The market for agricultural land in Belgium has evolved significantly in recent years. With growing demand in the agricultural sector and from investors, selling agricultural land has become attractive to many landowners. However, selling agricultural land in Belgium is not as simple as putting a “For Sale” sign on the fence. There are specific regulations and legal aspects to take into account when putting your land up for sale.
In this article, we will explore in detail the various aspects of selling agricultural land in Belgium in 2023, focusing on the regulations in force, the precautions to be taken and the importance of calling in experts to help with this complex process.
But what is considered agricultural land?
Before going into the details of selling agricultural land in Belgium, it is important to understand what is meant by “agricultural land”. In Belgium, agricultural land is defined as land that is used or intended to be used for agricultural activities, such as growing crops, raising livestock or producing milk, and that is zoned for agricultural use. Such land may be farmed by the owner or leased to farmers.
Regulations and factors to take into account when selling agricultural land
When selling agricultural land in Belgium, it is essential to comply with the regulations in force. Here are the main points to bear in mind:
1. Current lease
If the farmland is currently leased to a farmer, it is important to take into account the terms of the current lease and the tenant’s right of first refusal. Some leases may contain specific clauses concerning the sale of the land. It is also necessary to notify the tenant of the owner’s intention to sell the land and to negotiate the terms of any purchase of the farmland by the tenant. It is essential to understand these elements, to include them and to take them into account during the process of selling the farmland in question.
All these rights conferred on the tenant by the Farm Lease Act therefore result in a significant difference between the price of a freehold rural property and that of a leased rural property.
2. Sector plan zoning and local regulations
It is necessary to check local regulations and the zoning of the land on the sector plan before proceeding with the sale. Some plots of land may be subject to particular restrictions because of their location, or for environmental conservation reasons. Ensuring that the land complies with all legal requirements is crucial to avoid legal problems later on.
3. Certificates and licences
In addition to the regulations relating to zoning in the sector plan, it may be necessary to obtain certain specific certificates and permits to sell agricultural land in Belgium. For example, the BDES certificate (Banque de Données de l’Etat du Sol) is required to certify that the soil is non-polluted and suitable for agricultural activities. It is important to find out about the specific requirements for each region or municipality.
4. Protecting the environment
Belgium is one of many European countries that attach great importance to environmental protection. When selling agricultural land, it is crucial to comply with all the environmental regulations in force (e.g. Natura 2000), such as the preservation of wetlands, the management of agricultural waste, the responsible use of chemicals and respect for the flora and fauna of the land in question. Be sure to provide all the necessary information on past farming practices so that potential buyers can assess the environmental impact of the land.
5. Factors relating to agricultural land
One factor that strongly influences the price of rural property is, of course, its location. Certain agricultural regions, such as Hesbaye, are naturally much more expensive than others.
In addition, properties located in the same region and of equivalent agricultural quality can have significantly different values, depending on the local market in a given commune.
When valuing agricultural land, we generally take into account its configuration, size, relief, access and soil quality.
Why use experts to sell your farmland?
Selling agricultural land in Belgium can be a complex and tedious process involving many specific elements, as explained above. That’s why it’s highly recommended to call on experts in the field to help with the preparation and sale. Here are a few reasons why the assistance of experts in the sale of agricultural land can be beneficial:
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Legal expertise
Professionals specialising in the sale of agricultural land are familiar with the regulations in force and can guide you through the complex legal aspects of the sale process. They can help you prepare contracts, carry out the necessary legal checks and ensure that all legal aspects are covered throughout the sale process.
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Evaluation
Agricultural experts can provide a valuation of the land, taking into account the factors set out above. This helps to establish a realistic and fair selling price. Their expertise helps to optimise the value of the land and attract qualified potential buyers.
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Network of potential buyers
Experts in the sale of agricultural land in Belgium generally have an extensive network of contacts in the farming sector. This makes it easier for them to find qualified potential buyers interested in purchasing agricultural land. They can also use specialist marketing tools to promote your property and reach a wider audience of potential buyers.
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Negotiation management
Selling agricultural land can involve complex negotiations between sellers and buyers. Experts in the sale of agricultural land can act as neutral and experienced intermediaries to facilitate and supervise negotiations between the 2 parties. They can help you obtain the best price and guarantee favourable conditions for your sale.
To conclude this article, selling agricultural land in Belgium in 2023 requires a thorough understanding of the regulations in force, the legal aspects and the precautions to be taken in order to reach such an arrangement. To ensure the success of this complex transaction, it is advisable to call on the services of experts who specialise in the laborious business of selling agricultural land.