economy
American billionaires are showing off their farmland for elaborate hobbies, but a buying spree among the ultrarich risks pricing farmers out
No one seems to love the great outdoors as much as billionaires do.
TL;DR
- Billionaires like Mark Zuckerberg and Alexis Ohanian are investing in farmland for personal hobbies and cattle ranching.
- Major landowners include Bill Gates, Jeff Bezos, and Stan Kroenke, who own hundreds of thousands to millions of acres.
- Farmland is a $4.3 trillion asset class, seen as a hedge against inflation and market volatility.
- The increasing demand and value of farmland make it difficult for farmers, especially beginners, to purchase or expand their operations.
- Farmland has become popular as a safe-haven asset since the 2008 financial crisis and is seen as appreciating with population growth and inflation.
- While leasing land can be an option, rising land prices and limited control over leased property hinder farmers' long-term investments and financial leverage.