In Farmland Investing, Data Matters Only If It Changes Decisions

Van Lanschot Kempen argues that the value of data in farmland investing is frequently misunderstood. The advantage does not come from collecting more information, but from using it to challenge assumptions and reject weak investments before capital is committed.

• The report outlines a structured three-stage process covering initial screening, investment analysis and due diligence, with data used primarily to test whether an investment thesis survives scrutiny rather than to support it.
• Water availability, crop suitability and operator quality emerge as critical variables, with several case studies showing investments being rejected after deeper analysis uncovered regulatory, environmental or financial risks.
• Van Lanschot Kempen emphasises that technology, satellite imagery and predictive models can improve oversight, but that judgement, local expertise and on-the-ground observation remain indispensable in agricultural investing.

Read the full paper for a detailed discussion of farmland due diligence, water risk, crop selection and the practical use of data in agricultural asset management.