ibleedred

New User
A friend of mine wants to rent my cattle yards. Neither of us
knows what fair rent would be.the fences are in bad shape and
need to be fixed. Thanks really appreciate some info
 
Its gonna take a lot of work.The first year,He fixes the fences,He supplys all labor.Half or all the material.And pays water,includeing you house water if on the same meter.That would be fair.And any thing you both agree to
 
Tough question.
How many fenced areas, total fenced size, who pays for fence/gate repair, ground condition, responsibility for injured cattle, feeding systems and loading chutes etc? Even these when known, with a location and time window, number of head, and use purpose. are only the primary questions I would ask before setting the rent. Jim
 
Land grant universities have a 5 letter acronym for the formula to figure out that stuff......maybe you can remember that, since you"re in the MN system. Something about taxes, insurance, repairs, investment....? But with immediate repairs needed, that skews the formula, depending who does it, pays for it.
 
Working on it- I think it is the "dirti" formula. googled a bunch of combos re land grant universities, ag econ, etc., but got nothing. Dirti would stand for depreciation, investment, repairs, taxes, and interest, IIRC.
 
In my area of SD the going rate is 30 cents per head per day. That includes water and bunks/feeders but no feed or labor to feed. Giving all the immediate repair needed I don't know what to tell you. I had a similar deal a few years back. Buddy of mine lost the place he was renting. I had the room but not the fence or water. I needed to expand anyways so I paid for the materials and he paid for the labor and I let him keep for one year for free. The next two years he paid 20 cents per head per day until he was able to buy his own place. He brought in all his own feed and we often worked together doing chores or took turns feeding as I had cattle too.

Casey in SD
 

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