 in good standing.

The FarmTogether Bespoke product allows an individual or entity to render sole ownership of a farm of their choice. Our team works with an investor to understand their specific needs such as investment hold period, risk-return profile, and capital allocation, and our team then identifies a suitable investment property based on those parameters. The legal, tax, and capital structure of the property are also fully customizable.

Our Bespoke offerings are available to accredited investors worldwide. To qualify, you must meet the SEC's Accredited Investor definitions:

• Earn an annual income of over $200,000 per year for the last two years ($300,000 per household) with the expectation of maintaining such level of income this current year.
• Have a net worth of greater than $1 million (individually or jointly), excluding the value of a primary residence.
• Invest as a bank, an insurance company, registered investment advisor, business development company, or small business investment company.
• Invest as a business in which all the equity owners are accredited investors.
• Invest as an employee benefit plan, a trust, charitable organization, partnership, or company with total assets over $5 million.
• Is a “knowledgeable employee” of certain investment funds or holds a valid Series 7, 65 or 82 license.

The investment minimum is $3,000,000 in equity per farm.

If you are interested in our sole ownership bespoke offerings, the first step is to set up an introductory call with our investment team. A dedicated investment representative will work 1:1 with you to identify the type of property that meets your desired characteristics and investment objectives. 

You can set up the introductory call here. 
 

The investment process will look as follows:

Step 1 - Introductory Call: We’ll work with you to identify your target criteria, to include: desired deal size, leverage, hold period, target returns, early income, high yield, diversification, and other special preferences. You can do so here. 

Step 2 - Preliminary Investment Recommendation: Our team will work with you to identify your target criteria, to include: desired deal size, leverage, hold period, target returns, early income, high yield, diversification, and other special preferences. From there, our investment team will work to identify and provide preliminary investment recommendations (PIRs) for properties that fit your desired criteria. 

Step 3 - Feedback Loop: You’ll provide us with feedback on our PIRs. If these properties fit your desired criteria, we’ll begin deeper due diligence. If they do not, we’ll refine our search based on your feedback.

Step 4 - Deal Selection: Upon identifying a property that you would like to pursue, our team will submit a letter of intent on behalf of you. If the LOI is mutually accepted, we’ll submit a deposit and begin confirmatory due diligence.

Step 5 - Confirmatory Due Diligence: Confirmatory due diligence typically takes 30-45 days; this includes water tests, soil tests, tree health tests, and more. If the property passes, we will look to close escrow and transfer title.

Step 6 - Property Management & Performance: Our team will provide the ongoing management and monitoring of the property, as well as all accounting, distributions, and the preparation and timely issuance of any pertinent tax documents.

Yes, international investors based in FATF-approved countries are eligible to invest in a Bespoke offering.

Yes, farmland properties are considered "like-kind" for IRS Section 1031. The minimum investment for a 1031 Exchange through FarmTogether's Bespoke product is $3,000,000. 

FarmTogether provides Bespoke investors with the financial statements needed for tax preparation and reporting.

Yes, Bespoke investors have control over the property, including a decision to sell the property or terminate FarmTogether as asset managers. We rely on our operating partners for agronomic choices as that is their area of expertise.

Not necessarily; capital calls may be more appropriate for a property that is going to be developed. A turnkey property will have minimal or no capital calls.

We would charge a 2% One-Time Administrative Fee on the total size at the time of closing the deal. From there, we will work with investors to create a fee structure that works best for the investor and ensure there is alignment across all parties. We can work to create a schedule that focuses on flat management fees or fees based on the operating income of the property.

Privately managed portfolios of high-quality farmland with flexible and customizable investment mandates.

1. Expert team with cross-industry experience across farmland investing, asset management, and technology. 
2. Access to a diversified portfolio of farmland of farmland across a variety of metrics, including geography, commodity, acreage, list price, deal structure, and investment strategy. 
3. FarmTogether specializes in high-value permanent crops across prime growing regions of the country, a highly complex market with significant upside potential.
4. Our firm has a proven track record and is currently delivering portfolo performance across multiple dimensions despite macroeconomic headwinds.

Investment minimums start at $10M for single-asset opportunities and $20M for multi-asset portfolios.

FarmTogether's pipeline is currently valued at $1.3B.

Tenancy in common (TIC) is a form of real asset ownership in which two or more persons have an undivided, fractional interest in the asset. Each co-owner receives an individual deed at closing for his or her undivided percentage interest in the entire property. In brief, a TIC owner has the same rights and benefits as a single owner of property.

A TIC is considered real asset ownership in the US tax code, and thus is eligible for a 1031 Exchange, which allows for property owner to defer capital gains tax through a like-kind exchange.

Many of our crowdfunded opportunities are eligible for a TIC investment starting at $500,000 unless explicitly stated otherwise.

No, an investor can participate in as many TIC offerings as they wish. However, FarmTogether does limit the number of TIC investors in a given property, and TIC interests are allocated on a first come first served basis.

A 1031 Exchange is a like-kind exchange that occurs when proceeds from the sale of investment property are used to acquire a new investment property. The sale of the relinquished property would normally be a taxable event; however, if conditions of a 1031 Exchange are met, capital gains are not immediately recognized and associated tax liabilities may be deferred. IRS Section 1031 and like-kind 
Exchange tax benefits have been around for over 100 years.

All opportunities offered through FarmTogether are investments in real properties. Every offering is intended to be held for multiple years and is therefore eligible to meet the holding period requirement. These farmland offerings range from crowdfunding exchange opportunities requiring a minimum investment of $500,000 or bespoke offerings requiring a minimum investment of $3,000,000. Though the like-kind requirement must be assessed on a case-by-case basis for every 1031 Exchange, farmland property through FarmTogether commonly satisfies the like-kind condition. Farmland is eligible real property and can typically be exchanged with a variety of properties including apartments, hotels, office buildings, parking garages, or warehouses. FarmTogether also works directly with external legal counsel during the exchange to ensure your investment is structured efficiently and correctly.

1031 Exchanges are an effective way to avoid paying capital gains taxes. If you meet the exchange requirements and are interested in an asset with decades of historical strong performance, consider whether farmland makes sense to hold in your portfolio. Get in touch with us via info@farmtogether.com.

You have 45 days from the sale of the relinquished property to identify the potential replacement property. The entire exchange process must conclude within 180 days of selling the relinquished property. The exchange must also be completed before the next Federal tax return filing deadline following the sale of relinquished property. There is also an unspoken deadline regarding how long a property acquired via 1031 Exchange must be held. Though tax legislation is technically silent on the matter, a 1984 private letter issued by the IRS stated a holding period of two years was sufficient.

“Like-kind” defines the nature or characteristics of the property, not the quality or grade of the property. The relinquished property and the replacement property must both be held for productive use in business or for investment. Real property can only be exchanged for real property, although you could sell one type of property and buy a different type of property. For example, the sale of an office building and purchase of farmland meets the like-kind exchange requirement. Eligible like-kind property can also be intangible such as air rights, easements, options, leases, oil and mineral rights, or development rights.

Certain properties like franchise licenses, aircraft, and equipment used to be eligible, but the Tax Cuts and Jobs Act disqualified these assets. Personal-use properties, vacation homes that are not used as rental properties, primary residences, and properties located in foreign countries are all also excluded from 1031 Exchanges.

A 1031 Exchange transaction will be disqualified if you are in actual or constructive possession of any non-like-kind property including money or personal property received for the sale of relinquished property prior to receiving the replacement property. The 1031 Exchange must be facilitated through a safe harbor to preserve the 1031 Exchange status.

There’s no limit to the number of 1031 Exchanges you can perform, and there’s no limit to the number of times a single property can be exchanged.

All like-kind exchanges are reported using Form 8824. You must provide descriptions of the properties exchanged, the dates the properties were identified or transferred, and the value of the properties. You must also define what relationships you have with other parties in the exchange transaction.

If you’re holding investment property that had been part of a 1031 Exchange at the time of your death, your heirs receive a stepped-up basis for the property. The property is immediately recognized at its fair market value, and historical gains are now included in the valuation of the building.

FarmTogether allows you to fund your investment via ACH or wire transfer.

Yes. If you are considering a 1031 exchange for your commercial property or farmland, FarmTogether provides the accommodation services compliant with Internal Revenue Code Section 1031 and can source investment opportunities that meet your requirements. Get in touch with us via info@farmtogether.com.

Farmland is a buy and hold proposition where the liquidity is tied to the sale of an asset. The investments may be difficult to sell quickly. As a result, our ability to promptly sell properties in response to changing economic, financial, and investment conditions may be limited. Return of capital and realization of gains, if any, from an investment generally will occur upon disposition or refinancing of the underlying property. FarmTogether may be unable to realize investment objectives by sale, other disposition or refinancing at attractive prices within any given period of time or may otherwise be unable to complete any exit strategy..

Each investment is a unit in a separate Delaware LLC that owns the title to the land. All investors retain their legal ownership in this LLC independent of FarmTogether. In the event of our bankruptcy, we will aim to secure an external manager to continue to operate the LLCs per the existing agreements.

Sufficient water is essential to farming. Accurately evaluating the water sources and rights to a potential purchase is a key step in our due diligence process. FarmTogether expects to acquire properties with sufficient water access or negotiate the purchase price accordingly and budget for the required development. However, there may be a need to develop an additional water source in the future, like drilling a well. State and county permits to drill wells may be difficult or costly to obtain, particularly in areas where there is a limited supply of water. Furthermore, a property may be subject to governmental regulations relating to the quality and disposition of rainwater runoff or other water to be used for irrigation. We may incur costs to retain this water and comply with such regulations. If we are unable to obtain or maintain sufficient water supplies for our properties, or the costs incurred to obtain or maintain the water supplies cause the farming operation to be less profitable, this could have a materially adverse impact on the results of operations and value of the property. Ultimately, impeding FarmTogether’s ability to make distributions to investors.

FarmTogether offers a diverse set of investment solutions that provide financial advisors and wealth managers with multiple avenues to access high-quality farmland.

The FarmTogether Sustainable Fund, launched in 2022, was designed with advisors and their clients’ needs in mind. The Fund provides investors with access to a diversified portfolio of farmland via a single allocation. Additionally, we have Separately Managed Accounts (SMAs), Crowdfunded offerings, sole ownership Bespoke offerings, and Tenancy in Common (TIC) offerings. 

Despite being one of the oldest asset classes, farmland has remained underrepresented in investors’ portfolios due to the fragmentation of land ownership, high capital requirements, and unique knowledge and experience to underwrite properties. FarmTogether offers a diverse set of investment solutions to help overcome these barriers to entry and enable greater accessibility to advisors. 

Farmland investments have an attractive track record of uncorrelated returns with low stability relative to competing assets. 

The value of farmland is not solely reliant on market sentiment or economic conditions, meaning farmland returns have been historically uncorrelated to conventional assets, such as stocks, bonds, real estate, and short-term agricultural commodity prices, as well as broader market indices. Since 1992, farmland has experienced net positive growth each year, averaging 10.52% in total annual returns. This performance has outpaced real estate (7.84%), equities (10.07%), bonds (4.67%), and REITs (9.21%). 

Moreover, farmland returns have experienced historically less volatility. Between 1992 and 2023, the NCREIF Farmland Index had a standard deviation of 6.61%; in comparison, the volatility of the S&P 500 was 17.71%.

Farmland can be a suitable allocation for various investment objectives, whether your clients are looking to diversify from traditional investments, such as equities and fixed income, or those who wish to reallocate capital from other real asset strategies.

Farmland has historically been a defensive and resilient asset, delivering attractive risk-adjusted returns throughout the economic cycle, and even during inflationary periods. Farmland’s return profile is twofold: appreciation of the land and cash flow from either rental income or crop income. 

Due to its historically attractive appreciation and income potential, a farmland strategy can be beneficial for both short- and long-term strategies.

As traditional portfolios continue to be tested by uncertain macroeconomic and geopolitical conditions, as well as persistent inflation, farmland may offer investors counter-cyclical exposure and downside protection for their portfolios.

The value of farmland is not solely reliant on market sentiment or economic conditions; rather, its value is influenced by a combination of agricultural-specific factors, such as crop prices, changing consumption habits, and long-term supply and demand dynamics. As a result, farmland returns have historically exhibited a low correlation with other asset classes, offering welcome diversification. Moreover, farmland’s historically low volatility can help provide overall stability, even during adverse market conditions. 

Farmland is a historically attractive asset that can help advisors diversify their clients’ portfolios and optimize returns.

FarmTogether is focused on offering specialized and innovative farmland investment solutions to investors - both individual and institutional - curated by an expert team with experience at leading institutional farmland and asset management firms. 

Over 70% of US farms are less than $10 million in value, a market that is largely overlooked by large allocators in the asset class. By leveraging a greater degree of agility and flexibility in decision-making and deal structures, alongside our cornerstone relationships (off-market) and proprietary technology, our expert team is able to tap into the fragmented $3 trillion US farmland market – bringing a range of opportunities to investors of all sizes. 

We specialize in high-value, permanent crops in prime growing regions of the country, including California, the Pacific Northwest, and the Upper Midwest, and build our portfolio around partnerships with best-in-class operators for each of the crops we focus on.

The Fund equips advisors with a compelling alternative investment product to further differentiate their clients’ portfolios. The Fund provides access to a diversified portfolio of institutional-grade farmland, including exposure to permanent and row crops in prime growing regions of the country, through a single allocation. The Fund targets a net IRR of 8-10%.

The Fund provides investors with passive income from both farm net operating income (crop sales) and rental income. We expect to pay distributions in Q4 of each year. Our target distribution is 4-6%.

Investors receive one annual K-1 for the portfolio of properties. Additionally, FarmTogether provides investors with quarterly capital account statements and quarterly market commentary. 

Redemptions can be requested following the two-year lock-up from the investor's capital contribution. The partnership can redeem up to 2.5% of the aggregate Capital Account balances of all Limited Partners.

We would love to learn more about your farm. Please share more info here or contact us at info@farmtogether.com and we will be in touch soon!