Some one Explain the Pike management Land shares!

[SASKFARMER3]

Since BroadAcre farms has Pikes land
company purchased 57 quarters in our
area and rented thee.
Some one explain what exchange their on
what was the share price, hope of return
etc.
Because if your paying $270,000 to
$216,000 and Rent in the 50 to 80 range
plus farm managers (workers) $90,000.00
a year, How the hell does this make a 8%
profit for the shareholders.
Two years of hardly seeding any ground.
Does Agristability pay these guys huge
dollars when they screw up. Is the Fed
and Prov govt paying these operators to
loose money yet show a profit for share
holder.
Just major questions most in Rural sask
are wondering.

[bucket]

They would be considered new/young farmers and then would use an average of the area. Technically you are subsidizing them with your management practices.

Then they go have a beer with their MPs in calgary and get the whole thing expedited. More than likely, Pike has some interesting names on his investors list. Either way its just another way to scam money out of the government. Much like chretien did. But it will be acceptable in western canada because the conservatives did it.

Good news is you will be able to pick up the pieces of what is left for cheap. But there won't be many farmers left. Just a bunch of transient employees.

[SASKFARMER3]

See thats where this ps me off. After
talking to a few neighbors we could have
gave the guy who sold 37 the same as he
got from Pike. A few would have had a
bidding war. Now these guys use nothing
local. FERT CHEM EQUIP ETC is all not
purchased at home. So a few flunkys hired
and thats it.

[bucket]

Eventually you will buy it cheaper. When someone realizes this is a ponzi scheme, which should be after the major investors are gone, it will be all over for another decade.

But like I said earlier, a generation of farmers will be lost.

[bucket]

This is an interesting topic. Guys build their farms quarter by quarter and I know some have had the seller finance the purchase (decades ago). Actually a smart move.

Now when they go to sell, it is an all or nothing deal. Don't/won't sell to a neighbor a piece that fits in. Won't finance a young guy etc. Its crazy. And disappointing. The same guys are wondering where their community went. Well, they have forgot what kept them there and prosperous. They need their millions.

[hobbyfrmr]

There are some successful BTO'S in my area.
They are also moving 70 miles northeast to farm
an extra 1700 acres. I am really beginning to
wonder if anybody really wants to farm anymore!
Looks like there will be a "lost" generation of
farmers. I do not understand why some local will
not rent that 1700 acres other than the cost of
rent. My only logical thought the BTO is just that
much more efficient. The old saying for
grains,"once it's on a truck it doesn't matter where
it goes" probably stands for machinery as well.
Driving machines that far is only 5 or 6 hours. I do
carry some irk with retiring farmers who are
expecting the highest prices. Then again, if I want
to farm that much, write a cheque!

[bucket]

I listen to a guy that ******* because he had to pay the difference on machinery because he figures he needs new equipment for 2500 acres. He is in his late fifties and just getting weaned. Its a disgrace.

[bucket]

I worded that wrong. His dad owned the equipment and this guy had to pay the difference. He thought he was hard done by and he didn't have to write the first cheque for the equipment just the difference. Tough hey.

We will lose a generation of potential farmers the way things are going.

[freewheat]

Bucket, I hear you. Have a guy here that
says he struggles, yet pappy pays for 80 %
of the machinery. He is just a young
fella. About 40.

[cottonpicken]

I think that generation is already gone.

Average of a farmer is ?,pretty high.

And its not like there is a school for it.

The million little day to day things and the transfer of
that knowledge is what i hope is the achilles heel of
the corporate farms-which i know others have touch
on.

Imagine the scenarios with green guys turned loss to
seed canola at eight miles an hour 5500 fan speed
for days on end with a 70ft'er.

[ALLFARMER]

5 guys here went together 5 years ago, went big
and hard fast. Seeded around 9000 first year last
year 14000 well last year one guy out this year 2
more out. One owner guy full time in the office 2
more owner farm workers on payroll plus one
non owner worker/mechanic, plus seasonal guys
and truckers. In my view the 4 year round
paychecks plus accountants ate up any potential
profits. Owners supplied machinery and were
paid near going custom rates. Also owners were
paid going rates for land rent.

[SASKFARMER3]

Where does one see how this share offering took
place.
And do they get there asses covered under
agrastability etc.

[SASKFARMER3]

Where does one see how this share offering took
place.
And do they get there asses covered under
agrastability etc.

[hobbyfrmr]

SF3, where were you and the other few neighbors
when it was time to write a cheque? The 37
quarter guy did not just wake up one morning and
decide to sell it all to Broadacre. Maybe the seller
did not realize how successful you and the other 2
neighbors are. You guys should have stopped in
and told him.

[SASKFARMER3]

Sorry hobby You maybe arent up to date
on the time line for this story.
Seller off on winter holiday. HAlf way
into it one of his renters lists farm
(10 Quarters) it sells to these guys
then by time he hits the ground in
Regina another renter sells 6 quarters
on him again. THen his top hired man
quits and then another. So basically if
you cant beat them then join them, he
sells.
Conclusion NO one was given a chance at
all just woke up and sold it.
Land is gone for 10 years or more till
this Ponzy scheme is done.