Land Rental Lease Agreement

A Land Lease Agreement is used when a landlord wants to lease his land to a tenant for a said amount of rent and duration. The purpose of the lease of the land must be defined in the lease agreement and also their terms. Most commonly a leased land is used for farming and agriculture but there may be other activities for which a land can be leased such as car parking etc.

Farm Lease Agreement Cash Rent – Leasing a land for the purpose of farming. Rent to be paid by cash.


Farm Lease Agreement Cash Rent or Crop Share – Leasing a land for the purpose of farming where the rent can either be as cash or as crop share.


Fixed Cash Crop Lease Agreement – A fixed cash rent is decided between the tenant and the landlord irrespective of the crop yield on the land.

Land Rental Lease Agreement is a legal instrument to facilitate leasing a farmland. Such agreements are a win-win situation for both parties. The tenant gets a chance to grow and on the other hand, the landlord receives the rightful share of the equity. Here are some reasons for entering into a farmland lease agreement.

 For the Landlord

  • Monetary Benefits – The landlord enjoys a fixed income every month towards the rightful equity in the farmland.
  • Production – A decent tenant improves yield and therefore productivity and land value.
  • Legalities – Certain states require the correct use of irrigation water. Such agreements encourage the proper use of irrigation water.
  • Government Programs – Programs for crop history or acreage require continued planting. Lapse in planting may result in failure in receiving federal commodity program benefits.

For the Tenant

  • Prospect – Renting a farm is a fantastic prospect for young farmers with limited inventory and other resources.
  • Monetary Benefits – Young farmers can improve yield and productivity for financial stability.
  • Competence – Renting a farm allows a young farmer to deploy resources in farm machinery and other supplies instead of investing in buying a new farm.

Lease Essentials

  • Legal names of signing parties
  • Detailed property description
  • Lease term and other financial particulars like lease type, rent, security deposit, and modes of remittance for rent in terms of cash and produce
  • Signatures of all parties
  • Notary acknowledgement of signatures