Farmland Partners Inc. (NYSE: FPI) Company Presentation June 2020
Disclaimer Forward Looking Statements Some of the statements contained in this presentation, including statements regarding our portfolio development approach, our pending acquisitions, and other investment opportunities, our future growth prospects and targeted returns, farmland investment characteristics and certain trends, constitute forward-looking statements within the meaning of the federal securities laws. Forward- looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “projects,” “predicts,” or “potential” or the negative of these words or similar words, which are predictions of or indicate future events or trends and which do not relate solely to historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions. The forward-looking statements contained in this presentation reflect our current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions and changes in circumstances, many of which are beyond our control, that may cause actual results to differ significantly from those expressed in any forward-looking statement. While forward- looking statements reflect our good faith beliefs, assumptions and expectations, they are not guarantees of future performance. Furthermore, we expressly disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in the underlying assumptions or factors, new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause our future results to differ significantly from any forward-looking statements, see the section entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2019, and our other filings with the Securities and Exchange Commission. This presentation contains statistics and other data that has been obtained from or compiled from information made available by third parties. We believe that the information obtained from or compiled by third parties is reliable, but we have not independently verified such information. 2
Company Overview Executive Summary § Largest U.S. Public Farmland REIT (NYSE: FPI) o IPO in April 2014 o Total assets of approximately $1.1 billion 1 o Portfolio spanning approximately 156,500 acres across 16 states 1 o Farmed by over 100 tenants growing approximately 26 varieties of crops 1 § Premier Farmland Assets o FPI believes the U.S. is the world’s most appealing agriculture market to invest o Seek highest quality properties (soil, water availability, transport access and tenant profile) o Primarily core investments while also selectively considering special opportunities § Highly Experienced Team o Individuals with experience in finance and agriculture o Company and predecessor have been investing in farmland for over 20 years o Team invests across all core U.S. farming regions where it has deep local knowledge and networks o Approximately 9% of FPI shares owned by insiders 2 § Efficient and Scalable Platform o Overhead costs of less than 100 bps of gross real estate assets 3 o Potential to realize additional economies of scale with future acquisitions ____________________ (1) Statistics as of June 2, 2020. (2) On a fully diluted basis including OP Units. (3) Statistic based on results reported for the year ended December 31, 2019. Overhead costs include General and administrative and Legal and accounting. 3
Farmland Partners Inc. – Company Overview Portfolio Overview Focused on Core U.S. Farm Regions Crop Types Based on 2019 Revenues Location of FPI Investments Livestock 1% Livestock 1 Feedlots Permanent/ Specialty Crops 1 Specialty Almonds, avocados, Crops walnuts, pecans, pistachios, wine 36% grapes, non-tree fruits, vegetables, etc. Row Crops ! ( 63% Row Crops 1 Corn, soybeans, rice ( ! ( ! ! ( ! ( ( ! ! ( ! ( and cotton ! ! ! ( ( ! ( ( ! ( ! ( ( ! ( ! ! ( ( ( ! ! ! ( ! ( ! ( ! ( ! ( ( ! ! ( ! ( ! ( ! ( ( ! ( ! ( ! ! ( ( ! ! ( ( ^ ( ! Green Valley, IL ( ! ! ! ( ( ^ ( ! ( ! ! ( ! ( ! ! ( ( ! ( ! ( ! ! ( ( ! ( ! ( ! ! ( ! ( ( ( ! ! ( ( ! ( ! ( ! ! ( ( ! ! ! ( ( ( ! ( ! ( ! ! ( ( ( ( ! ! ( ( ! ! ( ! ! ! ( ! ( ! ( ( ! ! ( ( ! ( ! ( ! ! ( ( ! ( ! ! ( ( ! ( ! ! ( ! ( ! ( ! ( ! ( ! ( ! ( ! ( ( ! ( ! ( ! ( ! ( ! ! ( ! ( ! ( ! ! ( ( ! ( ! ( ( ! ! ! ( ! ( ( ! ( ! ( ( ! ( ! ! ( ! (! ( ( ! ! ! ! ! ( ! ( ( ! ( ! ( ! ( ( ! ( ! ( ( ! ! ( ! ! ! ( ! ( ( ( ( ( ( ( ! ! ! ! (! ( ! ( ( ! ( ! ! ( ( ! ( ! ! ! ( ! ! ! ( ( ! ( ( ( ! ! ( ! ! ( ( ! ( ( ! ! ! ( ( ! ( ! ( ( ! ( ( ( ! ! ( ! ! ! ! ( ( ! ( ! ( ! ( ( ! ( ! ! ! ( ( ( ! ! ! ( ! ( ( ! ! ! ( ( ( ! ( ( ! ! ! ! ( ( ( ( ( ( ! ( ! ! ! ! ( ( ! ( ! ! ( ( ( ! ( ! ! ! ( ( ( ! ( ( ( ! ! ( ( ! ( ! ! ! ( ! ( ! ( ! ! ( ! ( ! ( ! ( ( ! ! ! ( ( ( ! ! ! ( ! ( ! ( ! ( ( ( ! ( ! ( ! ( ! ( ! ( ! ! ! ( ( ( ( ! ! ! ( ! ( ! ( ! ! ( ( ! ( ! ! Denver, CO ( ! ! ( ( ! ! ( (! ( ! ( ! ( (! ! ( ! ( ( ! ! ( ( ! ( ! ! ( ! ! ( ! ( ( ( ! ^ ! ( ( ! ! ( ! ( ! ( ! ( Visalia, CA ! ( ( ! ! ( ( ! ! ! ( ( Rocky Mount, NC ! ( ! ( ( ! ( ! ^ ! ( ! ( ! ( ! ( ( ! ( ! Geographic Diversification ! ( ( ! ( ! ! ( ( ! ! ( ! ( ! ! ( ! ( ( ! ! ! ( ! ( ( ( ! ! ( ( ! ( ! ( ( ! ! ( ! ( ! ( ! ( December 31, 2019 ( ! ! ( ! ( ( ! ! ( ! ( ( ! ( ! ( ! ! ( ! ( ! ( ! ( ( ! ! ( ( ! ! ( ! ( ( ! ( ! ^ ! Cost 2019 ( ( ! ( ! ( ! ( ! ( ! ( ! ( ! Monroe, LA Farm by Cost Basis Region Acres ( ! ( ! ( ! Basis Revenue ( ! $0 - $2,070,000 ! ( $2,070,001 - $5,215,155 ( ! Corn Belt 35% 28% 28% $5,215,156 - $11,000,000 ( ! ( ! $11,000,001 - $18,660,000 ^ Farmland Partners Offices Delta + South 10% 18% 9% ! ( $18,660,001 - $48,310,000 High Plains 8% 20% 8% Southeast 19% 27% 20% West Coast 28% 7% 35% ____________________ (1) Example crop types, not comprehensive. 4
Company Overview Financial Highlights Q1 2020 Balance Sheet Highlights 1 FY2019 P&L Highlights 2 (in thousands, except share counts) (in thousands, except per share metrics) Total Real Estate (at cost) $ 1,100,664 Total Revenues $ 53,564 Total Real Estate (net) $ 1,073,458 NOI $ 45,667 Cash $ 14,994 Adjusted EBITDAre $ 36,444 Debt $ 511,283 Diluted Net Income Available to Common Series A Preferred Equity $ 117,877 Stockholders, Per Share $ 0.04 Series B Participating Preferred Equity $ 141,885 Fully Diluted AFFO/Share $ 0.13 Common Shares 29,596,208 Common OP Units 1,903,792 Total Fully Diluted Shares 31,500,000 ____________________ (1) As of March 31, 2020, except share count as of June 2, 2020. (2) For definitions and reconciliations of net operating income (NOI) and Adjusted EBITDAre and for the definition and reconciliation of AFFO, refer to our earnings press release dated May 7, 2020. 5
Company Overview Disposition Activity ( $ in thousands) Net Book Gross Sales Depreciation Gain Gain % Value 1 Proceeds 2018 $31,941 $138 $28,464 $3,477 12.2% 2019 $35,502 $455 $27,403 $8,099 29.6% 2020Q1 $0 $0 $0 $0 0.0% 2020Q2 2 $7,844 $429 $6,843 $1,001 14.6% $75,287 $1,022 $62,710 $12,577 20.1% ____________________ (1) Total disposed assets minus total related liabilities and transaction expenses. (2) As of June 2, 2020. 6
Company Overview COVID-19 Update So far, the direct impact of the COVID-19 pandemic on the company’s business and operations has § been limited. The pandemic has significantly affected sectors of the U.S. agricultural industry to which we have § limited or no direct exposure, such as fresh food production marketed to the hospitality industry, and meat packing. We expect slower-moving ripples to potentially affect sectors of the agricultural industry in which we § are invested: Lower gasoline demand has affected demand for ethanol and therefore corn; o Labor availability and export logistics disruptions may affect specialty crops prices and our o tenants’ ability to effectively harvest and deliver product; Disruptions in the meat packing industry due to worker health concerns may affect herd and o flock sizes and ultimately feed demand. In the long term, we do not expect COVID-19 to materially affect global demand for food, feed, fuel § and fiber, and therefore farmland values. 7
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