In the end, the leasing market may prove more lucrative than the land acquisition, said David Crouch, an associate professor of marketing and finance at the University of Southern California.
In general, a buyer can get a bigger discount if they know they are buying a certain amount of land and they can make sure the land is managed well, said Crouch.
“Land deals can be very profitable for some people, but it’s not going to be profitable for everyone,” he said.
“There are other incentives in the marketplace, such as the availability of lower-cost land in the area, so a lot of the value in a deal like that may be less than the price of the land.”
Land and property prices have risen sharply over the past two decades, driven by strong commodity prices, as well as the economic boom that has come with it.
The housing market in some areas has experienced a sharp increase in the past decade, driven in part by a booming economy.
According to the U.S. Census Bureau, the U