Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage Ethanol production accounts for 40% of...

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Farm picture Green Energy Advisors V LLC

Transcript of Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage Ethanol production accounts for 40% of...

Page 1: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

Farm picture

Green Energy Advisors V LLC

Page 2: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

FARM LOCATION# OF

ACRESDATE OF

PURCHASEPURCHASE

PRICE SALE PRICEDATE SOLD

INCREASE IN VALUE

Story County, IA 83 10/2/2006 265,600$ 417,150$ 10/31/2008 57.06%Hamilton, IA 171 2/22/2007 635,000$ 1,500,000$ 5/14/2012 136.22%Kearney, NE 80 1/31/2007 228,000$ 700,000$ 12/9/2012 207.02%

Linn, IA 160 2/27/2007 484,000$ 1,100,000$ 11/20/2012 127.27%Holt, NE 200 2/22/2007 375,000$ 490,000$ 3/1/2010 30.67%

Grundy, MO 160 2/22/2007 400,000$ 496,000$ 3/1/2010 24.00%Hancock, IA 79 3/1/2007 252,800$ 549,000$ 11/21/2012 117.17%

Carroll county, MO 760 1/5/2008 2,394,000$ 4,790,520$ 3/5/2012 100.11%Cerro Gordo, IA 114 4/2/2008 539,000$ 1,187,500$ 5/1/2013 120.32%

Buchanan county, IA 100 3/3/2011 553,610$ 785,000$ 10/15/2012 41.80%

Rock, NE 640 3/1/2008 $ 1,344,00Boone, IA 113 4/23/2008 550,000$

Montogmery, IA 79 12/18/2013 703,255$ Mills, IA 75 2/27/2014 544,752$

*Past performance is not indicative of future returns. Returns do not reflect leverage used to purchase the properties nor income generated

during the holding period. Values do not include any fees & associated costs.

Current Farmland Owned

Farmland Investments - Green Energy Advisors Group

Page 4: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

Since 1993 farmland has outperformed real estate, the S&P500 and the Treasuries on a risk adjusted basis

Page 5: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

Three Reasons to own FARMLAND

Growing world food demand— The middle classes of India and China are eating higher protein-rich diets

Scarcity of Grade A Farmland in the World-

Science and technology will dramatically increase crop yields per acre

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Growing China and India Middle Class

China and India middle class has increased over 100 fold in the last 20 years and will surpass the total US population by approximately 2015

“Everyone wants to eat like an American on this globe… but if they do, we’re going to need another two or three globes to grow it all.” –Daniel Basse (AgResource Consultancy)

Page 7: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

Farmland is a scarce renewable resource 40% of the Grade A farm land is in the Mid-West

FAO (Food & Agricultural Organization, United Nations) says world food production will have to rise by 70% by 2050 to meet demand while available world farmland will only increase by 5% in that time.

Farmland requires Fertility and Water– Over the last 15 years the world has converted all qualified land to crop production “There is no more land”

Page 8: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

Farmland Scarcity 

There are approximately 3.5 billion acres of arable land in the world and the potential for adding a mere 5% over the next few decades. Soil erosion and population growth are also depleting arable land by the minute. Over two acres are disappearing per minute according to the American Farmland Trust.

Page 9: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

How Science and Technology will feed the world- More production on the same acre of land

Current US average yield per acre is 165 bu per acre

“Yields of 300 bu/acre are possible with today's genetics, excellent management, and stress-free environments” Iowa State University , Agronomy Extension

Science and technology – Precision planting, efficient fertilization, environment specific seeds, improved irrigation, sensor driven crop management for controlling crop stress and increasing yields

Page 10: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.
Page 11: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

With the slightest reduction in ending stocks,we can see a huge price spike in corn

Page 12: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.
Page 13: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.
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As China’s Middle Class continues to grow, so does demand for a more protein rich diet

Page 15: Farm picture Green Energy Advisors V LLC. Corn/Ethanol usage  Ethanol production accounts for 40% of the total US corn crop.

"Everyone wants to eat like an American on this globe… but if they do, we're going to need another two or three globes to grow it all."

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“… boosted by falling domestic crop and a growing need for animal feed, China's soybean imports from America would rise 2.0m tons – more than the US is currently expecting its production to rise by.” -US Department of Agriculture

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Who owns US Farmland ?

Bill Gates

Warren Buffett

Ted Turner

Metropolitan Life and other insurance companies

The US Teachers Pension Fund