Fewer land transactions in the Netherlands

Recently, there have been few transactions on the Dutch land market. This is because there was little land offered. On the other hand, trade in Germany and Denmark did increase. This is what VSO brokers & appraisers let you know.

Land sellers currently prefer to lease the land and put the money in the bank. Interest rates are low at the moment and as long as one remains a farmer, no capital gains tax has to be paid on increasing.

In addition, VSO notes that buyers are more cautious. Arable farmers have to deal with lower selling prices and dairy farmers currently prefer to buy phosphate rights than land.

Germany and Denmark
There is more movement in the land market in Germany and Denmark. Due to the higher milk prices, more is being invested in land and in addition, dairy farmers in these countries do not have to take phosphate rights into account. Arable land is also in high demand; especially as an investment.

Land prices
The price of land in the Netherlands remains quite high. The highest prices are seen in Flevoland. There the price varies between €105.000 and €130.000 per hectare. Land prices are also on the high side in Drenthe. There, approximately €70.000 per hectare is paid for arable land. For grassland approximately between €50.000 and €65.000 is paid per hectare; depending on quality and region. 

Land prices in Denmark and Germany are many times lower. There, an average of €16.000 to €25.000 is paid per hectare.

Kimberly Baker

Kimberly Bakker is an all-round editor at Boerenbusiness. She also has an eye for the social media channels of Boerenbusiness.

k.baker @boerenbusiness. Nl

© DCA Market Intelligence. This market information is subject to copyright. It is not permitted to reproduce, distribute, disseminate or make the content available to third parties for compensation, in any form, without the express written permission of DCA Market Intelligence.