Kern farmland values begin to stabilize as investors absorb groundwater restrictions
Produce / Bakersfield Californian – Roland Fumasi – November 7, 2019
Senior Analyst Roland Fumasi discusses the factors that will influence Kern County farmland prices. Rabo AgriFinance has reported that ag property values have since settled down significantly since 2015, due to concerns that the Sustainable Groundwater Management Act (SGMA) will take large swaths of land out of production. Fumasi notes that SGMA is not the only factor in farmland price declines – tree nut prices are off their historic highs and farm labor costs continue to increase, both of which have weighed on Central Valley property valuation, he says.