Land Lease Agreement Template

Leasing agricultural land is a profitable option for all the parties involved.

For the farmer or “tenant”, it gives you access to land for the expansion of your enterprises without the need to incur large capital costs.

For the Landholder or “Lessor”, it means you are able to generate a steady income from the land, over the term of the lease, without having to work it yourself.

Leasing agricultural land is a mutually beneficial arrangement for the farmer or Tenant and landholder or Lessor

It’s important to put the leasing arrangement in writing so that both parties understand their obligations. Ideally you should do this before the tenant takes possession of the land so that you don’t get caught by the implied terms of a verbal lease.

This agricultural lease allows the tenant (farmer) to have exclusive possession of the land for the term of the lease

It includes a strict code of conduct that imposes a duty of care on the farmer (tenant) to preserve the land they are farming. The obligation to conserve the resource by not overgrazing, introducing disease, or depleting the soil rests firmly at the feet of the farmer, protecting the long term viability of the agricultural assets.

The Land Lease Agreement Template also covers:-

Identification of the parties;
The term, including options if available;
The rent amount, how and when the tenant will pay;
Rent review process;
The landowner’s obligations – especially for rates, GST, stamp duty, insurance;
The tenant’s obligations – especially relating to property care and maintenance;
Dispute resolution process;
A process for the ongoing management of the lease agreement;
Special conditions, if any, that relate to the particular land in question e.g. the maximum number of stock to be run or the maximum area to be
cropped, etc;