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No support for lease vision from the Central Government Real Estate Agency

June 3, 2021 - Jurphaas Lugtenburg - 1 reaction

The Central Government Real Estate Agency (RVB) does not support the lease vision of the Private Land Ownership Federation (FPG). A spokesperson for the RVB has stated this after a lack of clarity Boerenbusiness let them know.

The FPG reported on its website that it has support for their lease proposal from, among others, the RVB. The Association of Land Tenants and Own Land Users (BLHB) responded to this today (Thursday 3 June) with a message in which they state that they find it strange that the RVB is getting involved in the political discussion surrounding the reform of the lease policy. According to the BHLB, the representatives of the RVB report with some regularity "that the service is an executive organization that only shapes policy choices that are made in other places within the national government".

According to the spokesperson for the RVB, the organization regularly sits down at the table during discussions about the lease policy. "But we are neutral and it certainly cannot be concluded from that that we also endorse the possible results," the spokesperson for the RVB said. "Tomorrow (Friday 4 June) we will contact the FPG for a correction to their reporting and we will consider further steps".

Ministry response
In response to the report from the FPG, the BHLB requested clarification about the (alleged) position of the RVB and sent a letter to this effect to State Secretary Knops of the Ministry of the Interior and Kingdom Relations, to which the RVB falls, Minister Schouten of LNV. and the Permanent Chamber Committee of LNV. "We are simply waiting for the ministry's response to our questions," says Hans Meijer, acting chairman of the BLHB.

The FPG advocates, among other things, phasing out the regular lease and maintaining liberalized leases with a term shorter than 6 years. Minister Schouten of LNV wants to move towards a system in which long-term leases become the norm and short-term leases the exception. According to the minister, continuity is important to make it easier for farmers to make long-term investments, including in sustainability and in the quality of the soil.

New lease form needed
The FPG will let you know in a written response on Friday 4 June that it has already spoken with RVB and indicates that they 'think this is a case of miscommunication'. A spokesperson further elaborates on the points that are troubling FPG: What matters, and this is stated in our lease vision, is that FPG wants to move towards sustainable land-based agriculture. Availability of land is crucial here. Especially because banks will want to finance less and less (the Basel IVstandards).

Long-term lease contracts, in which conditions can be set for land use, are then an appropriate means of making the land available as much as possible. Unfortunately, the current regular lease form is bankrupt. Due to too much mandatory law, fluctuating prices and a discouraging fiscal policy. In addition to short-term leases, this requires a new long-term lease form in which tenant and lessor make mutual agreements on price, duration and land use.

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Jurphaas Lugtenburg

He is a market specialist in grains and other agricultural commodities at DCA Market Intelligence. He also focuses on onions, potatoes, and roughage. Jurphaas also runs an arable farm in Voorne-Putten (South Holland).
Comments
1 reaction
Subscriber
AJ van Woerkom June 4, 2021
This is in response to it Boerenbusiness article:
[url = https: // www.boerenbusiness.nl/grond/ artikel/10892599/geen-steun-pachtvisie-van-rijksvastgoedbedrijf]No support lease vision from Rijksvastgoedbedrijf[/url]
The lease policy has been squabbling for years without getting one step further. There is a lot of talk, but each party from its own short-term interest.
However, there are other interests that are many times more important, and are recognized by parties right down to politics.
In order to let those interests predominate, we will have to analyze the problems that have arisen better from the point of view of cause and effect and I already shared that philosophy 15 years ago.

If we want to solve the problems, we will have to accept the idea that it is a joint problem. The lease system must therefore be drastically overhauled and then tackle the problems in conjunction with each other from the point of view of common interest.

System innovation that preceded system ex-novation can bring about an acceleration if properly arranged. In addition, a number of things can also be better arranged within the new system, such as the ability to finance.

When will long-term thinking beat short-term thinking? Where are the people who dare to take up the challenge, based on what is possible under certain circumstances instead of why something is not possible? It is not that difficult at all, only the new thinking has to take hold for a while. Sender known.
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