Process
A knowledgeable sales and disposition team is vital to a client’s ability to extract maximum value for an asset. The Arroyo Team spends a considerable amount of time and effort in understanding the asset and its core drivers of value, including any value-add opportunities which will allow for further growth and return on the asset to a new buyer. With years of experience our clients have the ability to access a network of industry professionals and vendors who provide their expertise and service throughout the sale process.
We offer valuation, advisement, sale and leasing services for assets and agribusinesses across all agricultural sectors and commodities.
Arroyo Agricultural Advisors’ market reports, individually tailored to the scope of the assets, are key to allowing a client to see the landscape and market through our lens as a brokerage and advisory firm.
Collective Asset Valuation Minimum Range: $10 Million
Assessment
A review of the asset, including location, size, improvements, their attributed values, and specific characteristics, in addition to relevant financial data, is conducted. An estimate of value is provided to the client.
In an advisory capacity, a plan is developed alongside the client to determine a hold/sell strategy which can continue over a multi-year period. Analyzation of an asset’s highest and best use, land entitlement consideration, deployment of capital expenditures for redevelopment, crop commodity options and review, and a future sale process (continued in Preparation below) are outlined and presented.
Arroyo Agricultural Advisors also delivers Broker’s Opinion of Value market reports, individually tailored to the scope of the asset(s), are key to allowing a client to see the landscape and market through our lens as a brokerage and advisory firm.
Preparation
A transaction and marketing plan and timeframe is generated to both accomplish a client’s goals and help ensure a smooth process. An exit strategy of both logistics of the operation/asset and client funds are discussed in detail.
Marketing
A tailored marketing strategy is determined, with an approach ranging from a strictly confidential process to a broad marketing campaign. We offer local knowledge of an area in addition to an international reach of long-standing relationships within both the select crop commodity and broader institutional investment and agricultural sectors. An Asset Overview is utilized for preliminary outreach, with parties signing a Non-Disclosure Agreement to obtain detailed asset information which includes a Confidential Information Memorandum and related due diligence materials. Site visits are coordinated with prospective buyers, along with any meetings with the client as necessary.
Arroyo Agricultural Advisors prepares comprehensive information memoranda, videography, and related due diligence data room organization of which many in the industry consider best in the industry.
Evaluation and negotiation of highest and best offers generated help ensure maximum value of the asset to our clients, creating a competitive process. This leads to a successful counterparty being chosen and execution of a formal sale contract.
Diligence & Closing
We work closely with both parties throughout the diligence process. Time is of the essence, and coordination of diligence vendor site visits and timely responses to requests for information are key in guiding a sale to a successful close.