Accommodation statement: the State of Colorado is committed to providing equitable access to our services to all Coloradans. Please contact Rachel Majich (rachel.majich@state.co.us or 303-866-3454) for personalized accessibility assistance. We will contact you directly within three business days. Visit our accessibility webpage for more information and services, including AIRA, our free service for blind and low-vision users. This page provides a text-only version of a visual diagram titled 'Criteria of Land Rental Options.'
If an agriculture operator wishes to do business that requires land in Colorado, that operator can own land or rent land.
- Pros of owning land
- Full authority to make land use decisions.
- Cons of owning land
- Requires that land is available for sale.
- Requires significant capital.
- Pros of renting land
- Minimal capital needed
- Cons of renting land
- Subject to the terms of the lease contract.
The State Land Board has a fiduciary duty to make decisions in the best interest of trust beneficiaries. Lessees should be aware of their contract terms. Examples of terms: land may be simultaneously leased for other uses; lease may be adjusted or terminated; lease rates may be adjusted; etc. Please review and understand lease terms before signing a contract; a lessee may wish to consult an attorney prior to signing.
| Criteria | Rent from State Land Board | Rent from Private Land Owner | Federal Agency (BLM, USFS, etc.) |
|---|---|---|---|
| Subject to terms of lease contract | Yes | Yes | Yes |
| Rates | Typically 20 percent less than market rates | Market rates | Typically lowest |
| Lease length | Typically 10 years | Typically one year | Varies |
| Requirement to own deeded land | No | No | Yes, required to own deeded land in order to lease BLM land |
| Availability of land to lease | 2.8 million acres | Site specific | 20+ million acres |
| Possibility of lease-to-own opportunity | No | Possible | No |
| Degree of contract legality/formality | High | Depends, some arrangements may be an informal 'handshake contract' | High |
| Cost-sharing opportunities | Yes | Yes | Unlikely |
| Strong land management/stewardship expectations | Yes | Unknown | Somewhat |
| Land management/stewardship training | Yes | Unknown | No |
| Lease renewal options | Yes, per statute | Varies | No |
| Overlapping land uses | Likely | Varies | Certain; typically public access is the primary land use |