Source: Fortune
Summary
Stan Kroenke, owner of the Los Angeles Angels, is now America’s largest private landowner, with 2.7 million acres, according to the 2025 Land Report. Kroenke recently purchased the Angels from Arte Moreno, adding to his sports empire. His land holdings increased significantly after buying 937,000 acres of ranchland in 2025. Farmland has become a popular investment for the wealthy, seen as a hedge against inflation and market volatility. The average U.S. farmland value rose 4.3% in 2025, according to USDA data.
Our Reading
The numbers tell one story.
Kroenke’s land empire grows as he buys more ranches and sports teams.
Farmland is a top asset for the wealthy, seen as safe and inflation-resistant.
Investors like Kroenke outbid farmers for land, making it harder to buy.
Land ownership is a quiet but powerful form of wealth building.
Author: Evan Null
The Rise of the Farmland Asset Class
The 2008 financial crisis pushed investors toward alternative assets, and farmland became a top choice. Today, with fears of AI-driven market collapse, investors are again turning to farmland as a safe bet. Farmland is seen as a physical asset that can hold value during inflation, unlike stocks or bonds. Its value is tied to population growth, rising incomes, and food demand, making it an attractive long-term investment.
Farmland as a Hedge Against Inflation
Farmland has a positive correlation with inflation, meaning it tends to appreciate when prices rise. This makes it a reliable asset for those looking to protect their wealth. Unlike stocks, which can fluctuate wildly, farmland offers steady growth. Investors like Kroenke are buying up land not just for income but for long-term value. The average farmland value in the U.S. rose 4.3% in 2025, showing its resilience.
Leasing and Passive Income
Many landowners, including Kroenke, lease their land to farmers, creating a steady stream of passive income. This model is especially appealing because it requires minimal management. Farmers, however, often struggle to compete with wealthy investors who can afford to buy land outright. The rental market is growing, but the price to buy is rising faster, making it difficult for small farmers to enter or expand.
Challenges for Small Farmers
Small and beginning farmers face increasing difficulty in acquiring land. The high cost of farmland means many must rely on renting, which offers less security. Experts say this trend is making it harder for new farmers to start. Kroenke’s land purchases highlight the growing divide between wealthy investors and traditional farmers. The concentration of land in the hands of a few raises concerns about access and sustainability.
Investor Motives and Market Trends
Investors are drawn to farmland for its stability and growth potential. The asset class has grown to $4.3 trillion, with more investors looking to diversify their portfolios. Farmland is seen as a way to hedge against market volatility and inflation. As demand increases, so does the price, making it harder for farmers to compete. This trend reflects a broader shift in how the wealthy are building and protecting their wealth through real assets.
