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Chetek, WI | Anyone that rents land from a large investment firm that has taken investor money to buy land should choose not to renew rental contracts next year.
1. This should take about a million or so acres out of production.
2. It would make their funds returns suffer and land value would come down because they would get less people willing to hand them money to go buy land with.
3. It would make them realize that 95% of their income depends on us making money.
4. It would be easy to do and enforce. Nobody does business with a managed fund.
5. We don't know or are jealous of the people that it would hurt.
6. They would either have to let the land stand idle or farm it themselves. They can't farm so they would hire young managers and employees to try to do it or our precious coops would use our money to buy equipment to compete with us.
The problem would be our net worth would take a hit short term because our land isn't worth as much. My guess is that 95% of that land won't cash flow anyway so you are doing yourself a favor. You should get better pricing on the bushels that you do farm.
A farmer that has built his land base renting from these people is in a shaky position anyway and needs a better plan because he is 1-3 years from losing the acres anyway unless he is willing and able to pay just a little too much. That is why we are seeing these big guys going broke.
Walmart announced to trucking owner-operators that anybody that does business with amazon will not be doing business with Walmart.
We have to do something. I think this is where it starts.
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We have them where we want them
