I own some land in the middle of nowhere, and my closest friend has some people that want to grow and we briefly mentioned my property. I'd only want to do a tiny bit (like ~1-2 acres max). But I was having a hard time finding rental costs anywhere. Someone said $5000 per month (after we found the 3rd tier permit for my state is only 30,000sq ft, but you can have up to three of the same type?). I have no idea what an appropriate price is for outdoor use, can you help me out?
compare apples with apples ...lol check tomatoes and other veggy stuff = compare but in truth you need to ask what the price is gonna be come harvest and if you might even get paid? as its not a case of 500-5000 growers any more.. but in the 100,000's as most horticultral markets are weak due to 3rd world imports and any veggy growers will be leaping to weed to pay the heavy morgages good luck
Figure out what they plan to make and take a percentage.... If its legal your still going around state taxes, if it's illegal you still have a grow operation in your property.... So i myself would be a silent partner with no upfront cost rather than a landlord. Otherwise $5000-$10000 usd would be in the range. It's not just renting land to live on. It's like selling ad space and that shits not cheap.
Thanks for your reply. I am having trouble finding prices on anything for renting land, which is why I was asking here. Maybe my search words aren't great? I'll keep looking though.
Thank you for replying! 5-10k per month or per year? We are a legal state (WA) and they want to legally grow and jump through all those hoops. I'd still live on site (because livestock), but would be fine with them bring a shed or camper while there. (This, in this situation, would very much be helping out a friend until they have sold their first year and have money to start their own grow op if that means anything)
I doubt you’ll find much info as people like to keep stuff like this hush hush. There’s not a Trulia for Cannabis. At the same time it sounds as if these are mutual acquaintances between you and your buddy so be fair. Me, depending on my location and how many harvests per year they’d be able to accomplish would offer my land maybe around $2500 per month plus no more than 10% gross profit of the total harvest.
After the six months you gauge their harvest and you should come up with a fair figure, remember, it’s your land but their hard work! $2500 per month is way more than nothing per month with that land being unused!
The thing is, business is business... And if they are good enough your talking about hundreds of thousands of dollars per crop. To start of with, you might give them a break but the saying goes "you don't do business with friends or family"... Obviously it works out sometimes but those relationships are strained when you put them together. I would talk to them and see what they think is fair for now but re-assess after the first crop, but I would definitely take a small percentage of the first yield just to make sure your end is covered.
Oh and if they are jumping through all the hoops, the initial cost for them is going to be outrageous... Tens of thousands of dollars for liscencing and what not so. I hope it works out for all parties involved.
Weed Trulia would make this so much easier lol Thank you, I like that price (and being able to have a price range). And of course you're right any price is better than land making nothing!
Luckily they're just acquaintances, I know them through one of my good friends. Do you mean give them a break like a discount price, or like discounted rent until they're first harvest? Thanks
Unless they are well off/get a business loan, Since the start up cost is so high it might be easier to take what you can to begin with,( without being greedy) but get it in writing. Its a bigger risk for them, but definitely don't get used and assed out. Honestly take what you really feel it's worth after hearing their plans for their yield. I live in a farm state so farmland is decently priced but you have to grow ALOT of beans to equal the profit of a small field of green.
This is a few months old- but wanted to add my 2 cents- as I used to work in law enforcement here in California. I think you said you are in Washington? So rules may be a lot different, but just as a heads up- you've got to be careful. You mentioned you were living on the property due to cattle, etc. So I'm thinking you have a section you don't use and want to rent for profit. Make sure you check your local county laws. Here in California- it's complicated. And honestly- the rules change depending on what County you live in. Where I am at? Whoever owns the property is just as responsible as the renter. Not only do you need to set up a contract for that rented property, but you also have to sign that YOU acknowledge they are growing (giving permission). If you live on the same property- you can't rent it out. It would be like renting someone your backyard. You may have several acres of available property ON your property, but if you don't get it zoned as separate property- it's still yours. Meaning you either rent out the entire damn lot (cattle and all)- or get it zoned into separate pieces. Here's what I have seen happen...We had numerous cases of people in my County doing exactly on what you intend to do- at an even higher level. They sectioned off their property (without official zoning) and rented out pieces of it to different people. Those people thought they were being legit- even displayed their licensing to grow on their sections. In the end it didn't matter. ALL of them went to jail- and guess who got the worst of the sentencing? The owner of the land. Apparently it's very illegal for owners to rent out pieces of their property for cannabis gardens. I'm only saying all of this because you have to protect yourself first. A piece of property is exactly that- one piece of property. The people you are renting to may be doing everything right by licensing, but you have to do your homework too as the owner. Make sure you are allowed, as the owner, to do as you plan in the county you love in. Straight up go down and ask your County office. They should have a department that can help you. Hopefully it's not as crazy as it is where I'm at and you can get some profits without a lot of headache! Sent from my SAMSUNG-SM-G920A using Grasscity Forum mobile app