Agromanage AD was formed in January 2009  to provide integrated management services for agricultural land and its associated activities – acquisition, optimization, renting or leasing.

From February 2009 to the end of September 2012 Agromanage was the management company of ELARG Agricultural Land Opportunity Fund, Bulgaria’s second largest farmland REIT with portfolio of circa 30,000 ha.

We are one of the few farmland management companies in Bulgaria who can manage a large portfolio of fragmented farmland plots without the need to subcontract services from third parties. Agromanage employs a dedicated team of professionals who can handle all aspects of farmland management.  Our proprietary ERM (Enterprise Resource Management) farmland management software (EU grant) allows us scalability in the management of hundreds of thousands of individual properties.

While managing ELARG, Bulgaria’s second largest farmland REIT, the Company:

  • Had to deal with over 750 farmers
  • Increased total collected revenue increased from €1.1 million in 2008 to €2.9 million in 2012 while farmland under management fell by some 5,000 ha, sold in order to optimize the portfolio and to pay down debt
  • Negotiated more favorable lease agreements: average rent increased from €56.2 per ha in 2008 to €132.9 per ha in 2012
  • Lowered the duration of the lease portfolio in order to better track the rising EU CAP subsidies and control credit risk
  • Delineated and re-cultivated fallow land holdings in order to bring the land back to productive use and make it eligible for EU CAP subsidies, a step that made these plots rentable and valuable
  • Optimized the overall portfolio quality disposing the farmland with low appreciation potential and acquiring farmland with high appreciation potential, sometimes exiting whole regions altogether
  • Improved transparency and reduced by 50% the fund’s running costs
  • Lowered the management fee by more than 70% and amended the structure to better align the interests of the management and the shareholders (more focus on current yield)
  • Rented land increased from just 68% of land in the portfolio in 2008 to 92% of total land in 2012
  • Rent collection increased from just 75% of receivables in 2008 to over 96% receivables in 2012