OMAHA, Neb. (AP) – The average value of farmland in some Midwestern and Western states has risen 25 percent in the past year.
The Federal Reserve Bank of Kansas City, Mo., said Tuesday that bumper crops and strong farm income in northern Plains states, like Nebraska, helped push up prices despite drought and flooding.
The Federal Reserve says its third quarter survey of 243 banks showed the largest annual increase in land values since the survey started in 1980.
The 10th Federal Reserve District covers Kansas, Nebraska, Oklahoma, Wyoming, Colorado, northern New Mexico and western Missouri.
Nebraska farmland values increased the most with a roughly 40 percent jump over 2010.
The gains were smallest in drought-stricken Oklahoma, where the value of non-irrigated farmland grew about 11 percent.
(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)