ASFMRA Presents The Appraisal of Permanent Plantings in Changing Markets

Instructor:  Ben Slaughter, ARA, Arable Advisory Group

This one-day seminar will be held in conjunction with the California Chapter of ASFMRA’s Fall Meeting and will review the traditional valuation methods in the appraisal of permanent plantings, in the context of the changing conditions brought by SGMA, soft commodity prices, inflationary pressures, and interest rate environments.  An in-depth discussion of the concept of the “ideal improvement” will be held and students will gain tools to help them identify an ideal permanent planting improvement and use the concept to guide them through the highest and best use analysis setting the stage for the twists and turns of a complex valuation. A case study will be presented, with the dynamics of supply and demand explored and the influence that an oversupply or shortage of a specific commodity or variety can have on farm real estate markets. Finally, the impact on permanent crops of dwindling water supplies and rising costs will be covered. Students should be conversant in owner-operator income statements for common California permanent crops, direct capitalization techniques, and the concepts of functional and external obsolescence.

This offering is not sponsored or endorsed by the Northern California Chapter.  For specific questions, contact the California Chapter of ASFMRA directly at (209) 368-3672 or via email.

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