This program helps beginning and first-time farmers to purchase farmland.
The Next Gen Program is a farmland conservation easement purchase program designed to facilitate the transfer of farmland, typically over 50 acres, to a new generation of farmers while preserving farmland conservation easement option purchase program designed to help facilitate the transfer of farmland that is typically over 50 acres to a new generation of farmers while helping to preserve the agricultural land from future development.
Under the Next Gen Program, MARBIDCO will pay up to 51% of the Fair Market Value (FMV) of the land only (with a cap of $500,000). Following the land sale transaction, the Next Gen Farmer will have several years to sell the permanent easement to a rural land preservation program that is able and willing to hold the permanent easement - thus extinguishing the development rights on the property forever.
Once a permanent easement has been facilitated, the Next Gen Farmer will repay MARBIDCO the original Next Gen Program Option Purchase amount plus a 3% administrative fee. If the Next Gen Farmer cannot sell the permanent easement within the specified timeframe, the Option will be exercised (for no additional money), and the permanent easement will be held by a “third-party default easement holder” (either a county agricultural land program or a private land trust designated by MARBIDCO).
Who Can Apply?
There is no age restriction, but beginner farmers are more likely to be selected. A beginner farmer owns no farm or less than 9 acres, has not operated as principal for more than 10 years, has at least one year of farming experience, and expects to participate substantially in the operation.
50
Acres
Up to 51%
Fair market value of land only
$500,000
Fair Market Value Cap
3%
Administrative Fee
Contact County Ag Preservation Program Office
Commercial Lender Participation Is Required
A Next Gen Farmer will also need to seek the participation of a commercial bank or Farm Credit Association to provide a portion of the farm purchasing financing, but a firm bank loan commitment is not required until a Next Gen Farmer has been approved for Next Gen funding.
The Next Gen Farmer will have a short window of time after being notified of approval to arrange for commercial lender financing and submit a loan commitment letter to MARBIDCO. Therefore, MARBIDCO strongly encourages prospective Next Gen applicants to contact a commercial lender during the application process to get a clear sense of the lender’s financing requirements.
Contact
Further information about the Next Gen Program or to submit a completed application, contact Allison Roe, Financial Programs Officer/Program Coordinator, by telephone at (410) 267-6807, or by email at aroe@marbidco.org.
Application Submission Process
The Next Gen Program application deadline (including submission of all required forms and related attachments) is monthly, with applications due by 4:00 p.m. on the last business day of each month at the MARBIDCO office in Annapolis..
Business Planning Resources
For business planning resources, visit the MARBIDCO resources webpage.