Area One Farms announces first close of fifth flagship fund at C$127 million

Area One Farms, Canada’s leading independent agriculture manager, has announced the first close of its fifth flagship fund, with C$127 million in commitments.?

Area One Farms Limited Partnership V contains commitments from new and existing investors to Area One Farms. It comprises funds from institutional investors and wealth managers across Canada. The fund will remain open for further subscriptions throughout 2025.

Area One Farms has deployed a consistent strategy since it was founded in 2012, delivering enhanced and sustainable returns by investing in farmland through partnerships with Canadian farmers. The agriculture manager partners with farmers to buy land together and expand their farms, marking a socially responsible departure from traditional sale-and-leaseback models.?

Farmland as an asset class has attracted increasing interest from investors as it offers a unique combination of diversification and non-correlation benefits, even relative to other real assets. Historically, it has delivered strong risk-adjusted returns, outpacing inflation, and demonstrating low volatility, making it an attractive addition to institutional portfolios.

Area One Farms has total assets under management of more than C$700 million and manages over 180,000 acres of farmland across 50 farm partnerships. The agriculture manager’s differentiated approach focuses on sourcing bilateral opportunities, operating farms in partnership with farmers, and restoring retired farmland back into productive cropland. Area One Farms has restored over 40,000 acres of retired farmland, generating value-add for investors and farm partners.

Joelle Faulkner, Area One's CEO, commented: "We are grateful for the strong support from investors to co-invest alongside Canadian family farms in their growth and in strengthening their communities. Together, we are building sustainable value, increasing the productivity of Canada’s land base and delivering social benefits for rural communities. It is only with the support of investors that Area One can continue to empower farmers with a path to land ownership, providing them with long-term funding and mentorship to foster growth and sustainability."