MCLEAN, VA - Gladstone Land Corporation announced in a press release that it has acquired a 746-acre organic farm in Walla Walla, Washington for $9.5 million (about $12,735 per acre).
"We are privileged to acquire our first permanent-crop farm in Washington State," said Bill Frisbie, Managing Director of Gladstone Land. "We now own 72 farms across the U.S., and we seek to continue building and diversifying our high-value agricultural portfolio."
Upon acquisition, Gladstone Land assumed a lease with a remaining term of six years with a leading farming operation that currently grows apples, wine grapes, and cherries on the farm.
"The Walla Walla growing region within the Columbia River Basin is one of the most diverse growing regions in the world," said Bill Reiman, Managing Director of Gladstone Land. "We are fortunate to pair with a highly-regarded tenant-partner who has over three decades of operating experience."
Gladstone Land currently owns 72 farms, comprised of 61,794 acres in 9 different states across the U.S., valued at approximately $531 million. Its acreage is predominantly concentrated in locations where its tenants are able to grow fresh produce annual row crops, such as berries and vegetables, which are planted and harvested annually or more frequently; as well as permanent crops, such as almonds, blueberries, and pistachios, which are planted every 10 to 20-plus years.
"This is another region that we have targeted in order to increase the overall diversification within our farmland holdings, both geographically and by crop type," said David Gladstone, President and CEO of Gladstone Land. "We have built our farmland portfolio on the thesis that continued growing demand for fresh fruits and vegetables and nuts will make the finite supply of farms that produce these crops more valuable over time. This is another farming area that is in high demand by growers. We believe the addition of this particular farm will provide us with steady value appreciation and additional income, which should help us achieve our goal of continuing to increase our distributions to stockholders."
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