John Amos & Company confirms this week the continued interest in Leaseback arrangements, which seem to be catching the eye of both farm owner and investor.
The Leaseback arrangement works on the basis that a landowner who wishes to continue farming, but requires capital, can sell the farm now to an investor and take up a Farm Business Tenancy to continue to farm for an agreed period of years.
At the end of the period the purchaser can terminate the Farm Business Tenancy and has the opportunity to re-Let, or Sell with Vacant Possession.
The arrangement has equal appeal to an investor giving an annual return in rental and an enhancement by the fact that the purchase price will be at less than Open Market Value. This linked with potential Capital Tax and pension Tax breaks makes them as attractive to the buyer as to the seller.
John Amos comments: "We are already handling a 360 acre Hill Farm and anticipate other such deals to come to the market this year."
Potential Vendors and purchasers are welcome to a very confidential market appraisal by John Amos telephone 01584 831 134.
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