Richie Bros-SASK Spring Yard Sales-OMG WHAT IS GOING ON

[Quadtrack]

No f$&?ing way land by Wilcox is worth over 4K an acre. There’s some clay there sure, but it’s not the higher yielding area of the prov by a long shot. How is it even possible to generate a return that would resemble a return on investment? I don’t know what this monete is doing or where source of funding is, but string together all the efficient scale you want, this doesn’t make any sense. That type of money into commercial real estate or a higher margin enterprise is believable. Into primary production? Nope.
Like the line in Wedding Crashers, “Big tree fall hard”

[4GFarms]

I would think buying the land at the values stated only makes the ability to borrow more from increased land/asset inflation from their previous land therefore giving them the increased borrowing or line of credit they need to keep things rolling. Whether good or bad nobody knows.

[oldjim]

No Wilcox land probably isn't worth $4,000/acre but you can find a lot poorer ground in parts of Alberta for more money. But you can farm 160 acres on every quarter, no bush, no rocks, flat as piss on a plate, this land Monette bought is 15 miles from Regina. There's about seven or eight different crops grown. It ain't paradise but you can see it from here! :-)

Don't forget, this is only a portion of the Monette operation. They started from a base at Swift Current, bought up land south of Regina and have also expanded to Prince Albert and Havre Montana. Here's their website: https://www.monettefarms.ca/

They aren't the first bto's in the area, in fact some of their land has been through two previous big investor outfits. The first one started buying up mom and pop farms in the early 2000's for $800-900/acre, flipped it to an investor based in BC and now Monette. The first guy never did grow a crop but things were tough back then, especially 2004. But what he lacked in crop income he made up for in capital gains so "it's all good" as John Gormley says.

Monette isn't the only one paying this kind of money for this land but of course he's doing it on a much bigger scale. I don't know what his source of money is, frankly I don't care. I can't imagine trying to run a farm that size but how do guys like Steve Jobs build empires like they do, too? I don't know the guy but have talked to a couple that do and they speak well of him. Time will tell how it all ends up.

[jazz]

No f$&?ing way land by Wilcox is worth over 4K an acre. ”

Half the land base is on the other side of #6. That's all heavy clay. Bog like when it rains a lot but far enough south that doesn't happen very often. Yes at least 5 crops viable in that region. $4k and acre, not sure about that.

[Quadtrack]

4000 an acre needs $160 an acre to cover 4% money. Plus another $10 for muni taxes. Which of the six viable crops will provide $170 over cash and fixed costs?

[jazz]

4000 an acre needs $160 an acre to cover 4% money. Plus another $10 for muni taxes. Which of the six viable crops will provide $170 over cash and fixed costs?

100 bu canola?

I stopped seeing rationality in these purchases. Monette has land right beside me. I don't know what they are doing. Building a land base for china? or teachers pension funds. I have no idea.

[SASKFARMER]

Monette hahaha compared to Steve jobs is a ****ing joke.

Name one farmer who made it to become a billionaire farming?

I’ll wait?


I’ll wait some more.



More money buying a golf course in Florida than farming.

Regina gumbo tell me after 10 days of 90 above and zero rain with wind and the five crop is out.

Show me the financing for this lady years crop wouldn’t pay jack shit.

Show me the two investors.

Come on follow the money.


Something doesn’t add up I’ll give him a plus for trying but something doesn’t add up.

[Robertbarlage]

Chinese investments

[oldjim]

Well son, I'm not saying he's Steve Jobs but he has the ability to raise capital and the balls to take risk like all industry leaders start out with. And he's not the only one - take a look at Kambeitz' operation at Lajord, there's a lot of guys going flat out. Most will fail, but one or two will squeak out a win. At one time when Wolfe came into the area the local coffee shop wags were going on about him like they are about Monette. But they made it through three generations and have $30 million to play with, less the percentage they have to send to Skippy for capital gains. Everyone wondered where they got their money, rumor was Germans idk. Old Rudy wasn't just in farming - he was an entrepreneur with multiple businesses. Maybe Monette is the same, maybe he's frontman for Gary Redhead or Jim Pattison as the rumours have it. Maybe he owns a gold mine somewhere, who the hell knows? I don't give a shit, and I'm not sure why anyone else does. If he makes it it'll be a hell of a story. If he doesn't it'll be a hell of an auction sale.

[Richard5]

Its either if you get the money go hard or farms with tons of debt, flipping the complete line of equipment each year don't understand what profitability it, or maybe even common sense. I still think its all about the show for many. But when a bank or FCC says no or you hit the max lending cap, isn't that a sign?????

Going to another bank cannot be good advice or an option in most cases.

If you have a loss in your financial statements once in the last 5 to 6 years that would be concerning to me just because of generally very good times. I have 5 year comparative statements so really nice to see past.

But as most have said already, land prices seem out of reach, farming at that size to me is a headache.

Buying a golf course in Florida?? definitely not interested either!