The National Agricultural Land Bank auctioned 428 agricultural lands arising from unsuccessful land transactions. This seventh edition involves more 11 thousand hectares of land scattered throughout Italywith prices that vary from less than 100 thousand euros to over 1.5 million euros. Participating in the auction is an interesting opportunity for those who wish to invest in the agricultural sector, although it is important to know the procedure for making an offer well.
The National Farmland Bank
Established in 2016, the National Agricultural Land Bank aims to put abandoned or uncultivated agricultural land back into circulation. L’Ismea (Institute of Services for the Agricultural and Food Market) manages these operations, allowing young farmers to access subsidized loans for the purchase of land.
The land catalogue
The catalogue, available online, has a wide range of terrains available. From large plots in Puglia to expensive land in the province of Siena, each lot is described in detail, indicating the intended use and the starting auction price. The different types of land vary from areas intended for arable land to small vineyards, offering different investment opportunities.
The procedure for participating in the auction
To participate in the auction, it is necessary to register on the Ismea website by presenting an Expression of Interest (MDI). Confirmation of the MDI must be made within 90 days of the opening of the terms, by clicking on the link received at the address PEC communicated in the MDI. Failure to confirm within the indicated deadlines will result in the MDI not being acquired.
Receipt of the invitation letter
All those who have expressed interest will receive a letter of invitation to participate in the land sale procedure. The letter will indicate all the methods for submitting an economic offer, which must not in any case be lower than the starting auction price.
Sending offers
Bids must be sent within 45 days of sending the invitation letter. They can be sent in paper or digital format, in a sealed envelope, to Notary Auctioneer or to Peripheral Notary, as established in the tender criteria. Each offer must be accompanied by the interest-free security deposit, set at 10% of the starting priceto be paid exclusively by non-transferable bank draft payable to ISMEA.
Acceptance criteria for offers
Bids will be accepted only if the amount offered is at least equal to the starting price. After the deadline for submitting offers, the Notary Auctioneer will open the offers received to verify their completeness and conformity based on the criteria established in the notice, in the letter of invitation and in the tender specifications.
The agricultural land market in Italy
According to Crea data, the average cost of agricultural land in Italy is 22,600 euros per hectare, with notable differences between the various regions. In the North-West the average price is 35 thousand euros per hectare, while in the North-East it reaches 47 thousand euros. In the Centre-South, however, prices are lower, with an average of 15 thousand euros per hectare.
The auction of the National Agricultural Land Bank represents an opportunity not to be missed for those wishing to invest in the agricultural sector, with over 11 thousand hectares of land available, the variety of lots and the possibility of accessing subsidized mortgages. By correctly following the procedures indicated, it will be possible to participate in the auction, make an offer and possibly win a nice plot of land at a competitive price.
