Farm Prices Soar In Memphis Area, Across Region

By James Dowd, Ted Evanoff, Wayne Risher, Commercial Appeal Posted May 9, 2013 The price of Mid-South farmland has skyrocketed recently. (Lance Murphey/The Commercial Appeal) Jack Nall has watched the price of Arkansas Delta farmland steadily increase during the last year. “I’m always astounded to hear prices that farmland is going for,” said Nall, executive vice president of First Community Bank of Eastern Arkansas in Marion. “It seems like people are looking for a return on their investments and rather than re-enter the stock market, they’re betting on real estate.” Over the last year, the price on select Memphis-area farmland has surpassed $4,000 per acre, a 33-percent rise in one year on some parcels. It is a price spike being repeated across the nation’s farm belt as pension funds, hedge funds, foreign investors and others try to make money in an era of low interest rates. But the buying spree has raised concerns land values could collapse, burdening lenders, investors, farmers and communities that depend on the farm tax base. Continue reading at the Commercial Appeal © 2013 Knoxville News Sentinel. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Taylor Scott International