A productive Brazilian row crop operation located in Presidente Prudente, Sao Paulo state consists of 8,800 acres with infrastructure and two state highways that straddle the property on either the side. The ranch area consists of nearly 7,200 acres of row crop, currently planted in sugar cane. A Brazilian company owned and operated by an experienced American expert in Brazilian property management will stay on to manage the property indefinitely if the purchaser is not willing to establish their own local operation.
Broker(s): Linda Niebur
Sao Paulo state is strategically located near Sao Paulo city, which is the business and economic capital of Brazil. It will prove to have a significant economic advantage for exports and receiving inputs as trains and roads are well developed to American standards. The region is known for their excellent soils, and topography that works great row crop and sugarcane. Close proximity to local markets means that everything grown on the property can be sold locally. The region offers excellent rainfall and temperature to support ranchland and timber production. Rainfall is over 60 inches per year.
The climate of the region of the asset is tropical with dry season, with greater rainfall between December and May and a dry season between June and December. The winter average temperature varies from 65 °C to 90 °C, and in the summer it varies from 70°C to 95 °C.
The land is rolling undulations, and some gullies where streams are located. The region of the asset, has 5.2 miles of river frontage, large enough for more intensive irrigation farming and is full of fish, making it great for fishing.
Brazil is clearly an agriculture powerhouse and its role in global trade will continue to expand. The Brazilian government is committed to developing infrastructure in the emerging agricultural regions, particularly in rural regions that face high unemployment, and strongly supports export oriented growth. While the Brazilian government is cautious and protective on issues related to large scale foreign land ownership (i.e. land grabs by sovereign funds), it supports foreign investment aimed at improving production and infrastructure. The property manager, in place to take over the operation for a buyer, a Brazilian company owned by an American/Brazilian resident, will be local partner of the operation, to accommodate the foreign ownership law.
• Main timber and agriculture production regions have rainfall between 40 and 60 inches/year, good temperatures and plenty sunshine, this property has average temperature: 77 degrees, annual rainfall: +60 inches)
• No winters allow year-around operations, tree growth and pasture land growth, providing ideal cattle and timber conditions.
• Brazil has the largest sugar and ethanol production industry and the world, with a sugar mill only a few miles away.
• Infrastructure including highways, roads, electricity straddle the property in two locations.
• Brazilian born farm manager and human resources on-site with excellent credentials
• All permits are in place including GPS title
• Potential for additional land development, the American manager in place to property manage and administer the property has a development plan to expand pine plantations and up-grade ranch area, and gain irrigation permits for areas suitable for row crops.
• Current Real/Dollar exchange rate is 3.5 Real per dollar. This represents a 50% discount for US dollar denominated investors since early 2012