Investing in agricultural land has never been more promising: Ukraine’s most fertile black soils, also known as Chernozem, are available for long term lease for the world’s most attractive $600 per hectare. With the highest unrealized agro-ecological potential, Ukraine’s farmlands are one of the best invesmtment opportunities in agricultural real estate.

InvestUkraine has recently posted a quick review of practical aspects of investing in agricultural land in Ukraine.  Farming entry costs in Ukraine are the lowest in Europe while the black soils potential is the highest in the World. From the point of view of mere real estate management, investing in Ukraine’s black soils is an extremely wise idea. First of all, land is no longer produced. Second, Ukraine’s land is still seriously undervalued due to relatively high business risks which, on the other hand, get offset by very high return on investment rates.

Ukraine’s agricultural land cannot be purchased directly now, but lease agreements for agricultural land enable as much freedom for performing farming operations as ownership while also providing a primary right of purchase in case of the agricultural land sale moratorium lift and given that pai holders would be willing to sell off their property.

Investment in agriculture land in Ukraine is conducted under farmland lease agreements. Lease contracts are closed directly with pai-holders for different periods averaging at 10 years and going up to 49 years. Farmland pai lease contracts enable contractors to consolidate large fields of 50-200 hectares located close to each other for the ease of crop rotation planning, cultivation and harvesting.

For more information on agricultural land investment opportunities visit InvestUkraine.net

Tags: land