Tract
Farmland Partners
Tract Farmland Partners LP specializes in consolidating high-quality farmland across Saskatchewan, enhancing agricultural operations for our tenant farmers through active management and innovative practices. With a strong track record and a farm-first approach, the fund has established itself as a trusted acquirer and responsible owner in the region, delivering long-term value for investors.
Leveraging the Avenue Living Platform
As with our other funds, the Avenue Living platform provides a full-scale support team complete with in-house experts that support legal, accounting, payables, utilities, treasury, capital markets, IT, HSSE, people and culture, and marketing and communications functions. These skillsets and systems allow for the streamlined operations and accelerated success of our farmland portfolio.
Farmland Management Strategy
Tract delivers exceptional value by strategically acquiring and managing a diverse portfolio of agricultural land. The fund seeks to maximize returns while fostering sustainable growth through:
Strategic Acquisitions
Tract seeks to acquire land holdings through multiple purchases over time, execute large farm and portfolio purchases, and engage in exclusive off-market transactions.
Asset Improvements
Tract invests in and manages capital infrastructure to support on-farm operations. Our land improvements focus on adding farmable acres by removing physical obstructions, improving drainage, and optimizing land use and efficiency.
Managed Leverage
With managed leverage, we can amplify potential returns and increase our assets under management while employing prudent treasury management designed to achieve the best results.
Tenant Relationship Management
Our platform allows us to attract responsible local producers and land stewards. We utilize tailored long-term lease agreements, best-in-class property management, and innovative technologies to actively monitor land use and yields.
Decentralized Farmland Management
Our management system ensures a mutually beneficial relationship between the fund and our farmland tenants. We work closely with farmers to identify opportunities for improvement and enhance the land’s operational efficiency.
A Synergistic Relationship Between Fund & Farmer
Shared responsibilities between the Tract team and individual farmers ensure that we are working together to achieve the best results and greatest long-term impact from the land.
Acquisition Pipeline Management
We work together with farmers to identify sales, including exclusive off-market opportunities. This allows us to grow our operations and land base together as the tenant adds more acres.
Asset Improvements
We collaborate with tenants to identify and implement successful capital improvement work. Given the nature of long-term leases, there are aligned interests to maximize total farmable acres, resulting in increased crop production and operational efficiencies in the field.
Risk Management
Tenants’ farming income and rental payments are supported by crop insurance, which ensures financial stability and security for both parties.
Land Management
We work closely with tenants to farm the land sustainably, protect the land value, and ensure long-term viability.
Leveraging Technology
The Tract team uses Geographic Information Systems (GIS) to support decision making, asset management, and increase efficiency.
Investment Decisions and Planning
We drive strategic land acquisitions, secure contiguous parcels, and prioritize target areas while identifying properties that require capital improvements.
Asset Management
GIS allows us to visualize land improvements and efficiencies to guide our capital project and infrastructure planning and completions. We can view changes to the land over time to review potential impacts of environmental changes and analyze tenant activities and performance. This approach supports tenant leasing decisions, optimizes renewals, and enables proactive, efficient site visits by management.
Visualizing Saskatchewan’s Impact on Global Food Supply
Saskatchewan
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Source: https://wheatworld.org/facts-about-wheat/
Contrasting the Sustainability of Agricultural Production
Carbon Lifecycle Analysis
A study by the Global Institute for Food Security (GIFS) has identified Canada, particularly Saskatchewan, as a global leader in sustainable agricultural practices and regenerative farming techniques. The data shows that Saskatchewan farmland has a significantly lower carbon footprint than its international competitors. This region’s focus on innovation, efficient practices, and environmental stewardship has given it a competitive advantage over other markets, making it a highly attractive investment opportunity.
Regional comparison: non-durum wheat
kg CO2eq
The global weighted average (GWA) for non-durum wheat is 561 kg of CO2eq per tonne of production. Saskatchewan is approximately 62% lower than the GWA (214 kg of CO2eq per tonne of production), and 29% lower than the Canadian average.
Regional comparison: Canola
kg CO2eq
The global weighted average (GWA) for canola is 1,132 kg of CO2eq per tonne of production. Saskatchewan is approximately 67% lower than the GWA (372 kg of CO2eq per tonne of production), and 32% lower than the Canadian average.
Source: https://gifs.ca/sustainableag