Sugar Creek Farm

Iroquois County, IL

A

AcreTrader Rating (1)

Description

The Sugar Creek Farm is a Northeastern Illinois corn, wheat, and soybean farm, located in Iroquois county and 90 miles south of the Chicago metro area. The farm consists of 96% tillable acreage with direct paved road frontage and has undergone major drainage tile work in the last 3 years that have improved crop yields.

The Sugar Creek Farm has a Productivity Index Rating of 130.8 (out of a range of 47 - 147) with historical crop yields that have exceeded county averages. In 2018, the farm averaged 241 corn bushesl per acre - 45 bushels per acre above the county average. A nearby dairy has expressed interest in purchasing corn silage from the property going forward, which typically brings a small crop premium.

The farm is currently rented through 2021 by a tenant farming several thousand additional acres, including multiple past AcreTrader investments. This investment includes a “flex” lease arrangement that provides an annual cash rental amount (see the financials tab which includes only this cash portion) plus an additional payment should commodity prices or farm crop yields increase above a pre-set threshold. This structure provides stability to the farmer while also allowing investors to share in any upside potential in above-average crop years.

Investment Highlights

  • 5-10 year target hold period given stable cash flows and potential for material long-term appreciation.

  • Flex lease could improve investor income each growing season should commodity prices go up and/or with strong crop yields on the farm.

  • The property will be managed by AcreTrader Management, LLC, an affiliate of AcreTrader, Inc.

  • Standard AcreTrader management fee of 0.75% applies annually.

  • Anticipated cash distributions occur on December 15 annually, beginning December 2020.

Risk Factors and Disclosures

Please see additional risk factors here  and in the Issuer Document Package for a discussion of additional risks. The above presentation is based upon information supplied by the seller and others, and some images shown may be used for representative purposes and may not have been taken on location at the subject property. While AcreTrader performs extensive due diligence on the offerings on our Site, certain of the information presented in each offering may have been provided by third party sources. Therefore, AcreTrader and its respective affiliates, officers, directors or representatives (the "AT Parties") hereby advise you that while all such third party information contained herein has been provided by to us from sources deemed reliable, we cannot guarantee its accuracy. The AT Parties further make no representations as to the accuracy or completeness of any such information and undertake no obligation now or in the future to update or correct this presentation or any information contained herein.

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