Sept 1, 2017 (Spearman, Texas.) – Texas seems to be bucking the trend when it comes to farmland values in 2017. According to the USDA’s 2017 Land Values Summary Report, “The average acre of cropland is worth $4,090 across the U.S., a level unchanged from 2016 and the third highest on record. Texas farmland however jumped 6.3% from 2016 with an average of $2,010 per acre. As a comparison Nebraska farmland values fell 6.2% from year-ago levels averaging $4,550 per acre.
Located in the southwestern portion of Ochiltree County of the Texas Panhandle, the Davis Brother’s family farmland of 1,280+/- acres of dryland farm ground was auctioned by Mason & Morse Ranch Company through a multi parcel auction format. Also included in the auction were all of the owned producing minerals. The property was offered in two surface tracts approximately 640 acres each as well as two corresponding mineral tracts.
There were 27 registered bidders and the final sales price was $3,858,750.00, which included a 5% buyers premium. Regionally buyers showed up from Lubbock to Perryton, and on a broader scale, we had folks registered from Dallas to California. One buyer purchased both surface tracts and the mineral tract under section 49 and one bidder purchased the minerals under section 91.
“We are extraordinarily pleased with both the process and the outcome of Mason & Morse Farm Ranch Company’s sale of our land. Our land broker, Zurick Labrier, did an amazing job of explaining the alternatives for sale, keeping us informed about the process, collecting information about the property, marketing the sale, encouraging bidders’ participation, and bringing his colleagues together for a successful auction. We give Zurick, his colleagues, and Mason & Morse Farm Ranch Company our highest recommendation,” said seller, family member, Sue Davis Pendell.
A local farmland appraiser also commented that “Most certainly this auction set an all time record high for dryland farm ground including minerals in the region at $3,014.64 per acre”
The multi-parcel combination auction process that Mason and Morse Farm Ranch Company utilizes, allows the buyers to put the tracts together that fit their needs. “We do not dictate how the parcels were to be combined. We allowed the buyers to tell us how they wanted to package the tracts that best fit their agricultural program”, said Bart Miller, Managing Broker, Mason & Morse Ranch Company.
“Possibly the most noteworthy fact of the Davis Brothers Property auction, is that this land has been in the same family for over 100 years.”said Zurick Labrier, Broker Associate with Mason & Morse Farm Ranch Company. This fact is based on records of title. The land had never been offered for sale since the beginning of abstracting and recorded ownership dating back to the late 1800’s.
Although most commodity prices have shown weakness the last few years, this auction reflected there is still a demand for very productive farmground with great irrigation potential and mineral production in Texas. Corn and wheat will probably still remain two staple crops for this area, however the increase in cotton production is most certainly a driver for buyers looking for that productive farm with good water as well.
About Mason & Morse Ranch Company
“Farm, Ranch Land Sales” – www.ranchland.com, Mason & Morse Farm Ranch Company – Strategic Partner of United Country is a leading provider of farm, ranch, timber and recreational land brokerage & auction services across the United States. With roots dating back to 1961, in the Roaring Fork Valley near Aspen, Colorado, the company specializes in marketing high-value and large acreage properties across the U.S. Combined, Mason & Morse Farm Ranch Company agents offer their clients more than 133 years of combined experience agricultural land and lifestyle recreational luxury properties.