The highest land prices are traditionally realized in Flevoland. However, hefty sums are also being paid on the islands of South Holland for good soil that is suitable for a wide range of crops. This is especially visible on Goeree-Overflakkee. The limit does not seem to have been reached yet.
Major transactions for arable land have recently been realized on the South Holland island of Goeree-Overflakkee. Brokers can easily name the reason for this: agricultural entrepreneurs are looking for expansion. This pushes the price level to a level that is normally only achieved in Flevoland.
Tulip cultivation as a basis
Tonnie van Peperstraten, owner of the Van Peperstraten Group, carries out mediation in the sale of agricultural plots and is also an arable farmer on Goeree-Overflakkee. According to him, there are plenty of reasons why the land on the island is very popular. "The soil quality is good and it has low siltability. As a result, the cultivation options are very diverse. In addition to vegetable crops, the cultivation of tulip bulbs is also very important," he explains. "In addition, during the land consolidation in the 90s, a lot of attention was paid to the construction of large plots with good availability of fresh water. The access is good, as is the geographical location."
Expansion drive among local entrepreneurs
Van Peperstraten mentions a price of €125.000 to €130.000 per hectare, which has recently been paid for the arable land. That is the absolute top. Van Peperstraten does not dare to say whether the land price is at its limit. "In the late 90s, newcomers came to the island from the Randstad. Now it is mainly the established order that is experiencing enormous surface growth. The small companies stop and they are swallowed up by the larger ones."
The entrepreneur notices an enormous urge to expand among his fellow farmers on the island. "Agricultural entrepreneurs want to grow. Elsewhere in the southwest of the Netherlands, you see that happening to a lesser extent."
Land price lifts along
Also Johan van der Slikke, from Van der Slikke Stewards from Ellemeet, is familiar with the high prices paid on Flakkee. However, he speaks of a price level of €110.000 to €115.000 per hectare. He also mentions the cultivation of tulip bulbs and the availability of fresh water as important arguments for pricing. "Elsewhere in the southwest, land prices are between €75.000 and €90.000 per hectare," he says. "At Schouwen-Duiveland, that level is approximately €80.000 to €85.000. In almost all cases we are talking about arable land. Due to the high price level at Goeree-Overflakkee, the price of land is also on the rise elsewhere." Van Peperstraten also notices this: "The prices are riding along slightly. Because of the scarcity, you see that arable farmers outside the island are looking at expansion."
Hesitating offer
According to Van der Slikke, the urge to expand, which is clearly noticeable on Flakkee, is also underway on the other islands. "You hear less about it, however. Moreover, there is little land for sale. The offer should mainly come from the stoppers, but they are still hesitating. If you put the money in the bank, it will not yield anything either. value, but money doesn't have to.
Investing in the stock market is also risky. You notice that people have become conservative. Moreover, they do not trust banks. A quitting farmer therefore chooses to rent out or lease his land to a colleague. That yields more returns. In addition, stability is sought. Ground gives that stability. Interest rates also have a major impact. Entrepreneurs are afraid of losing money. The fact that the price of land is now at such a high level has nothing to do with farmers, but everything to do with the scarcity that prevails."
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This is a response to this article:
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Apparently there are growers who have Goudboompjes in their garden.This is a response to this article:
"If interest rates are going to rise soon...".
Most buyers only need a bank to a limited extent and even if the interest rate goes up, no one will suddenly sell. So it doesn't matter. Nor are they shares or options that suddenly become worthless; at most, the land price can drop slightly, but in fact the ground still remains and you can just keep plowing...
This is entrepreneurship
Companies that never expand stand still
They will all disappear sooner or later, this is not just in agriculture
You have to act responsibly, this is different for everyone
You can't make land, there will always be a shortage, so there is more demand than supply
The ground hunger is unbelievably great
piet wrote:This is entrepreneurship
Companies that never expand stand still
They will all disappear sooner or later, this is not just in agriculture
You have to act responsibly, this is different for everyone
You can't make land, there will always be a shortage, so there is more demand than supply
The ground hunger is unbelievably great
You say that now. piet, but I remember that in the 90s there was more supply than demand, even then it was not possible to make land. , that all counts.
Nonsense, inflation should also apply to product prices, this has been very minimal. It is funny that, just like before the stock crisis, many arguments are made as to why the high price level is justified. We all know how that ended.
kjol wrote:Nonsense, inflation should also apply to product prices, this has been very minimal. It is funny that, just like before the stock crisis, many arguments are made as to why the high price level is justified. We all know how that ended.
We now have potato prices in euro amounts that were in guilder prices 15 years ago, but we don't get the toppers of 1 € thanks to farmers who no longer know what market game is.
Wheat also remained in surplus at € 15 cents, while 10 years ago we had 10 cents in a comparable market situation. So don't talk negatively about everything, otherwise stop doing business, because then you won't do anything anymore!
Land has always been too expensive to farm economically, yet the entrepreneurs who have always bought are still farmers who have not bought is no longer no shame, this allows others to grow