The company invests primarily in highly fertile land – 99% of the parcels in its portfolio belong into category 1 to 6 (10 being the most fertile) and are situated in regions with a lot of demand for renting. The regional allocation of land remains unchanged.
The average acquisition price last month stood at 349 leva/decare and the total average for the portfolio stands at 222 leva (adjusted for all costs).
During the period the company purchased a parcel of 7,395 decares near Vratza, situated right next to another plot owned by Advance. The total area of both plots is 12,985 decares of which 150 meters lay on the main motorway Sofia-Vratza. The parcels have electricity and water supply available.
Revenues from rents for the agricultural 2006 – 2007 are in the amount of 682,600 leva. Advance Terrafund has rent out 140,000 decares of land for the agricultural 2007 – 2008, which is 64.44% of all land as at end of 2007.
The average size of the rent is 14 leva/decare and the total sum the company expects to collect is 1.95 mln leva. Rent revenues for the current agricultural year are insured by the Bulgarian Agency on Export Insurance.
The renting campaign has ended in May, which was also the last month in which farmer could apply for direct subsidies from EU programs.
The highest bid at the moment is at 1.96 leva and the lowest ask is at 2 leva. The last transaction on the position was made at 1.97 leva/share.