What makes a farmland REIT an attractive investment?

Farmland REITs are attractive investments because they offer income from dividends and capital appreciation as the value of their farms increases. They can also provide an inflationary hedge to your portfolio.

How do farmland REITs generate income?

Farmland REITs primarily generate income from rent (fixed rent and participation rent, which is a percentage of a farm's revenues). However, some farmland REITs also operate farms and earn income from selling crops and crop insurance. Additionally, some farmland REITs make money by selling farms, operating a farm brokerage business, owning water rights, and renting land to energy companies for wind or solar power generation.

Are farmland REITs a safe investment?

Farmland REITs aren't as safe as other REITs due to their smaller size and the impact of crop price volatility on a farmer's ability to pay rent.

Why are billionaires buying all the farmland?

Billionaires are buying farmland because it has historically been a strong asset class with intrinsic value that steadily appreciates. According to the NCREIF Farmland Index, farmland has delivered a 9.8% anualized total return since 1992.

Can I invest in farmland REITs for long-term growth?

Yes, you can invest in farmland REITs for long-term growth. Farmland investments provide two sources of return:Current income from farmland rents and crop salesLand value appreciation.According to the USDA, the value of U.S. farmland has appreciated by an average annual rate of 4.6% over the last 20 years. Investing in farmland REITs can help you benefit from the long-term appreciation of farmland.

2 Best Farmland REITs for 2026 and How to Invest

REITs enable anyone to invest in farmland, which has historically been an excellent asset class.

By Matthew DiLallo – Updated Sep 6, 2026 at 3:55 PM EST | Fact-checked by Frank Bass

Key Points

According to data from NCREIT, farmland has delivered a 9.8% annualized total return since 1992.
U.S. farmland values have historically tracked inflation 70% of the time, making it a strong inflation hedge.
Gladstone Land focuses on owning fresh produce farms, while Farmland Partners invests in commodity crop farms.

Loading paragraph...

A farmer standing in a field and holding a tablet. — Getty Images.

Loading image...

Two top farmland REITs for 2026

There were only two publicly traded farmland REITs as of late 2026:

Loading paragraph...

Ticker Information Table
Name and ticker	Market capMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.	Dividend yield	Industry
Farmland Partners (NYSE:FPI)	$460.3 million	3.13%	Specialized REITs
Gladstone Land (NASDAQ:LAND)	$404.2 million	5.98%	Specialized REITs

Data as of Oct 16, 2026. Showing 2 of 2 total entries.

Loading ticker_table...

1. Gladstone Land

Loading paragraph...

LAND Gladstone Land

$9.28-$0.09 (-0.96%)

NASDAQ · As of 4:00 PM ET 10/16/26

Premium Feature

Moneyball Superscore42/100

Loading company_card...

Gladstone Land (LAND -0.96%) owned 142 farms with 98,000 acres in 14 states as of late 2026. This farmland REIT also owned 56,000 acre-feet of banked water in California (equivalent to over 18.1 billion gallons). It leases its farms to 82 tenants that grow over 60 different types of crops. The REIT primarily leases land to farmers under long-term triple-net (NNN) leases (in which the farmer pays rent, insurance, maintenance, and taxes), some of which include participation rents (a percentage of a farm's revenue).

The company primarily owns farms in regions where its tenants grow fresh produce, such as berries and vegetables, that farmers plant and harvest each year. It also owns farms that produce permanent crops, including almonds, apples, cherries, figs, lemons, olives, pistachios, blueberries, and wine grapes. Farmers typically plant permanent crops every 20+ years and harvest them annually. Gladstone Land focuses on fresh-produce farms because they're less risky than commodity crops. They tend to have better access to water, are better insulated from crop price volatility, are less dependent on government subsidies and tariffs for protection, have lower storage costs, and have higher rental rates.

The REIT's focus on fresh produce has paid off for investors. Gladstone has consistently paid monthly dividends since its initial public offering (IPO) in 2013 (162 consecutive months as of September 2026).

2. Farmland Partners

Loading paragraph...

FPI Farmland Partners

$10.35-$0.20 (-1.90%)

NYSE · As of 4:00 PM ET 10/16/26

Premium Feature

Moneyball Superscore44/100

Loading company_card...

Farmland Partners (FPI -1.90%) owned or managed 71,000 acres of farmland across more than 180 properties in 11 states as of late 2026. Roughly 60% of this REIT's portfolio by value (and 90% of its acreage) was farms growing annual commodity crops such as corn, soybeans, wheat, rice, and cotton. The other 40% included farms growing specialty crops such as tree nuts, citrus, and avocados, planted once and may last 25+ years. The REIT also owns the land and buildings for four agricultural equipment dealers in Ohio, leased to Ag Pro under the John Deere (DE -1.35%) brand.

Farmland Partners receives both fixed and variable rental payments. Its focus on commodity crops provides investors with exposure to increasing global food demand. Additionally, it generates income from renting land for solar and wind energy production, as well as from recreational rentals, crop sales, and crop insurance from the farms it operates.

The company made significant changes to its portfolio in 2025, selling lower-performing and riskier assets at strong prices. It sold 60 farms, along with its auction, brokerage, and third-party management platform. Farmland Partners used the proceeds to fortify its financial profile and invest in higher-quality farms. These moves also enabled the REIT to hike its dividend by 50% for 2026. It believes it's now in a stronger position to generate attractive total returns for its investors.

How to invest in farmland REITs

Here's a step-by-step guide on how to invest in farmland REITs:

Open your brokerage app: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the stock: Enter the ticker [LAND or FPI] into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

Loading paragraph...

Benefits and risks of investing in Farmland REITs

Some of the advantages of investing in farmland REITs are:

Portfolio diversification: Farmland offers investors uncorrelated returns with other major asset classes, such as stocks, bonds, and cryptocurrencies. That makes it an excellent way to diversify a portfolio and help reduce its overall volatility.
Inflation hedge: Farmland has generally offered a better hedge against inflation than stocks, bonds, and gold. Historically, there has been about a 70% correlation between the value of U.S. farmland and the Consumer Price Index (CPI). Farmland investments with participation rents tend to benefit from inflation, as rising food prices should enable farms to sell their crops at higher prices.
Attractive total returns: Farmland provides investors with two sources of returns: rental income and capital appreciation. The two sources delivered a combined average annual return of 9.8% since 1992, according to the NCREIF Farmland Index.

While farmland has been an excellent long-term investment, it isn't without risk:

Natural disasters: Droughts, wildfires, insect infestations, and other events can affect a farm's harvest and its ability to pay rent.
Crop prices: They can be highly volatile and affect farm income, especially for annual commodity crops such as corn, soybeans, and wheat.
Farmer-tenants: Although farmland has been an excellent investment overall, farming has been a much more challenging business due to natural disasters, crop prices, equipment costs, labor costs, debt, and other issues. If farmers run into financial trouble, they may be unable to make their rental payments.

Methodology: How these stocks were chosen

With only two publicly traded farmland REITs as of mid-2026, this evaluation wasn't about which options are best in the sector, but about which option is better for certain investors. The best way to evaluate this is by looking at the following criteria:

Crop focus: Gladstone Land invests in farms that grow fresh produce, such as berries and vegetables, as well as perennial crops, such as almonds and grapes. Those crops have less pricing volatility than commodity crop farming, which is Farmland Partners' focus area.
Income: While both REITs pay dividends, Gladstone Land pays a high-yielding monthly dividend (nearly 6% in late 2026), whereas Farmland Partners offers a lower yield (around 3%) but has boosted its payout by 50%. It also has a history of paying large special dividends.

Should you invest in farmland stocks?

Farmland REITs enable anyone to harvest the benefits of investing in farmland. Historically, the sector has been an excellent investment, delivering attractive total returns from rental income and value appreciation. On top of that, farmland is an excellent inflation hedge and is uncorrelated with the markets. These features make buying a farmland REIT an ideal way to build a truly diversified portfolio. If you are seeking a more stable farmland REIT investment, Gladstone Land would be a better option, while Farmland Partners would be best for those seeking more upside potential.

Loading paragraph...

Investing in farmland REITs: FAQ

Loading faq...

About the Author

Matt DiLallo has been a contributing Motley Fool stock analyst specializing in the energy, industrials, and real estate sectors since 2012. He also covers dividend-paying stocks, pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

TMFmd19

@MatthewDiLallo

Matt DiLallo has positions in Gladstone Land. The Motley Fool has positions in and recommends Farmland Partners. The Motley Fool recommends Gladstone Land. The Motley Fool has a disclosure policy.

2 Best Farmland REITs for 2026 and How to Invest

REITs enable anyone to invest in farmland, which has historically been an excellent asset class.

Key Points

Two top farmland REITs for 2026

1. Gladstone Land

LAND - Gladstone Land

Key data points

2. Farmland Partners

FPI - Farmland Partners

Key data points

How to invest in farmland REITs

Benefits and risks of investing in Farmland REITs

Methodology: How these stocks were chosen

Should you invest in farmland stocks?

Related investing topics

3 Best Residential REITs for 2026 and How to Invest

9 Ways Artificial Intelligence is Being Used in Real Estate

How to Calculate Return on Investment (ROI) in Real Estate

Best Real Estate Investment Funds for 2026

Investing in farmland REITs: FAQ

About the Author

Read Next

Stocks Mentioned

Motley Fool Stock Advisor’s Latest Pick

Premium Investing Services

3 Best Residential REITs for 2026 and How to Invest

9 Ways Artificial Intelligence is Being Used in Real Estate

How to Calculate Return on Investment (ROI) in Real Estate

Best Real Estate Investment Funds for 2026

Investing in farmland REITs: FAQ

What makes a farmland REIT an attractive investment?

How do farmland REITs generate income?

Are farmland REITs a safe investment?

Why are billionaires buying all the farmland?

Can I invest in farmland REITs for long-term growth?

1. Gladstone Land

Benefits and risks of investing in Farmland REITs

Methodology: How these stocks were chosen

Should you invest in farmland stocks?

Related investing topics

Two top farmland REITs for 2026

FPI - Farmland Partners

Key data points

2. Farmland Partners

LAND - Gladstone Land

Key data points

How to invest in farmland REITs

LAND Gladstone Land

FPI Farmland Partners

FPI Farmland Partners

LAND Gladstone Land