I wonder if anyone can help? I am in negotiations to buy 4,000 m2 of arable and hillside land in rural Le Marche. The land is currently farmed by a tenant farmer, although part of it is far too steep to farm at all. The owner is asking 21,00 Euros for the land but I feel that is far too much. Does anyone have an idea of how much it is really worth?

There is Le Marche realtor who hangs around this forum and he knows more than me.
21.000 Euros for land in Italy is actually nothing. The reason to be so low in value I suspect is because being agricultural you canno build on that land. Also if the land is used as agricultural land the farmers have all sorts of right on that land in cluding their 'Diritto di prelazione'.
Better ask some expert however
Paolo

Land prices very much depend on a number of factors. Some farmers will try it on and to be honest, 4000 sqm is only the size of a garden in some cases and if you are being asked to pay 21,000 euro I think that is a bit too high for such a small plot of land.

In some parts of the Marche the price can range betwen 8,000 to 15,000 euro per Hectare (10,000sqm), whereas along the coast agricultural land is being offered at 30,000/40,000 and sometimes 50,000 euro per Hectare.

The issue regarding diritti di prelazioni agrarie is complex and you have to be very careful because recent case law affirms that a vendor must notify the beneficiary of the pre-emption right in a certain way. I have produced an article about this type of property right which will appear in the May issue of Italy Magazine if you are interested.

__________________
CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

I have heard that 10,000 Euros per hectare in Le Marche is reasonable for vacant farming land but you are buying a rental stream and how long will that continue?The tenant farmer may have a tenancy of a type which lasts many years. You must check this and you should also check whether there are any "vincoli" at the comune (covenants).

Thanks everyone for your advice and help. Can anyone elaborate on the 'Diritto di prelazione' or what kind of 'vincoli' might apply? We do not need the land to use (only that it is immediately in front of our property and we need to clear some of the slope), and would be happy to allow a tenant farmer to continue to work the land.

First of all I think you should as a local attorney. Anyway I am selling this days some land I had in Umbria where there is 'diritto di prelazione'. Basically I had to comunicate by raccomandata ( certified letter ) to all the neighbords that are 'coltivatori diretti' ( farmers ) that I had an offer for the land ( there is a house on top as well) giving them a chance to buy the land at the same price as I agreed with the buyer. They have a month to act or I am free to sell. About letting the land farmed by a farmer could result in issues ( I had them ) so better ask a local attorney.
Anyway I am not sure in Le Marche but in Umbria is you buy agricultural land you cannot build on top unless there was already a building like in my case.
Paolo

What are talking about here are the diritti di prelazione agrarie. These confer first refusal to certain neighbours (beneficiaries) to buy property in preference and on equal terms and conditions to others. This allows them to buy additional property of special interest enabling them to increase their existing agricultural holding.

Diritti di prelazioni are based upon legal stipulations. They cannot be freely determined. To posses the right to purchase a property in preference and on equal terms and conditions to others, neighbours:

n must be coltivatori diretti or imprenditori agricoli a titolo principale(registered farmers or farm entrepreneurs - Coltivatore diretto applies to people who farm for a living)
n must have worked on the land directly for at least 2 years. This excludes landowners who either enlist others to cultivate their land or who are too old to work it themselves
n cannot possess property, either through ownership or emphiteusis, that, in addition to the property for which they intend to excercise their diritti, exceeds the total surface area of land already farmed by their business by a factor of three
n must not have sold any land with low rateable values within the preceeding two years

Sorting out the prelazioni agrarie involves a well-defined procedure, which is affirmed by recent case law:

1) Denuntiatio: The vendor must notify all beneficiaries of the intended sale, as prescribed by law, by service on them of copies of the preliminary contract (compromesso).

2) Beneficiaries have 30 days from the date they receive a copy of the compromesso to exercise or give up their right.

Although silence withing the 30 days may be construed as willingness to relinquish the right, care must be taken to ensure that the denuntiatio has been served correctly and with all information pertinent to the sale, otherwise a beneficiary can seek redress and take the buyer to court. This can all happen within one year from completion so don't be lulled into a false sense of security.

If you need a local solicitor let me know.

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CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

Yes Praetor - The above is entirely correct. This is the procedure I am doing now with my land in order to sell it. a Raccomandata has been presented to the 2 coltivatori diretti.
Paolo

Paolo

Vendors need to be aware that it is no longer a simple matter of notifying via a standard compromesso, recent case law affirms that the denuntiatio now has to describe each and every single plot of land and buildings that make up the property for sale, which must include their respective surface areas and individual values.

__________________
CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

Praetor is absolutely right about getting a good local lawyer to advise you.
With regard to the price, if it is indeed E21K you are being asked for, it's because the owner thinks he's got you by the short and curlies.
At the equivalent of over E52K per ha it is what "Orto Irriguo", irrigated market garden, sells for in the best farming areas.
Unfortunately, this kind of scenario is all too frequent, with foreign buyers seen as easy pickings (for which we only have ourselves to blame for being willing to pay ludicrously high prices for mediocre properties).
Still, if you do decide to go ahead, from the description you gave of the land, I'll guarantee no Italian will match the price! Good luck.